High-yield returns are reliant upon risk markets and stockpicking

Spreads are currently lower than they have ever been so careful stockpicks are required

This week's debate, hosted by James Tew, Standard & Poors, focuses on high-yield bonds, with Keith Swabey from JPMorgan and Adam Cordery from Schroders in attendance. What have been the key determinants on high-yield returns over the past six months? KS: High-yield has been about capital gains through taking risk. That is probably best expressed in the tightening of the spreads across the asset class and effectively the more risk that you have take, then the higher the returns. It doesn't really matter whether it is the US, UK or Europe, because all of these risk markets tend to move ve...