S&P downgrades Fidelity duo in High Income review

ratings

Two funds from Fidelity were the only vehicles to suffer downgrades in S&P's latest review of the Hi...

Two funds from Fidelity were the only vehicles to suffer downgrades in S&P's latest review of the High Income sector. Extra Income and the Luxembourg-domiciled European High Yield, both managed by Ian Spreadbury, have dropped from AA to A with performance suffering over the past few years. James Tew, head of fund research at S&P, said Spreadbury has become more cautious on high yield as be believes the corporate credit cycle is turning negative. Of the Extra Income fund, Tew said: "He has maintained the allocation to high yield at the lower end of its 30% to 50% range, keeping firepower ...