{"id":4523,"date":"2022-09-23T16:40:42","date_gmt":"2022-09-23T16:40:42","guid":{"rendered":"https:\/\/goldenpi.com\/blog\/?p=4523"},"modified":"2024-08-29T11:40:34","modified_gmt":"2024-08-29T11:40:34","slug":"what-are-high-yield-bonds","status":"publish","type":"post","link":"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/","title":{"rendered":"What are high-yield bonds?"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">As attractive as the term high yield seems, an investor&#8217;s opinion toward this is varied. Leaning toward the perception of the high yields being associated with higher risk isn\u2019t a fallacy but it is also true that there are impressive opportunities behind the high yield bonds.<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_79_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#What_are_high-yield_bonds\" >What are high-yield bonds?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#How_to_analyze_the_credit_worthiness_of_corporate_bonds\" >How to analyze the credit worthiness of corporate bonds?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#Benefits_of_investing_in_high-yield_bonds\" >Benefits of investing in high-yield bonds<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#1_Lower_impact_of_interest_rate_risk_with_a_shorter_duration\" >1. Lower impact of interest rate risk with a shorter duration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#2_Appreciation_of_the_capital_invested\" >2. Appreciation of the capital invested<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#3_Diversification_within_bonds\" >3. Diversification within bonds\u00a0<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#What_is_the_relationship_between_bond_prices_and_interest_rates\" >What is the relationship between bond prices and interest rates?<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#The_drawback_of_investing_in_high-yield_bonds\" >The drawback of investing in high-yield bonds\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#1_The_risk_of_default\" >1. The risk of default\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#2_The_risk_of_economic_crisis\" >2. The risk of economic crisis<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#3_The_risk_of_liquidation\" >3. The risk of liquidation<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#4_High_volatility_rate\" >4. High volatility rate<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#Why_do_some_bonds_give_higher_yields\" >Why do some bonds give higher yields?\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#1_Rise_due_to_inflation\" >1. Rise due to inflation\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#2_Government_decisions\" >2. Government decisions\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#3_Demand_and_supply_conditions\" >3. Demand and supply conditions\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#4_Influence_of_the_credit_rating\" >4. Influence of the credit rating\u00a0<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#How_Bond_Price_Impact_Yield\" >How Bond Price Impact Yield<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/#Concluding_thoughts\" >Concluding thoughts\u00a0<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What_are_high-yield_bonds\"><\/span><strong>What are high-yield bonds?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">A high-yield bond is one of the categories under corporate bonds that offers an interest rate higher than government and any other corporate bonds. The coupon rate is enticing such that the company issuing this bond wants to compensate for the higher risk it comes with.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Usually, credit rating agencies assign ratings to the issuers based on the financial stability of the company. The issuers whoever fall below the investment grade are likely to default. But if the issuers want to raise capital despite the low credit rating, they are left with no option but to issue <a href=\"https:\/\/goldenpi.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">bonds<\/a> with higher interest rates, only then the investor might consider investing in high-yield bonds. Otherwise, why should they?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The high yield bonds are as well contributed by the emerging companies whose financial plans are a little speculative. To have a clear picture of the credit rating of a bond, consider seeing the below information before investing, as the risk appetite will differ from one investor to the other.\u00a0<\/span><\/p>\n<p><img decoding=\"async\" class=\"aligncenter wp-image-4524\" src=\"https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155305\/1.png\" alt=\"Credit Rating\" width=\"454\" height=\"340\" srcset=\"https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155305\/1.png 1024w, https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155305\/1-300x225.png 300w, https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155305\/1-768x576.png 768w, https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155305\/1-585x439.png 585w\" sizes=\"(max-width: 454px) 100vw, 454px\" \/><\/p>\n<h2 style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"How_to_analyze_the_credit_worthiness_of_corporate_bonds\"><\/span><strong><a href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/how-to-analyse-the-credit-worthiness-of-corporate-bonds\/?utm_source=blog&amp;utm_medium=blog&amp;utm_high_yield_bonds\">How to analyze the credit worthiness of corporate bonds?