city
yellow
High Yield Signals Trouble
Posted: Monday, January 11th, 2016

Over the past twelve months there has been a growing divergence between the performance of high yield corporate bonds and U.S. equities. Given the historically strong correlation between these two markets, we believe this divergence is a warning sign to market participants. High yield corporate bond spreads reached their tightest levels in June 2014 and have since continued to widen even though equity markets have continued to rally. What are investors to make of this unusual divergence between these two asset classes which are normally highly correlated?

Read the PDF

logo

DoubleLine

333 S. Grand Ave.
18th Floor
Los Angeles
CA 90071

213.633.8200

 

This is a Test!

DoubleLine is testing their emergency back-up plan. If this were a real emergency, DoubleLine would be posting any news, updates, contact information, webcast or conference call information regarding the situation here on the website.

×
 

Please fill in your information below in order to open this article in your browser.

I am an Institutional Investor