Junk Bonds Become a Shelter in the Global Equity Storm

The video discusses the current state of the credit market, focusing on high yield and leveraged loans. It highlights the resilience of leveraged loans despite market volatility and the technical factors supporting their strength. The discussion also covers the potential for recovery in equity markets, the impact of Fed rate hikes, and the evolving nature of the market. Key insights include the importance of being selective in investments and the changing dynamics of recovery rates due to structural shifts in the market.

How do the current recovery rates in the loan market compare to historical rates?

What are the key factors that need to be considered when investing in leveraged loans?

What are the implications of the changes in the investment grade market size?