<\/a><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h2><span class=\"ez-toc-section\" id=\"Benefits_of_investing_in_high-yield_bonds\"><\/span><strong>Benefits of investing in high-yield bonds<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"1_Lower_impact_of_interest_rate_risk_with_a_shorter_duration\"><\/span><strong>1. Lower impact of interest rate risk with a shorter duration<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Usually when the interest rates are increasing the bond value declines and vice-versa. Thus the impact of a rise in interest rate is more susceptible for bonds with longer duration than the shorter duration.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It is good to be invested in high-yield bonds with a shorter duration as they mature in lesser time. So that not only ensures the principal amount is returned earlier, but <\/span><span style=\"font-weight: 400;\">also it is less exposed to increasing interest rates and hence the decline in the value of the bond is negligible.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The above-said statement could be visualized well in the illustration below. It considers two bonds with coupon rates of 5% and a duration of 10 years and 6 months respectively. It is seen that the bond with a longer duration has a higher impact on the rise in interest rate compared to the bond with a shorter duration.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><img decoding=\"async\" class=\"aligncenter wp-image-4525\" src=\"https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155718\/2.png\" alt=\"Benefits of investing in high-yield bonds\" width=\"432\" height=\"324\" srcset=\"https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155718\/2.png 1024w, https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155718\/2-300x225.png 300w, https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155718\/2-768x576.png 768w, https:\/\/d2zny4996dl67j.cloudfront.net\/blogs\/wp-content\/uploads\/2022\/09\/23155718\/2-585x439.png 585w\" sizes=\"(max-width: 432px) 100vw, 432px\" \/><\/span><\/p>\n<p><span style=\"font-weight: 400;\">That way in the case of increasing interest rates, high yield bonds with shorter duration are doing better as their impact hardly affects the bondholders.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"2_Appreciation_of_the_capital_invested\"><\/span><strong>2. Appreciation of the capital invested<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The price of a bond can&#8217;t just remain as it is when there are mergers, acquisitions, elevated performance, product developments, and so on. In this scenario, the high-yield bonds are beneficial as the price of the bond shoots up, and being invested in it is worth a shot to receive higher returns from the increased bond price.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Yet it is also true that in the downturn of the issuer&#8217;s financial statements, the value of the bond can decline.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"3_Diversification_within_bonds\"><\/span><strong>3. Diversification within bonds\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Though the bonds are giving high yield, it is coming with the certainty of risk which is a well-known fact. At any given probable instance of risk, the high yield bond with the portfolio of other fixed income bonds can stabilize the investment if not nullify the loss.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In the other possible scenario when all the investment instruments in the portfolio are reaping good returns and has no defaults then the portfolio is on the profitable side.\u00a0<\/span><\/p>\n<h1 style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"What_is_the_relationship_between_bond_prices_and_interest_rates\"><\/span><strong><a href=\"https:\/\/goldenpi.com\/blog\/essentials\/what-is-the-relationship-between-bond-prices-and-interest-rates\/?utm_source=blog&amp;utm_medium=blog&amp;utm_high_yield_bonds\">What is the relationship between bond prices and interest rates?<\/a><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h1>\n<h2><span class=\"ez-toc-section\" id=\"The_drawback_of_investing_in_high-yield_bonds\"><\/span><strong>The drawback of investing in high-yield bonds\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"1_The_risk_of_default\"><\/span><strong>1. The risk of default\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">It is known that the low credit rating of the bonds signifies that bond issuers tend to default on the interest and the principal to be paid. That is one of the concerns the high-yield bonds come with and is called default or credit risk. And the default in the worse scenario is mostly due to financial difficulties that the company may fall into.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"2_The_risk_of_economic_crisis\"><\/span><strong>2. The risk of economic crisis<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The economic crisis, like covid pandemic, was an uninvited guest. Despite this, some sectors could survive and some couldn&#8217;t withstand its effect on business operations.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Generally, bond issuers with high risk can&#8217;t sustain during the economic crisis and have a higher probability of defaulting on regular payments. The investors at this point want to sell their high-risk bonds and shift towards low-risk bonds during the paradigm and is a norm to think of their safety. But when the demand for high-yield bonds gets lower than the supply, at this time, the bond value declines in the market.