Since their widespread issuance in the 1980s, high yield bonds have become an important component of investors’ asset allocations and have provided the financing necessary to support a large segment of our economy. Many investors in this space prefer the debt of well-known, larger-cap issuers that are often rated just below investment grade (e.g., BB-rated), but there are a myriad of opportunities in smaller, underfollowed issuers. Taking the time to analyze these often misrated and/or misunderstood companies and then having the ability to invest throughout their capital structures is one of the many ways that we employ a differentiated approach to creating alpha in this segment of the market for our clients.
As traditional forms of communication have evolved towards social media and digital content, we deemed it necessary to change the way we communicate with our clients as well as anyone interested in our investment process, observations and outlook. We trust this type of information will be useful to you when making investment decisions.
Going forward, we will be sharing:
- Interviews and insights from our portfolio managers;
- Areas in the market where we are finding value;
- Data-driven graphs and statistics; and
- Commentary around our performance, positioning, and market outlook.
The Team at DDJ Capital Management
The information and views expressed herein are provided for informational purposes only, and do not constitute investment advice, are not a guarantee of future performance, and are not intended as an offer or solicitation with respect to the purchase or sale of any security. The inclusion of particular investment(s) herein is not intended to represent, and should not be interpreted to imply, a past or current specific recommendation to purchase or sell an investment. Any projections, outlooks or estimates contained herein are forward-looking statements based upon specific assumptions and should not be construed as indicative of any actual events that have occurred or may occur. This material has been prepared using sources of information generally believed to be reliable; however, its accuracy is not guaranteed. Investing involves risk, including loss of principal. Investors should consider the investment objective, risks, charges and expenses carefully before investing with DDJ. Past performance is no guarantee of future returns.