KDP ASSET MANAGEMENT, INC.
|
|
- Christine Price
- 8 years ago
- Views:
Transcription
1 ASSET MANAGEMENT, INC. High Yield Bond and Senior Secured Bank Loan Outlook October 2015 Asset Management, Inc. 24 Elm Street Montpelier, Vermont
2 This is an analytical piece and the asset classes discussed herein, and any other materials provided to you, are intended only for discussion purposes and are not intended as an offer or solicitation of an offer with respect to the purchase or sale of any security and should not be relied upon by you in evaluating the merits of investing in any securities. These materials are not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use is contrary to local law or regulation. Past performance is not indicative of future results. The asset classes discussed herein should not be perceived as investment recommendations and may no longer be in an account s portfolio. It should not be assumed that investments in any asset class discussed was or will prove profitable. Characteristics, allocations and account quality ratings of any particular account may vary based on investment guidelines defined by the client. The views expressed herein represent the opinions of Asset Management, Inc. and its affiliates and are not intended as a forecast or guarantee of future results. This material may not be reproduced or used in any form or medium without express written permission. Additional information on, including fee schedules can be found in Form ADV Part II which is available upon request. The characteristics, sectors, and industries discussed herein should not be perceived as investment recommendations and may no longer be in an account s portfolio. It should not be assumed that investments in any sector or industry discussed was or will prove profitable. Characteristics, sector, industry weight allocations and account quality ratings of any particular account may vary based on investment guidelines defined by the client. The data represent the aggregate characteristics of all securities held in the Composite. Data is obtained from Advent Axys and Bloomberg and is believed to be accurate and reliable. 2
3 The Case for High Yield Bonds Fundamentals: Default Environment Remains Historically Low as Spreads Rise Technicals: BBs at Widest to BBBs Since 2011 Source: J.P.Morgan, Default Monitor 10/1/2015 Source: Morgan Stanley, Leveraged Finance Insights 10/2/2015 Macro: High Yield Sentiment at Low End of Historical Range - Recommended Position Higher Valuation: Spread on Defensive High Yield Composite is at 2-Year High Spread of the Defensive High Yield Composite to 5-Year Treasury 9/30/ bp Source: Morgan Stanley, Leveraged Finance Chartbook 9/28/ Source: :, U.S. Department of the Treasury as of 9/30/2015
4 High Yield Observations Fundamentals Minimal near-term maturities Historically low default rate - excluding commodities - environment due to solid fundamentals and supportive US economy. 's credit analysts continue to see constructive current metrics outside of certain metal/mining sectors. Broad refinancing at low rates has pushed interest rate coverage levels higher, further reducing default risk. Rising leverage levels due to lackluster EBITDA growth and rising new issuance driven by M&A and capital expenditures. Technicals Retail mutual fund flows have been negative for four consecutive months. Several large new issues priced at yields much higher than anticipated, causing a broader repricing of the secondary market for Telecoms, Cable and Chemicals. Fears of upcoming revolver redeterminations due to oil prices pressuring the Energy sector. In recent risk-off environment spreads have widened significantly across most sectors reflecting global growth concerns. Spreads likely to tighten once volatility ebbs and given high yield s negative correlation to interest rates. Valuations Wide spreads compared to benign default environment High yield carry is very attractive relative to other fixed income asset classes. Off-the-run credits will remain cheap due to rise in liquidity premiums. Spreads more than sufficient to absorb anticipated increase in rates. Short duration high yield outperforming during risk off. Macro Exogenous market shocks and idiosyncratic headline events are the greatest risks for lower quality credits, with large relative spread widening given market illiquidity and low energy prices. High yield volatility expected to remain elevated in near-term due to sharp sell-off in oil prices, geo-political risks, global economic concerns, and interest rate uncertainty. Minimal inflationary pressures and accommodative monetary policies worldwide bode well for spread products. Rising Treasury rates in the US remains most significant risk for other fixed income classes. Higher-quality high yield credits continue to provide one of the best relative risk/return potentials. 4