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"3_The_risk_of_liquidation\"><\/span><strong>3. The risk of liquidation<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Being able to sell the bonds at any point in time to cash is called liquidity. Bonds can be liquidated when they are frequently traded. But the point to be noted in regards to liquidation is that when the high-yield bonds don&#8217;t get sold at their true value in the market, it\u2019s a situation of loss to bear.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"4_High_volatility_rate\"><\/span><strong>4. High volatility rate<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Comparatively high yield bonds are more volatile than investment grade bonds. Because of the high risk, it carries and it is also more sensitive to the economic crisis. That being said, it is more equivalent to having market volatility like that seen for stocks.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Why_do_some_bonds_give_higher_yields\"><\/span><strong>Why do some bonds give higher yields?\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">There are a couple of reasons for the interest rates to increase, if that thought ever pondered the mind, here they are:<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"1_Rise_due_to_inflation\"><\/span><strong>1. Rise due to inflation\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Inflation is the phenomenon that influences and lowers the purchasing power of an individual due to a spike in prices. When the inflation rates are high, it signifies the value of the goods has increased, and to tackle it, the investors ask for higher interest rates by thinking ahead of the future circumstances.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"2_Government_decisions\"><\/span><strong>2. Government decisions\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">An increase in inflation refers to a drop in the purchase of goods and services from the people, that in turn drips the growth of the business. What\u2019s observable is the fact that the GDP is declining, which is not a good thing for the government. In order to combat the rising inflation in the economy, RBI increases the interest rates to keep a balance in the rising inflation and encourage people to start saving rather than borrowing.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That\u2018s just one of the instances of the spike in the interest rate but the uninvited economic crisis can influence the decision abilities of the government in increasing the interest rates to work towards the betterment of the economy.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"3_Demand_and_supply_conditions\"><\/span><strong>3. Demand and supply conditions\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Imagine a circumstance where buying a product you wish to have a huge demand in the market and due to an increase in demand the seller might want to increase their profits. Similarly, it works for bonds, when the demand increases the interest rate increases. In the case of the supply, if it decreases, the interest rate increases for that bond as well.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"4_Influence_of_the_credit_rating\"><\/span><strong>4. Influence of the credit rating\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">One of the major reasons for higher interest rates is that the issuer may have a lower credit rating and to attract investors, the issuers must have to offer the bonds for higher interest rates. Otherwise, there is no way that the issuer can expect financing. So that\u2019s how investors get attractive higher interest rates with higher risk and so do the issuers get the capital they seek for.<\/span><\/p>\n<h1 style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"How_Bond_Price_Impact_Yield\"><\/span><strong><a href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/how-bond-price-impact-yield\/?utm_source=blog&amp;utm_medium=blog&amp;utm_high_yield_bonds\">How Bond Price Impact Yield<\/a><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h1>\n<h2><span class=\"ez-toc-section\" id=\"Concluding_thoughts\"><\/span><strong>Concluding thoughts\u00a0<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">It started with the thought that investors have varied opinions about the high yield bonds and that&#8217;s certainly true depending on the risk appetite of an individual. Though to a few folks, it might not seem like a go-to option, for many others the higher interest rates despite the risk is an alluring factor to consider.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">High-yield bonds are often rewarding when it&#8217;s taken into account for diversification. So while picking high-yield bonds, consider high-quality-shorter duration bonds to expect lower volatility in the market and still be on the safer side.\u00a0<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>As attractive as the term high yield seems, an investor&#8217;s opinion toward this is varied. Leaning toward the perception of the high&hellip;<\/p>\n","protected":false},"author":4,"featured_media":4526,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[24],"tags":[],"class_list":["post-4523","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bond-market"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What are high-yield bonds? - GoldenPi | Blogs<\/title>\n<meta name=\"description\" content=\"What are high-yield bonds?\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/goldenpi.com\/blog\/essentials\/bond-market\/what-are-high-yield-bonds\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What are high-yield bonds? 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