Hi Yield Debt

I’m interested in purchasing high yield/distressed securities for my PA. Which broker offers those? Can’t find them on my scottrade account…

Hi, yield debt! Er um… anyway. Fidelity offers some high yield bonds. You can apparently search by credit rating. I’m not sure about the execution though - no experience myself. If you only care about the yield and not individual names, you could buy high yield bond funds or ETFs. The trading costs would probably be lower for small accounts.

It’s tough to buy individual HY bonds for a PA right now. It’s an inventory issue. I’ve heard it’s pretty scarce everywhere.

Just buy a high yield bond fund. If you buy individual bonds you’ll probably just be choosing crap from whatever Scottrade happens to have on inventory at sh!tty prices.

Dont want a hiyi fund. I’m looking to buy individual issues. Especially distressed debt. Hoping to put it into my Roth IRA.

Maybe I’ll check out fidelity, see what they have.

I agree that a fund is the way to go, but respect that you’ve already explored that option. Let us know what you find out there!

You’re SOL. I’ve had ML and MSSB brokers say their trading desk can’t buy shit. You may be able to find the occasional bastard issue. Just remember we all passed up on it first.

There are some great high yield funds out there. I’m not sure why you’d want to go out and get individual issues unless you’re making a big purchase and can properly diversify the risk away.

It seems to me that high yield is crazy to purchase on its own other than 1) purchasing high yield funds, 2) buying so much that you can create a diversified HY portfolio on your own. Unlike equity, HY limits your upside, so you are faced with many more all-or-nothing type bets (ok, recovery rates may mean it’s not exactly nothing).