5 The Case for Senior Secured Bank Loans Fundamentals: Low Default Rate for Foreseeable Future Technicals: No Maturity Wall Source: J.P.Morgan, Default Monitor 10/1/2015 Source: Credit Suisse, Leveraged Finance Strategy Monthly 10/6/2015 Macro: Loans Remain Top Pick of Respondents For Risk Adjusted Returns Over Next 12 Months Valuation: Loan Spreads Rise Further in September - Approach 2-Year Highs Loan Strategy Composite Adjusted spread to LIBOR - 3 yr. Discount Margin As of 9/30/2015 Source: BofA Merrill Lynch Credit Market Strategist 9/11/2015 Source: 9/30/2015 5
6 Senior Secured Bank Loan Observations Fundamentals Historically low default rate environment due to solid fundamentals No near term maturity concerns Strong balance sheets, as recent rise in leverage levels beginning to stabilize. Interest coverage ratios remain at post-crisis highs. Technicals Mutual fund flows remained negative for the 4 th straight month in September. New issuance was $9.5 billion in September which was the lowest issuance since January Strong CLO volume in 2015 combined with subdued new loan issuance is providing a strong tailwind for the loan market. Liquidity remains good reflecting two-way flow with active secondary trading volume. Valuations Potential for principal appreciation opportunities with only 7.2% of loans trading above par. Adjusted 3-year loan spreads at YTD high and above long term average. Loan volatility remains subdued as they are higher in cap structure and have floating rates. Global growth concerns causing energy / metal mining loans to significantly underperform the broader market. Macro Leveraged loans widely perceived to have best risk-adjusted return over next 12 months. Rising Treasury rates remain the most significant risk for most fixed income asset classes. Floating-rate nature of bank loans provides a natural hedge to an increase in interest rates. Generally negative correlation to Treasuries and low correlation to other asset classes Low loan volatility also reflects seniority in the capital structure resulting in lower credit loses due to their higher recovery rates. Overall demand for loans remains strong when Fed raises rates and amid continued strong CLO demand. 6
KDP ASSET MANAGEMENT, INC.
ASSET MANAGEMENT, INC. High Yield Bond and Senior Secured Bank Loan Outlook March 2016 Asset Management, Inc. 24 Elm Street Montpelier, Vermont 802.223.0440 HighYield@kdpam.com The Case for High Yield
More informationFixed-income opportunity: Short duration high yield
March 2014 Insights from: An income solution for a low or rising interest-rate environment Generating income is a key objective for many investors, and one that is increasingly difficult to achieve in
More informationRisks and Rewards in High Yield Bonds
Risks and Rewards in High Yield Bonds Peter R. Duffy, CFA, Partner, Senior Portfolio Manager Navy Yard Corporate Center, Three Crescent Drive, Suite 400, Philadelphia, PA 19112 www.penncapital.com 1 What
More informationMarket Bulletin. November 7, 2014. U.S. High Yield: A bubble set to burst?
November 7, 2014 U.S. High Yield: A bubble set to burst? Grace Tam, CFA Vide President Global Market Strategist J.P. Morgan Funds Katy Fang Research Analyst J.P. Morgan Funds Tai Hui Managing Director
More informationThe timeless (and timely) case for high-yield bonds
INCOME EATON VANCE Looking beyond traditional sources of yield MARCH 2016 TIMELY THINKING The timeless (and timely) case for high-yield bonds SUMMARY High-yield bonds occupy a special capital market niche:
More informationSACRS Fall Conference 2013
SACRS Fall Conference 2013 Bank Loans November 14, 2013 Allan Martin, Partner What Are Floating Rate Bank Loans? Senior secured floating rate debt: Current Typical Terms: Spread: LIBOR + 5.00%-6.00% LIBOR
More informationOpportunities in credit higher quality high-yield bonds
Highlights > > Default rates below the long-term average > > Valuations wide of historical average in BB and B rated credit > > Despite sluggish economy, high yield can still perform well > > High yield
More informationThe timeless (and timely) case for high-yield bonds
EATON VANCE TOPIC PAPER MAY 2016 The timeless (and timely) case for high-yield bonds Michael Weilheimer, CFA Director High-Yield Investments Steve Concannon Portfolio Manager High-Yield Investments Jeff
More informationAn Alternative Way to Diversify an Income Strategy
Senior Secured Loans An Alternative Way to Diversify an Income Strategy Alternative Thinking Series There is no shortage of uncertainty and risk facing today s investor. From high unemployment and depressed
More informationHigh yield bonds. US senior loans update. begin on page 4.
