Marty Fridson: Risks and Opportunities in High Yield

摘要

High-yield bond guru Marty Fridson warns that investors shouldn't fall back on the conventional thinking to shorten maturities when long-term interest rates begin a cyclical rise. In an interview with Institutional Investor Journals, Fridson offers an interesting analysis of two prior periods of rising bond yields where shortening maturities didn't work. Counter-intuitively, high-yield investors will be better positioned in this cycle by considering lower-rated bonds and making selective industry picks, he advises. Fridson presented his views at the 69th CFA Institute Annual Conference.