The success story of high yield bonds

High yield bonds have been receiving an annual income in the region of 10% and all indications are this will continue, writes Marlborough's Paul Reed

While global economic woes and volatile equity markets have dominated the headlines, high yield bonds have been the success story quietly delivering attractive yields for investors in the background. Make no mistake, this is a specialist field in which direct investment is best left to the professionals, but investors in the best-performing high yield funds have been receiving an annual income in the region of 10%. And all the indications are this will continue. This level of income was accompanied by average capital growth of 30% in the sector over the 12 months to the beginning of J...