How a Biden Victory—And Higher Taxes—Could Provide a Surprising Tailwind for High Yield

A Democratic win on Nov. 3 could bring with it the repeal of at least two key elements of the Trump tax cuts, which could boost High Yield’s appeal relative to stocks.

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High Yield Outlook: Don’t Fight the Fed

In WealthManagement.com’s new 2020 Midyear Outlook, Bruce Monrad writes that Fed rate cuts to lift the stock market — known as the “Greenspan Put” — have actually benefited High Yield investors in recent market crises. Read how income investors can take advantage of the Fed’s recent moves supporting the High Yield market here:

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Podcast: Too Hot for Treasuries, Too Cold for Stocks, an Outlook Just Right for High Yield

 

Portfolio Manager, Bruce Monrad, talks about how recent Fed policy is different from the past, and why it benefits the High Yield market.

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Ernest Monrad, a Pioneer in the High Yield Bond Market and the Longest-Serving Fund Manager, Passes Away at 90

BOSTON — It is with great sadness that Northeast Investors Trust announces the passing of its long-time former Chairman Ernest “Ernie” E. Monrad, who died on June 27, 2020. But it is with great pride that the Trust celebrates the life of a man who educated the markets on how to invest for income and who spent the better part of his life supporting the field of education.

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Northeast Investors Trust Podcast June 18th, 2020

As the economy starts to re-open, Bruce Monrad shares his thoughts on what the recovery will look like — and how High Yield stacks up.

 

 

0:00 Stock reaction to COVID-19

0:43 Bond reaction to COVID-19

1:23 Fed assessment of recovery 

2:36 Bruce’s take on the rebound

3:43 Interest rates and income investing

4:55 Active vs Passive

6:18 Fed bond buying and high-yield

7:22 The presidential election and possible tax reform