High-Yield State of Mind
High-yield bonds have been on an impressive run since the financial crisis. But what are their prospects going forward?
Fund Spy
Mentioned: Fidelity® Capital & Income (FAGIX)
, PIMCO High Yield D (1100115352)
, BlackRock High Yield Bond Inv A (BHYAX)
, Artisan High Income Investor (ARTFX)
A version of this article was originally published in the December 2017 issue of Morningstar FundInvestor. Download a complimentary copy of FundInvestor here.
Despite a few hiccups along the way, high-yield bond funds have been on an impressive run since the 2008 financial crisis. From April 2009 through November 2017, the median high-yield bond fund returned 10.9% annualized. By comparison, the Bloomberg Barclays U.S. Aggregate Bond Index (often used as a proxy for a core investment-grade fixed-income allocation) only returned 4.0% annualized over the same period.
Already a member? Sign in.
Brian Moriarty has a position in the following securities mentioned above: ARTFX. Find out about Morningstar’s editorial policies.