DB: 2017 High Yield Market Likely Different From 2016 “High Yield is Good Yield” Environment

Are the good times over in the High Yield Market?

Although interest rate stocks and high yield investments were significantly moved by the election of Donald Trump – some positive, such as bank stocks, some negative, such as utilities – there was one strong yielding strategy that didn’t much get fazed. The “high yielder – good yielder” investment strategy in high yield corporate securities has been strong in 2016. But what about 2017? Deutsche Bank Strategists Guilherme Marone and Sebastian Brown think key segments of this investing market environment are about to change.

High Yield Market - 2016 was a great year

The...