Sentences with phrase «junk bond funds invest»

High yield bond funds or junk bond funds invest in corporate bonds that are below investment grade.

Not exact matches

You can invest in bond funds by stated maturities (short - term, intermediate - term, long - term), credit quality (treasuries, junk bonds, investment grade corporate bonds) or pretty much any other way you can separate bond investments.

The fund can purchase securities of any credit quality, including those in default, but it will primarily invest in investment - grade debt, with no more than 20 % of the portfolio invested in junk bonds.

Other factors also impact portfolio performance; most notably, the specific market segments in which it is invested — durations of junk bond funds will exceed durations of treasury funds with similar maturities.

Meanwhile, Bloomberg reports that pension funds, squeezed for sources of safe return, have been abandoning their investment grade policies to invest in higher yielding junk bonds.

There are also funds that invest in a specific type of security, such as junk bonds or preferred stocks.

Although the advisor intends to invest at least 65 % of the fund's net assets in municipal bonds rated investment grade or in unrated municipal bonds that fund management believes are of comparable quality, it is possible that in the future the fund could invest up to 100 % of its assets in «junk bonds.»

The fund may invest in foreign securities, junk bonds, ETFs, REITs, futures and options and other types of derivatives.

Similarly, some high - yield bond funds may also be too risky if they invest in low - rated or junk bonds to generate higher returns.

I invest that middle - term money in a mix of junk high yield bond funds and «high» yield savings accounts at an online bank.

Guggenheim also offers defined maturity funds that invest in junk bonds.

(The funds offered by Guggenheim below do invest in both «junk» bonds and include financials.)

Guggenheim Investments currently offers 14 of these funds, 8 of which invest in investment grade bonds, 6 of which invest in high yield or «junk» bonds.

The fund may invest up to 100 % of its managed assets in below - investment grade debt securities (commonly referred to as «high - yield» or «junk» bonds).

The fund may invest without limit in high yield fixed - income securities (often referred to as «junk bonds»).

Vanguard's high - yield corporate bond fund, which invests in low - quality «junk» bonds, made money in 2013, returning 4.5 %.

Putnam Income Fund Investment Option invests in Putnam Income Fund, which invests mainly in securitized debt instruments (such as mortgage - backed investments) and other obligations of companies and governments worldwide denominated in U.S. dollars, are either investment - grade or below investment - grade (sometimes referred to as «junk bonds») and have intermediate to long maturities (three years or longer).

In 1978, he launched a fund at Citibank that invested in junk bonds at a time when most investment firms thought them too risky to own — a «powerful bias» that produced marvelous inefficiencies.

However, a junk bond can be a useful diversification tool if you are intimately familiar with the company and its operations, and investing a small part of your portfolio in a high - yield bond fund might be a good strategy.

Less risky bond funds invest in corporate bonds while riskier endeavors toy with junk bond funds in an effort to elicit a higher return.

These strategies, above all else, are dependent on the market's risk appetite for funding / junk bonds — so, perversely, the greatest interest & success in activist investing inevitably arrives at the top of the market...]

The fund may also invest up to 10 % of its net assets in bonds rated below investment grade (sometimes called junk bonds) or their unrated equivalents as determined by the investment adviser.

The Peritus High Yield ETF (HYLD) shops the total junk bond market, but management has invested the fund in only 59 issues.