yield

Don’t ignore the bigger picture

Given the strong returns of yield-rich asset classes in recent years, caution should be exercised in allowing income-themes to dominate investment allocations. David Scobie of Mercer writes.

David ScobieJuly 19, 2016

Foundations and endowments flock to long duration

The risk of a US equity market decline and concerns over the future direction of interest rates has been driving US foundations and endowments’ asset allocation decisions in the past year, with a distinct move away from US equity to global allocations and away from US-focused core to longer duration and high yield. The latest […]

Amanda WhiteMay 28, 2014

Research

Investors add to credit cycle

Reaching-for-yield — the propensity to buy riskier assets in order to achieve higher yields — is believed to be an important factor contributing to the credit cycle. This Harvard Business School finance working paper analyses this phenomenon in the corporate bond market. The paper’s authors Bo Becker and Victoria Ivashina show evidence for reaching for […]

August 22, 2012