Chief Investment Office WM 20 March 2014 High yield bonds US senior loans update Barry McAlinden, CFA, strategist, UBS FS barry.mcalinden@ubs.com, +1 212 713 3261 Loan performance can best be characterized
More informationThe case for high yield
The case for high yield Jennifer Ponce de Leon, Vice President, Senior Sector Leader Wendy Price, Director, Institutional Product Management We believe high yield is a compelling relative investment opportunity
More informationInvesco s Senior Loan Platform. May 2012. Scott Baskind Senior Portfolio Manager 0000000. Presented by:
Invesco s Senior Loan Platform May 2012 Presented by: Scott Baskind Senior Portfolio Manager 0000000 Bank Loans are Trading Cheap to Historic Levels % Par Average Bank Loan Bid Source: Standard & Poor
More informationSankaty Advisors, LLC
Leveraged Loans: A Primer December 2012 In today s market environment of low rates and slow growth, we believe that leveraged loans offer a unique diversification option for fixed income portfolios due
More informationLeveraged Loan Funds: Debunking the Myths
Leveraged Loan Funds: Debunking the Myths SM Leveraged Loan Funds: Debunking the Myths Contents 2 Myth #1: Managing liquidity in actively managed leveraged loan mutual funds is difficult. 3 Myth #2: In
More informationThe Search for Yield Continues: A Re-introduction to Bank Loans
INSIGHTS The Search for Yield Continues: A Re-introduction to Bank Loans 203.621.1700 2013, Rocaton Investment Advisors, LLC Executive Summary With the Federal Reserve pledging to stick to its zero interest-rate
More informationGlobal high yield: We believe it s still offering value December 2013
Global high yield: We believe it s still offering value December 2013 02 of 08 Global high yield: we believe it s still offering value Patrick Maldari, CFA Senior Portfolio Manager North American Fixed
More informationHigh yield bonds. US senior loans update. required disclosures begin on page 4.
CIO WM Research 11 August 20 High yield bonds US senior loans update Barry McAlinden, CFA, strategist, UBS FS barry.mcalinden@ubs.com, +1 212 713 3261 Philipp Schöttler, strategist, UBS AG US loans experienced
More informationA case for high-yield bonds
By: Yoshie Phillips, CFA, Senior Research Analyst MAY 212 A case for high-yield bonds High-yield bonds have historically produced strong returns relative to those of other major asset classes, including
More informationThe recent volatility of high-yield bonds: Spreads widen though fundamentals stay strong
Investment Insights The recent volatility of high-yield bonds: Spreads widen though fundamentals stay strong Kevin Lorenz, CFA, Managing Director, Lead Portfolio Manager of TIAA-CREF's High-Yield Fund
More informationFixed Income Review. Second Quarter 2015
Second Quarter 2015 As of June 30, 2015 Total Return Performance Calendar Year Performance Index MTD QTD YTD 2014 2013 2012 Barclays US Aggregate -1.1% -1.7% -0.1% 6.0% -2.0% 4.2% BAML US Agency Index
More informationThe role of floating-rate bank loans in institutional portfolios
By: Martin Jaugietis, CFA; Director, Head of Liability Driven Investment Solutions DECEMBER 2011 Yoshie Phillips, CFA, Senior Research Analyst Maniranjan Kumar, Associate The role of floating-rate bank
More informationFixed Income Overview
Fixed Income Overview IDB: 27 October 2015 Liquidity in the Fixed Income Markets Demographics favouring fixed income assets More people retiring and living longer requiring income producing assets Source
More information2015 Mid-Year Market Review
2015 Mid-Year Market Review Cedar Hill Associates, LLC www.cedhill.com 6111 North River Road, Suite 1100, Rosemont, Illinois 60018 Phone: 312/445-2900 An Affiliate of MB Financial Bank 2015 Major Investment
More informationSTANTON ASSET MANAGEMENT
STANTON ASSET MANAGEMENT CORPORATE FIXED INCOME MARKET MONITOR Third Quarter 215 Canadian Corporate Bonds Third Quarter 215 Data as of September 3, 215 Market Data (Avg.) Size Performance Spread DuraIon
More informationThe Case for Leveraged Loans
The Case for Leveraged Loans As the market grew, banks and institutional investors sought to diversify and actively manage their loan portfolios by An Attractive Source for Uncorrelated Returns increasing
More informationFLOATING RATE BANK LOANS: A BREAK FROM TRADITION FOR INCOME-SEEKING INVESTORS. Why does the bank loan sector remain so attractive?
FLOATING RATE BANK LOANS: A BREAK FROM TRADITION FOR INCOME-SEEKING INVESTORS Bank loans present a compelling income opportunity and a portfolio diversifier that provides protection against traditional
More information2013 GSAM Insurance Survey & Industry Investment Trends
Global Insurance Asset Management AASCIF Annual Workshop Fall 23 23 GSAM Insurance Survey & Industry Investment Trends Michael Siegel, PhD Global Head of GSAM Insurance Asset Management September 3, 23
More informationFIXED INCOME INVESTORS HAVE OPTIONS TO INCREASE RETURNS, LOWER RISK
1 FIXED INCOME INVESTORS HAVE OPTIONS TO INCREASE RETURNS, LOWER RISK By Michael McMurray, CFA Senior Consultant As all investors are aware, fixed income yields and overall returns generally have been
More informationCIO WM Research 8 January 2015. This report has been prepared by UBS Financial Services Inc. (UBS FS) and UBS AG. Analyst certification and
CIO WM Research 8 January 2015 High yield bonds US loans well positioned We believe US loans exhibit several positive attributes, including: 1) improved valuations as prices now trade at discounted levels;
More informationEnergizing High Yield Bond Investors: Finding Opportunities Amid Shifting Market Conditions
Energizing High Yield Bond Investors: Finding Opportunities Amid Shifting Market Conditions Energizing High Yield Bond Investors: Finding Opportunities Amid Shifting Market Conditions Contents Executive
More informationRIMROCK LOW VOLATILITY FUNDS Performance Update July 2011
The Rimrock Low Volatility Funds (the Funds ) are two separate funds managed in the same relative value, multi-sector fixed income style. The Funds have two different Master-Feeder structures, including
More informationWhy Consider Bank Loan Investing?
Why Consider Bank Loan Investing? September 2012 Bank loans continue to increase in popularity among a variety of investors in search of higher yield potential than other types of bonds, with lower relative
More informationRising Rates and the Case for Leveraged Loans PERSPECTIVE FROM FRANKLIN FLOATING RATE DEBT GROUP
January 11, 2013 Topic Paper September 2015 Rising Rates and the Case for Leveraged Loans PERSPECTIVE FROM FRANKLIN FLOATING RATE DEBT GROUP Mark Boyadjian and Reema Agarwal of Franklin Templeton Fixed
More informationA case for high-yield bonds
By: Yoshie Phillips, CFA, Senior Research Analyst AUGUST 212 A case for high-yield bonds High-yield bonds have historically produced strong returns relative to those of other major asset classes, including
More informationFLOATING RATE BANK LOANS: A BREAK FROM TRADITION FOR INCOME-SEEKING INVESTORS
FLOATING RATE BANK LOANS: A BREAK FROM TRADITION FOR INCOME-SEEKING INVESTORS With about $713 billion in assets, the bank loan market is roughly half the size of the high yield market. However, demand
More informationPioneer Bond Fund. Performance Analysis & Commentary September 2015. Fund Ticker Symbols: PIOBX (Class A); PICYX (Class Y) us.pioneerinvestments.
