Vanguard Is Wary of Junk Bonds Ahead of US Economy’s Bumpy Ride
Historically tight spreads and the prospect of a turbulent landing for the US economy have left the world’s second-largest asset manager, Vanguard Group Inc., leery of junk bonds.
“We’re actually relatively cautious on high yield at the moment from a broad perspective,” said Colleen Cunniffe, head of global taxable credit research at Vanguard.