High Yield Outlook
The paper examines the market conditions in 2019 and provides insight into what investors can expect from yields in 2020.
The recent decline of global bond yields in 2019 resulted in strong total returns across every segment of the bond market including high yield. As we begin the year, we estimate approximately 90% of the market value of the global high yield universe is trading along a historical bottom in yields. In this outlook, we explain why yields are so low and why we believe maintaining an allocation to high yield still makes sense for fixed income investors.