Faculty Publications


Should You Be Shopping for Junk Bonds in This Market?

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Given that interest rates are likely to rise further, and that junk bond valuations have declined over the last year and a half, investors may want to shop for a little junk to add to their portfolios.

The last few weeks have seen the high-yield bond market in the news for all of the wrong reasons. Third Avenue Focused Credit Fund -- a mutual fund that specialized in investing in high-yielding loans and securities issued by struggling companies -- halted redemptions.