It seems everyone is moving to yield. Am wondering if this is the safer route for prognosticors or if they really believe one will do better with a high yield portfolio than a growth portfolio.
There is a lot to like here but, as the author points out, is not without risk.
The question one must ask is when will investors abandon money markets and low-yielding vehicles and be when will they assume higher risk?
I feel a couple of the above mentioned ETFs have a place in my portfolio. I already own JNK, the junk bond ETF, and done well with it. I began buying it with a yield of about 18%, it now yields about 14%. Should corporate bond defaults begin to be announced I will head for the hills.
