What is High Yield Bond Mutual Funds?
High-yield bond funds invest mainly in lower-quality bonds, which are riskier than those of higher-quality companies. These mutual funds typically offer higher yields than other types of funds. These funds are also more vulnerable to economic and credit risk.High yield bond funds mainly invest in U.S. high-income debt securities where at least 65% or more of bond assets are not rated or are rated by a major rating agency such as Standard & Poor's or Moody's at the level of BB (considered speculative for taxable bonds) and below.
Best High Yield Bond Mutual Funds 2017
Top 5 high yield bond mutual funds for 2017 are:- Artisan High Income Fund (ARTFX)
- Fairholme Focused Income Fund (FOCIX)
- Fidelity Capital & Income Fund (FAGIX)