Salient to Investors: BlackRock’s junk bond ETF reported an outflow of 2.4 million shares yesterday, the biggest daily withdrawal in its five-year history. The five largest junk-bond ETFs have lost $1.97 billion of assets since Sept. 20 as investors sour on a four-year rally in junk debt. Read the full article at
READ MORE... →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
READ MORE... →Salient to Investors: Junk-bonds are outperforming the highest speculative-grade tier by the most since February, and yield the lowest ever. EPFR reports inflows into junk-bond funds globally at $52.4 billion for 2012 through Aug. 29, versus $8.3 billion in 2011 and $31.5 billion in 2010, and despite slowing earnings growth for speculative-grade companies accelerating credit-ratings cuts.
READ MORE... →