Investments must at least be rated BBB- and equivalent.
Portfolio managers are not forced to sell at the point of downgrade when values are typically at their lowest.
Fallen angels: bonds that were once investment grade but has since fallen to high yield status.
Data as at 31 December 2021. Sources: eVestment, Capital Group, Standard & Poor’s
Universe breakdown is based on latest available data from eVestment.
Bond ratings, which typically range from AAA/Aaa (highest) to D (lowest), are assigned by credit rating agencies such as Standard & Poor’s, Moody’s and/or Fitch, as an indication of an issuer’s creditworthiness.
If agency ratings differ, the security will be considered to have received the highest of those ratings, consistent with the strategy’s investment policies.
Consistent yield pick-up has contributed to meaningful cumulative returns
Risk factors you should consider before investing:
Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates.