Bond Investors Take Ever-Riskier Bets in Hunt for Returns
Bond Investors Take Ever-Riskier Bets in Hunt for Returns Bloomberg 2 hrs ago Jack Pitcher and Laura Benitez (Bloomberg) -- Bond investors, emboldened by a recovering economy and a global vaccine rollout, are taking on more risk, sometimes a lot more risk. Popular Searches Insurers, pension systems and high-grade credit managers in the U.S. and Europe are buying bigger amounts of junk-rated debt to offset shrinking yields, forcing high-yield investors to jostle for allocations of BB rated bonds -- the safest and largest part of their class with 60% of the market. Some fund m...