UBS Asset Management United States Please confirm you are a US resident to proceed.

UBS US High Yield

Objective

To provide high current income by investing in a diversified portfolio of higher-yield, lower-rated debt securities issued by domestic and foreign companies.

Benchmark

Merrill Lynch High Yield Master Index

Investment philosophy

Successful high-yield fixed income investing involves capturing the market's high total return potential, while minimizing losses due to credit deterioration or default. We believe that many high-yield managers sacrifice safety while reaching for high current income. In contrast, at the forefront of our philosophy is a focus on asset coverage and maximizing preservation of principa

Investment process

  • Credit-intensive, fundamental research utilizing top-down research to assess sector fundamentals and bottom-up fundamental research to identify the best companies within each sector - i.e., companies with stable to improving credit fundamentals.

  • Process is tightly coordinated within strict risk control and liquidity guidelines to ensure portfolio diversification and minimize risk of defaults.

 

Fixed income strategies are primarily subject to all the investment risks associated with bonds and other fixed income securities. Bonds are subject to interest rate and credit risk. Strategies that invest in high yield bonds are subject to greater volatility and potential loss of principal. Strategies that invest in foreign and emerging market bonds are subject to special risks that are not normally associated with domestic investment, including possible adverse currency fluctuations and political, social and economic risks. There can be no assurance that any strategy will achieve its objective.