Salient to Investors:
EPFR Global report junk-bond funds saw inflows of $3.63 billion last week, the biggest rise since the week ended Oct. 26 2011 – Junk ETFs accounted for 40 percent of all U.S. flows.
Matthew Tucker at BlackRock said more institutional investors are buying ETFs causing a scarcity of bonds. Most bond proceeds are for paying off existing debt.
Bank of America Merrill Lynch report junk bond yields at a record 6.95 percent on Sept. 19.