As global quantitative easing begins to withdraw from the market’s economic system, knock-on effects are being noticed. This could mainly impact the high-grade credit markets in Europe, as regional central bankers start to restrict the free-flowing supply of corporate bond buying in the region. The good news for high-grade corporate bondholders in a March 2018 Bank of America Merrill Lynch US Credit Investor Survey shows that concerns regarding “asset bubbles” are receding. BAML’s High-Grade Strategy team of Hans Mikkelsen, Yuri Seliger, and Yunyi Zhang see a “compression trade” in the making. High-grade corporate bond investors in the BAML survey are…
High Yield Investors Throwing In The Towel
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.