Yeah, I pair HY with LTT at equal weight and rebalance.Some equity-oriented investors use a 50/50 HY/Treasury combo as their entire 36% fixed-income (cash alternative). When spreads are tight, they may increase the HY to produce more income, and when spreads are wide, decrease the HY. The two assets tend to act opposite in different markets.
They're not trying to do much more than reduce typical cash opportunity cost and provide decent yields.
Statistics: Posted by Beensabu — Sun Mar 03, 2024 3:40 pm — Replies 42 — Views 3836
