Reported about 1 year ago
Jack Stephenson, a fixed income investment expert at Aegon Asset Management, highlighted four advantages of US non-investment grade bonds as the market sentiment has been changing with increasing returns and international funds shifting towards buying. The key strengths include diversified market segments, shifting trend of non-investment grade bonds as a standard asset allocation, renewed interest from international funds with a 15% increase over 17 months, and a stable market structure with decreasing leverage and interest coverage ratios, making it a valuable long-term investment amid an upcoming interest rate reduction phase.
Source: YAHOO