The Case for a Globally Diversified High Yield Portfolio

With few high yielding alternatives available in today's investing environment "drought", it is not surprising there is a strong demand for high-yield securities. In Aberdeen's view, the current economic environment should provide a highly beneficial climate for high-yield fixed income asset class. High-yield credit spreads are well above where they have been historically when the default outlook is benign, creating an ideal opportunity for investors. Emerging market high-yield corporate debt offers attractive diversification benefits across geographic regions, with low correlations to US Treasuries and a global approach to high-yield may provide a much broader universe of investment opportunities.