• Pandemic shocks and policy interventions helped cause the credit cycle to race from Downturn to Expansion/Late Cycle in the past year.
  • Bottom-up analysis suggests losses over the next 12 months could be low, while organic earnings growth should help fundamentals improve in 2021-2022.
  • US corporate yields are back to 2017 levels on a hedged basis.
  • The team is focused on rising stars as the economy reopens and credit fundamentals improve.