• Following a challenging 2015, high yield bonds enjoyed a healthy bounce back in 2016, generating returns of approximately 17.5%.1
  • On the heels of such a strong total return, it is important to note that high yield bonds have, at times, turned in solid encore performances in the calendar year immediately after they generated double-digit total returns.
  • High yield bonds have returned 10% or more in 14 of the 30 years since the Bank of America Merrill Lynch U.S. High Yield Master II Index’s inception in 1986.1 In four cases, they generated double-digit returns for two or more consecutive years.1
  • Returns on high yield bonds have varied greatly in the year following a double-digit return, from approximately 2.3% to 17.4%. Yet their average total return the first year after a 10%-plus return is approximately 9.5%.1

1 Bank of America Merrill Lynch U.S. High Yield Master II Index.


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