The company is accustomed to charging a premium for its products, which yield high margins.
Investment in this industry is just and appropriate, and will yield high-paying jobs in the United States.
There are attractive opportunities in both high yield loans and high yield bonds and the details really do matter.
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The notion that owning high-risk stocks will yield high returns over the long haul is a bedrock of modern finance.
Equitably harnessed and properly managed, all these resources can yield high-returns on investments for the benefit of the LDCs and the global economy.
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BlackRock High Income Shares and BlackRock Corporate High Yield Fund III, BlackRock Corporate High Yield Fund V and BlackRock Corporate High Yield Fund VI.
Gallardo told the investors that she would purchase condominiums and that these properties would quickly yield high rates of return: a 100 percent in only 30 days.
But high costs can also yield high returns.
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High yield bond funds like Janus High-Yield (JAHYX) or Fidelity High Income (SPHIX) have consistently performed better than high yield ETFs like SPDR Barclays Capital High Yield ( JNK) and iShares iBoxx High Yield ( HYG) and with less volatility.
In short, the yield on high yield bonds is not low because investors are inadequately compensated for risk.
For one, liquidity remains strong in the corporate bond market, as spreads in both high yield and high grade corporates have remained relatively tight.
Shares of JNK have a positive edge in the short-term of just over three quarters of a percent, significantly higher than its rival, high yield bond ETF, the iBoxx High Yield Corporate Bond Fund (NYSE: HYG).
Consider a high yield exchange-traded fund like the Barclays High Yield Bond SPDRS ETF (NYSE: JNK).
Here is a chart which shows the credit spread of high yield bonds vs. the default rate of high yield bonds since 1997.
Does this mean that high yield bonds are over-valued? (likely), that Treasury bonds are over-valued, since high yield bonds are priced as a spread above Treasuries? (very likely), and that high quality stocks in a universe of mostly overvalued liquid assets are relatively cheap? (likely).
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This year through the end of October, the SPDR Barclays Capital High Yield Bond ETF (JNK) and the iShares iBoxx High Yield Corporate Bond (HYG) are up 12.6% and 10.1%, respectively.
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As a final note, the historically narrow spread between high yield bonds and Triple-B corporates does not mean that the high yield asset class is materially overvalued.
The yield on high-yield bonds has risen to 9.33%, the highest level since 2002 and a sign of growing default risk, even though defaults remain near a historic low.
Given the greater liquidity in the high yield market, some arrangers are a lot more comfortable underwriting senior secured bridge loans to high yield and then flexing and structuring the capital structure based on market demand.
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The return on high-yield bonds according to the Merrill Lynch High Yield Bond Index is the highest it has ever been, at 7%, up 2.9% year-to-date.
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In 17 out of 19 cases high yield bonds produced positive returns despite negative returns on Treasures and in 19 out of 19 cases high yield bonds outperformed Treasuries.
The longest available series for high-yield bond returns is the Merrill Lynch 100 High Yield Index.
But in my discussions with Matt Philo, head of MacKay Shields High Yield Group and a longtime investor in both high-yield bonds and loans, we concluded that generalizing is often difficult to do in the investment business.
At the beginning of 2004, the real yield of the high yield index stood at 5.20%, only slightly higher than the May 2011 level of 4.78%.
Emerging market and investment grade bonds have sold off in the last few days, and the dollar high-yield index has plateaued, but European high-yield has remained on course, edging higher.
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The new tax is even more reason to move income-generating investments such as high-yield bonds or high-turnover mutual funds into tax-sheltered accounts such as IRAs, says Eric Lewis, a principal at Bedrock Capital Management, a financial-planning firm in Los Altos, Calif.
Two high-yield bond funds Appel is still holding: Northeast Investors Trust ( NTHEX) and Federated High-Yield Trust ( FHYTX) .
As default risk is the primary driver of high-yield corporate bond prices, as opposed to interest rate direction, when the economy expands, the risk of high-yield corporate bonds defaulting is reduced and this is reflected in lower volatility.
During May, the yield on the Merrill Lynch High Yield Master II Index jumped from 8.29% to 9.29%.
With a yield this high, it is legitimate to ask: is the dividend sustainable?
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