Today we are featuring top-performing “Corporate High Yield” fixed income mutual funds, which primarily seek high current income through investment in lower-rated corporate bonds.
Investors can find such funds by checking out the entire list of the Zacks #1 Rank Corporate High Yield Fixed Income Funds.
3 Solid Samples
PIMCO Fundamental Advantage Total Return Institutional (PFATX) seeks long-term growth of capital. The fund invests at least 80% of its assets in equity securities and derivatives in the technology-related sector.
The fund invests at least 50% of its gross income or its net sales income from activities in the sector. The fund may invest its assets in foreign securities.
Unit holders have to make a minimum initial investment of $5,000,000 to enter this Zacks#1 Rank (“Strong Buy”) fund. As of June 2009, its portfolio turnover was 621%.
William H. Gross has been lead manager of the fund since February 2008. Gross is a Chartered Financial Analyst and has been recognised as the most influential authority on the bond market in the United States in a 1993 survey by Pension and Investments Magazine.
RS High Yield Bond A (GUHYX) was incepted in September 1998. The fund seeks current income with capital appreciation as a secondary objective.
The fund invests at least 80% of its assets in corporate bonds and other debt securities that, at the time of purchase, are rated below investment grade by nationally recognized statistical ratings organizations or are unrated. The fund offers dividends daily. Capital gains are distributed monthly.
Howard G. Most has been lead manager of the fund since July 2008. He is a managing director and head of fixed income credit research at Guardian Life.
Aegis High Yield (AHYFX) seeks maximum total return with an emphasis on high current income. The fund invests at least 80% of its assets in high-yield, fixed income securities.
The fund may invest 20% of its assets in common stocks, warrants and investment-grade bonds. It has an expense ratio of 1.20%.
Scott L. Barbee has been lead manager of the fund since October 2008. Barbee is a Chartered Financial Analyst and has been with the firm since 1997.
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