Pioneer Bond Fund COMMENTARY Performance Analysis & Commentary September 2015 Fund Ticker Symbols: PIOBX (Class A); PICYX (Class Y) us.pioneerinvestments.com Third Quarter Review Pioneer Bond Fund s Class
More informationQuestions and Answers About Senior Secured Loans
Revised August 2013 Senior Secured Loans Questions and Answers About Senior Secured Loans Joe Lemanowicz Managing Director and Head of U.S. Senior Secured Loan Team Pramerica Fixed Income U.S. senior secured
More informationSTANTON ASSET MANAGEMENT
STANTON ASSET MANAGEMENT CORPORATE FIXED INCOME MARKET MONITOR First Quarter 215 Canadian Corporate Bonds First Quarter 215 Data as of March 31, 215 Market Data (Avg.) Size Performance Spread DuraIon Yield
More informationSell-off in corporate credit creates income opportunities for 2015
INCOME EATON VANCE Looking beyond traditional sources of yield Payson F. Swaffield, CFA Chief Income Investment Officer Eaton Vance Management JANUARY 2015 TIMELY THINKING Sell-off in corporate credit
More informationHigh Yield Bonds in a Rising Rate Environment August 2014
This paper examines the impact rising rates are likely to have on high yield bond performance. We conclude that while a rising rate environment would detract from high yield returns, historically returns
More informationUpdate Presentation with Larry Holzenthaler. January 2016
Update Presentation with Larry Holzenthaler January 2016 Reminder Loans Have First Priority Loans have priority over Bonds, Preferred Shares, Common Equity Most senior tranche of the capital structure
More informationPerspectives May 2011
Perspectives May 2011 Senior Secured Loans Questions You Should Be Asking About Senior Secured Loans Joe Lemanowicz Principal and Head of Senior Secured Loan Sector Team Prudential Fixed Income Senior
More informationSeeking Alternatives. Senior loans an innovative asset class
Trends 09 10.11 Seeking Alternatives Senior loans an innovative asset class Dirk Wieringa, Alternative Investments Advisory Senior loans are an innovative asset class that provide a hedge against rising
More informationThe Credit Analysis Process: From In-Depth Company Research to Selecting the Right Instrument
Featured Solution May 2015 Your Global Investment Authority The Credit Analysis Process: From In-Depth Company Research to Selecting the Right Instrument In today s low yield environment, an active investment
More informationHigh Yield Today compared to recessionary periods
High Yield Today compared to recessionary periods Q Newsletter Recession is when a neighbor loses his job. Depression is when you lose yours -Ronald Reagan (9-4), 4 th US President Are HY spreads signaling
More informationHow To Invest In High Yield Bonds
Investment Perspectives For high-yield bonds, market volatility can bring new opportunities Kevin Lorenz and Jean Lin, portfolio managers for TIAA-CREF High-Yield Fund Article Highlights: The decline in
More informationNORTHERN TRUST HIGH YIELD FIXED INCOME QUARTERLY UPDATE. Highlighting attribution, economic and market analysis
NORTHERN TRUST HIGH YIELD FIXED INCOME QUARTERLY UPDATE Highlighting attribution, economic and market analysis December 31, 2015 Northern Trust Asset Management 50 South La Salle Street Chicago, Illinois
More informationHigh Yield Bonds A Primer
High Yield Bonds A Primer With our extensive history in the Canadian credit market dating back to the Income Trust period, our portfolio managers believe that there is considerable merit in including select
More informationHolding the middle ground with convertible securities
January 2015» White paper Holding the middle ground with convertible securities Eric N. Harthun, CFA Portfolio Manager Robert L. Salvin Portfolio Manager Key takeaways Convertible securities are an often-overlooked
More informationBond Market Insights October 10, 2014
Bond Market Insights October 10, 2014 by John Simms, CFA and Jerry Wiesner, CFA General Bond Market Treasury yields rose in September as prices fell. Yields in the belly of the curve (5- to 7-year maturities)
More informationEnergizing High Yield Bond Investors: Finding Opportunities Amid Shifting Market Conditions
SM Energizing High Yield Bond Investors: Finding Opportunities Amid Shifting Market Conditions Energizing High Yield Bond Investors: Finding Opportunities Amid Shifting Market Conditions Contents Executive
More informationFloating-Rate Securities
Floating-Rate Securities A floating-rate security, or floater, is a debt security whose coupon rate is reset at designated dates and is based on the value of a designated reference rate. - Handbook of
More informationGlobal Bond Fund FAQ April 2016
April 2016 333 S. Grand Ave., 18th Floor Los Angeles, CA 90071 (213) 633-8200 1. What is the investment objective of the DoubleLine s Global Bond Fund? The DoubleLine Global Bond Fund seeks to generate
More informationPositioning Fixed Income for Rising Interest Rates
Positioning Fixed Income for Rising Interest Rates Investment Case: High-Yield Bonds Hedged with U.S. Treasuries Market Vectors Investment Grade Floating Rate ETF Designed to hedge the risk of rising interest
More informationDocumeent title on one or two. high-yield bonds. Executive summary. W Price (per $100 par) W Yield to worst 110
April 2014 TIAA-CREF Asset Management Documeent title on one or two The lines enduring Gustan case Book for 24pt high-yield bonds TIAA-CREF High-Yield Strategy Kevin Lorenz, CFA Managing Director Portfolio
More informationBond Outlook. Third Quarter 2014. Waiting on the Fed. 10-Year Treasury Yields. Treasury Bonds. Break-even Inflation Rate
Third Quarter 21 Waiting on the Fed Despite a strong rebound in domestic economic activity with gross domestic production accelerating toward %, persistent low inflationary pressures and dramatically lower
More informationEXECUTIVE SUMMARY. The commodity related sectors of Energy and Metals & Mining suffered the most damage.
