StrongVest Insights

Words of financial wisdom from the StrongVest team

Tag: Junk Debt

Feed the Ducks While They Are Quacking: Time to Reduce Lower Quality Bond Positions

by Lewis Johnson, Sub-Advisor, Co-Chief Investment Officer at Capital Wealth Advisors // Jan 25, 2018

Chief Conclusion: Clients will begin to see a thoughtful winnowing of our selected holdings in corporate bonds rated less than investment grade. The relentless search for yield has resulted in a dramatic reduction in the premium that investors once earned by taking more credit risk. The good news is, investors in this lower quality asset...