{"id":670333,"date":"2010-02-19T15:22:00","date_gmt":"2010-02-19T20:22:00","guid":{"rendered":"e2249889-c78b-43e3-9643-b1d7d4aa587b:398151"},"modified":"2010-02-19T15:22:00","modified_gmt":"2010-02-19T20:22:00","slug":"high-yield-bonds-still-attractive","status":"publish","type":"post","link":"https:\/\/mereja.com\/index\/670333","title":{"rendered":"High yield bonds still attractive"},"content":{"rendered":"<p>2010 is supposed to be a tough year for bonds, but it&#39;s so far, so good when it comes to the corporate variety.&nbsp;<\/p>\n<p>Indeed, during the recent market slump, corporate bonds have nicely outperformed other &#39;risk assets&#39; like stocks. Backed by strong fundamentals, the rest of this year is also shaping up well, says UBS analyst Larry Hatheway.<\/p>\n<p>&quot;Earnings and revenues are recovering strongly, debt levels<br \/>\nare under control and debt service ability is good,&quot; the economist said. &quot;Credit default<br \/>\nrates have peaked, and healthy fundamentals suggests further improvement to come.&quot;  <\/p>\n<p>If there is any concern, Mr. Hatheway said it is the fact that valuations have somewhat discounted the fundamentals, particularly in investment grade corporate bonds.<\/p>\n<p>However, with the prospect of lower default rates, yields and spreads in high-yield credit remain relatively attractive, he said. <\/p>\n<p>&quot;We retain our overweight of high-yield credit and market-weight of investment grade corporate bonds. Inflation-linked and government bonds remain underweight in our model portfolio.&quot; <\/p>\n<p><a href=\"mailto:dpett@nationalpost.com%20\">David Pett<\/a><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/network.nationalpost.com\/NP\/aggbug.aspx?PostID=398151\" width=\"1\" height=\"1\"><\/p>\n","protected":false},"excerpt":{"rendered":"<p>2010 is supposed to be a tough year for bonds, but it&#39;s so far, so good when it comes to the corporate variety.&nbsp; Indeed, during the recent market slump, corporate bonds have nicely outperformed other &#39;risk assets&#39; like stocks. Backed by strong fundamentals, the rest of this year is also shaping up well, says UBS [&hellip;]<\/p>\n","protected":false},"author":2571,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"advanced_seo_description":"","jetpack_seo_html_title":"","jetpack_seo_noindex":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4821],"tags":[],"class_list":["post-670333","post","type-post","status-publish","format-standard","hentry","category-news"],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9NivD-2OnP","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/posts\/670333","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/users\/2571"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/comments?post=670333"}],"version-history":[{"count":0,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/posts\/670333\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/media?parent=670333"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/categories?post=670333"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.com\/index\/wp-json\/wp\/v2\/tags?post=670333"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}