HIGH YIELD MARKET UPDATE May 2016 Christopher C. Langs, CFA Vice President Taxable Bond Portfolio Manager EXECUTIVE SUMMARY The severe commodity selloff that began in late 2014 has had a profound impact
More informationFixed Income Strategy Quarterly April 2015
Doucet Asset Management Fixed Income Strategy Quarterly April 2015 The first quarter of 2015 was a fairly uneventful one. Across the world, the pullback in yields we witnessed in 2014 continued; however,
More informationINSIGHTS OPPORTUNITIES IN THE ASIAN HIGH YIELD SPACE. August 2013
INSIGHTS August 2013 OPPORTUNITIES IN THE ASIAN HIGH YIELD SPACE Leong Wai Mei is part of the Asian Fixed Income team and the fund manager for the Eastspring Investments - Asian High Yield Bond Investors
More informationFixed Income Liquidity in a Rising Rate Environment
Fixed Income Liquidity in a Rising Rate Environment 2 Executive Summary Ò Fixed income market liquidity has declined, causing greater concern about prospective liquidity in a potential broad market sell-off
More informationPerspectives September
Perspectives September 2013 Quantitative Research Option Modeling for Leveraged Finance Part I Bjorn Flesaker Managing Director and Head of Quantitative Research Prudential Fixed Income Juan Suris Vice
More informationDocumeent title on one or two. high-yield bonds. Executive summary. W Price (per $100 par) W Yield to worst 110
May 2015 TIAA-CREF Asset Management Documeent title on one or two The lines enduring Gustan case Book for 24pt high-yield bonds TIAA-CREF High-Yield Strategy Kevin Lorenz, CFA Managing Director Portfolio
More informationYukon Wealth Management, Inc.
This summary reflects our views as of 12/15/08. Merrill Lynch High Yield Master Index effective yield at 23%. Asset Class Review: High-Yield Bonds Executive Summary High-yield bonds have had a terrible
More informationUnconstrained Fixed Income
Unconstrained Fixed Income A Dynamic and Flexible Approach to Fixed Income Investing 26th ANNUAL TEXPERS CONFERENCE Global Fixed Income & Liquidity Management March 2015 This material is provided for educational
More informationPioneer Multi-Asset Ultrashort Income Fund
Pioneer Multi-Asset Ultrashort Income Fund A diversified, investment grade-focused approach to floating rate investing MAFRX INVESTOR GUIDE Pioneer Multi- Asset Ultrashort Income Fund* Share Class A C
More informationANY GAS LEFT IN THE HIGH-YIELD MUNICIPAL TANK?
May 9, 2016 ANY GAS LEFT IN THE HIGH-YIELD MUNICIPAL TANK? A favorable credit environment and technical factors have contributed to strong high-yield municipal performance. We see limited room for further
More informationUnderstanding Bank Loans: Opportunities for Diversification and Risk Reduction
Understanding Bank Loans: Opportunities for Diversification and Risk Reduction December 28 By: Niklas Nordenfelt, CFA Senior Portfolio Manager, Co-Manager of Sutter High Yield Fixed Income Paolo L. Villasenor
More informationA leveraged. The Case for Leveraged Loans. Introduction - What is a Leveraged Loan?
