--- title: Higher Quality High Yield | Osterweis Strategic Income Fund (OSTIX) description: High yield bonds have historically delivered attractive long-term returns, and since the Great Financial Crisis they have also become higher quality, as weaker borrowers have departed the sector for the private credit and leveraged loan markets. image: https://resources.osterweis.com/hubfs/butterfly-emerging-from-its-chrysalis.webp --- [![2024.09.10 Final New Logo OCM-white](https://resources.osterweis.com/hs-fs/hubfs/Logos/Refresh%20logos/2024.09.10%20Final%20New%20Logo%20OCM-white.png?width=250&height=65&name=2024.09.10%20Final%20New%20Logo%20OCM-white.png "2024.09.10 Final New Logo OCM-white")](https://www.osterweis.com/) ## [Mutual Funds](https://www.osterweis.com/mutual_funds) ## [Managed Accounts](https://www.osterweis.com/institutional) ## [Insights](https://www.osterweis.com/insights) ## [Our Firm](https://www.osterweis.com/about) ## Higher Quality High Yield: Addition by Subtraction Has high yield become “investment grade-light”? In our recent white paper, our Strategic Income Team examines the evolution of the fixed income markets since the Great Financial Crisis. The key takeaways from their analysis are: - The credit quality of the high yield market has increased substantially - The majority of weaker borrowers now obtain financing in the private credit markets - Despite their improved credit profile, high yield bonds continue to deliver attractive returns Please fill out this form to access the full piece for our additional takeaways.