HY bonds: liquidity strain = bad sign

[FD1000]

(www.marketwatch.com/story/junk-bonds-are-showing-signs-of-liquidity-strains-as-the-s-p-500-heads-into-bear-market-territory-11653074260)

[retiredat48]

FD1000,...Thanks for info.

I got rid of junk bond funds in covid beginning (march 2020), at an HYG comparable of $78/share.

Then the fed jumped in with QE, buying high yield bonds among other things.  HYG rebounded swiftly into the 80's. I did not foresee the fed support.   Now I see the HYG price is back down to covid start levels, and without fed QE support on the horizon.  Will be interesting to see where HYG ends up.

R48

[alvinthechipmunk]

I'm 9.82% in junk. TUHYX. I will be adding EM, too. More precisely, Frontier Markets bonds: AGEPX. I looked, and it's about 80% in sovereigns. Yes, I'm aware of Argentina and Sri Lanka, past and present. It feels particularly attractive especially when my STOCKS are sucking farts. TUHYX = 6.12% yield and AGEPX = 8.46% yield. I'm 27% bonds, overall. Don't think I'll be growing that figure by very much, until there's a sea-change. Apart from my dividend-paying single stocks, I might as well have some cash coming in. (BHB. RGR. ET.)