PENN Capital Management The Navy Yard Corporate Center 3 Crescent Drive, Suite 400 Philadelphia, PA 19112 Phone: 215-302-1501 www.penncapital.com For more information: Christian Noyes, Senior Managing
More informationManaging Risk/Reward in Fixed Income
INSIGHTS Managing Risk/Reward in Fixed Income Using Global Currency-Hedged Indices as Benchmarks In the pursuit of alpha, is it better to use a global hedged or unhedged index as a benchmark for measuring
More informationMADISON CORPORATE BOND FUND INVESTMENT STRATEGY LETTER
madisonadv.com madisonfunds.com 2015 2Q EXCELLENCE IN INVESTMENT MANAGEMENT MADISON CORPORATE BOND FUND INVESTMENT STRATEGY LETTER Market Review With Independence Day fast approaching, fireworks began
More informationInvestment Portfolio Management and Effective Asset Allocation for Institutional and Private Banking Clients
Investment Portfolio Management and Effective Asset Allocation for Institutional and Private Banking Clients www.mce-ama.com/2396 Senior Managers Days 4 www.mce-ama.com 1 WHY attend this programme? This
More informationInterest Rates and Inflation: How They Might Affect Managed Futures
Faced with the prospect of potential declines in both bonds and equities, an allocation to managed futures may serve as an appealing diversifier to traditional strategies. HIGHLIGHTS Managed Futures have
More informationTaxable Fixed Income Outlook: Waiting for Those Rising Rates
Taxable Fixed Income Outlook: Waiting for Those Rising Rates Market Commentary Fourth quarter 2014 MOST INVESTORS UNDERSTAND THAT INTEREST RATES ARE UNPREDICTABLE. But we suspect few believed rates could
More informationA Bail-In or a Bail-Out? New Risks on the Horizon in the Banking Sector
The US banking sector is currently characterized by good credit fundamentals and supportive technicals. A key risk offsetting this credit strength is the prospect of a new bank resolution regime (Orderly
More informationHigh Yield Bond fund flows know the flows
NYSSA High Yield Bond Conference, June 2011 High Yield Bond fund flows know the flows WWW.EPFR.COM Investors have poured money into high-yield bond funds at a record pace this year as they seek less-risky
More informationA GUIDE TO FLOATING RATE BANK LOANS:
Contact information: Advisor Services: (631) 629-4908 E-mail: info@catalystmf.com Website: www.catalystmf.com A GUIDE TO FLOATING RATE BANK LOANS: An Attractive Investment for a Rising Interest Rate Environment
More informationWright State University Investment Fund Combined
Wright State University Investment Fund Combined Your Client Portfolio Management Team: John Cavaliere Client Portfolio Manager +1 (610) 676-2614 JPCavaliere@seic.com Lisa Herzog CAIA Client Service Director
More informationto Wealth Management resources of one of the world s largest financial services firms. The Caribbean Group
A Defined Approach to Wealth Management Giving UWI access to the combined resources of one of the world s largest financial services firms. The Caribbean Group The information in this presentation is intended
More informationBank Loans vs. Global High Yield Caveat Emptor vs. Carpe Diem
Topical Insight February 6, 13 Bank Loans vs. Global High Yield Caveat Emptor vs. Carpe Diem The significant decline in nominal yields and commensurate decline in risk premiums of U.S. high yield bonds
More informationHigh Yield Market and Bumble Bee Credit Analysis. Amil V. Schiaffino, CFA High Yield Strategist
High Yield Market and Bumble Bee Credit Analysis Amil V. Schiaffino, CFA High Yield Strategist UPCOMING EVENTS SAVE THE DATE Wednesday, October 1, 2014*: Mike Trihy, CFA, Vice President of Portfolio Strategy
More informationThe Case for High Yield, Revisited
The Case for High Yield, Revisited DAN DOYLE, CFA MANAGING DIRECTOR AUGUST 214 While volatility has recently increased in the high-yield market, we believe this has been largely driven by technicals, not
More informationEuropean high yield in 2015: a tale of two markets An M&G Investments Institutional briefing December 2015
European high yield in 215: a tale of two markets An M&G Investments Institutional briefing December 215 Weakness in US high yield in the last months of 215 has highlighted the relative strength of the
More informationInvestment insight. Fixed income the what, when, where, why and how TABLE 1: DIFFERENT TYPES OF FIXED INCOME SECURITIES. What is fixed income?
Fixed income investments make up a large proportion of the investment universe and can form a significant part of a diversified portfolio but investors are often much less familiar with how fixed income
More informationHigh Yield Credit: An Evaluation for Prospective Insurance Company Investors
High Yield Credit: An Evaluation for Prospective Insurance Company Investors Low interest rates challenging traditional insurance company business model More insurance companies using high yield to mitigate
More informationTreasury Floating Rate Notes
Global Banking and Markets Treasury Floating Rate Notes DATE: April 2012 Recommendation summary The USD 7trn money market should support significant FRN issuance from the Treasury. This would diversify
More informationLeveraged Bank Loans. Prudential Investment Management-Fixed Income. Leveraged Loans: Capturing Investor Attention August 2005
Prudential Investment Management-Fixed Income Leveraged Loans: Capturing Investor Attention August 2005 Ross Smead Head of US Bank Loan Team, Prudential Investment Management-Fixed Income Success in today
More informationHigh Yield Fixed Income Credit Outlook
High Yield Fixed Income Credit Outlook Brendan White, CFA Portfolio Manager, Touchstone High Yield Fund Fort Washington Investment Advisors, Inc. September 28, 2011 The opinions expressed are current as
More informationTime to Invest in Short-Term Bonds?
First Quarter 2010 Time to Invest in Short-Term Bonds? Executive Summary This paper outlines why now may be an opportune time to invest in short-term bonds. We believe short-term bonds offer: Less downside
More informationThe Interest Rate Environment: Comparing High Yield Bonds and Bank Loans
The Interest Rate Environment: Comparing High Yield Bonds and Bank Loans 2013 1Q Newsletter Whenever you find yourself on the side of the majority, it is time to pause and reflect. Mark Twain (1835 1910)
More informationMarket Review and Outlook
Market Review and Outlook Cedar Hill Associates, LLC January 2016 www.cedhill.com 6111 North River Road, Suite 1100, Rosemont, Illinois 60018 Phone: 312/445-2900 An affiliate of MB Financial Bank Table
More informationFixed Income: The Hidden Risk of Indexing
MANNING & NAPIER ADVISORS, INC. Fixed Income: The Hidden Risk of Indexing Unless otherwise noted, all figures are based in USD. Fixed income markets in the U.S. are vast. At roughly twice the size of domestic
More informationMoody s Analytics Solutions for the Asset Manager
ASSET MANAGER Moody s Analytics Solutions for the Asset Manager Moody s Analytics Solutions for the Asset Manager COVERING YOUR ENTIRE WORKFLOW Moody s is the leader in analyzing and monitoring credit
More informationAre Unconstrained Bond Funds a Substitute for Core Bonds?
TOPICS OF INTEREST Are Unconstrained Bond Funds a Substitute for Core Bonds? By Peter Wilamoski, Ph.D. Director of Economic Research Philip Schmitt, CIMA Senior Research Associate AUGUST 2014 The problem
More informationNOTHING BUT THE FACTS: U.S. BOND MARKET LIQUIDITY
NOTHING BUT THE FACTS: U.S. BOND MARKET LIQUIDITY This Nothing But the Facts statement by the Committee on Capital Markets Regulation seeks to provide clarity regarding recent changes in the liquidity
More informationCALVERT UNCONSTRAINED BOND FUND A More Expansive Approach to Fixed-Income Investing
CALVERT UNCONSTRAINED BOND FUND A More Expansive Approach to Fixed-Income Investing A Challenging Environment for Investors MOVING BEYOND TRADITIONAL FIXED-INCOME INVESTING ALONE For many advisors and
More informationBank Loans vs. Global High Yield Caveat Emptor vs. Carpe Diem
Topical Insight February 6, 13 Bank Loans vs. Global High Yield Caveat Emptor vs. Carpe Diem The significant decline in nominal yields and commensurate decline in risk premiums of U.S. high yield bonds
More informationSTANTON ASSET MANAGEMENT
STANTON ASSET MANAGEMENT CORPORATE FIXED INCOME MARKET MONITOR Fourth Quarter 214 Canadian Corporate Bonds Fourth Quarter 214 Data as of December 31, 214 Market Data (Avg.) Size Performance Spread DuraIon
More information20 August 2013. Can the dividend
2 August 213 Can the dividend d theme thrive in a rising rates environment? Grace Tam Vice President Global Market Strategist J.P. Morgan Funds Ben Luk Market Analyst Global Market Strategy Team J.P. Morgan
More informationGuggenheim Investments. European High-Yield and Bank Loan Market Overview
Guggenheim Investments European High-Yield and Bank Loan Market Overview August 2015 European High-Yield & Bank Loan Market Overview Please see disclosures and legal notice at end of document. 2 August
More informationSummit Strategies Group 8182 Maryland Avenue, 6th Floor St. Louis, Missouri 63105 314.727.7211
Summit Strategies Group 8182 Maryland Avenue, 6th Floor St. Louis, Missouri 63105 314.727.7211 Quarterly Review Fixed Income Market Update FIXED INCOME MARKET SECTOR RETURNS 2004 2005 2006 2007 2008 2009
More information