High Yield

Approach

The High Yield strategy employs a total return approach, investing in below investment grade corporate securities. We believe that rigorous credit research, a keen awareness of economic and credit cycles, and security selection are critical to identifying superior investment opportunities and managing downside risk.

Key Benefits

  • Skill of Team and Strength of Platform: Dedicated team with experience through multiple economic and market cycles and deep knowledge of industry sectors and issuers, leveraging the resources of the broader fixed income platform
  • Balance of Risk and Return: The team employs multiple return drivers to help maximize both alpha and consistency of alpha
  • Nimbleness of Approach: We have an asset base large enough to support needed resources, but are not capacity constrained, and we are flexible and have the ability to take impactful positions in smaller issues that may be less efficiently priced

Performance

Performance

As of 11/30/201 Month3 MonthYTD1yr3yr5yr10yrSince Inception (1/01/99)
Composite Gross3.683.074.746.705.967.377.427.15
Composite Net3.652.954.316.235.476.876.916.60
Index*3.963.405.077.175.667.626.786.92
Gross Excess Return-0.28-0.33-0.33-0.470.30-0.250.640.23

* Bloomberg Barclays U.S. High Yield 2% Issuer Cap Index

Past performance does not guarantee future results.

Periods greater than one year are annualized. Performance data is considered final unless indicated as preliminary. Monthly performance is based on full GIPS Composite returns. Access the GIPS page for full composite details.

The Composite performance information represents the investment results of a group of fully discretionary accounts managed with the investment objective of outperforming the benchmark. Information is subject to change at any time. Gross returns are presented after all transaction costs, but before management fees. Returns include the reinvestment of income. Net performance is shown after the deduction of a model management fee equal to the highest fee charged.

Literature

Investment Team

Randy Parrish

Randy Parrish, CFA

Head of Credit

Years of Experience: 30

Years with Voya: 19

Randy Parrish is a managing director, head of credit and a senior high yield portfolio manager at Voya Investment Management. As head of credit, Randy oversees the high yield, investment grade and emerging market teams. Previously, Randy was head of high yield and served as a portfolio manager and analyst on the high yield team since joining Voya in 2001. Prior to joining the firm, he was a corporate banker in leveraged finance with SunTrust Bank and predecessors to Bank of America. Randy received a BBA in business administration from the University of Georgia and holds the Chartered Financial Analyst® designation.
Rick Cumberledge

Rick C Cumberledge, CFA

Head of High Yield

Years of Experience: 27

Years with Voya: 13

Rick Cumberledge is head of high yield and a senior high yield portfolio manager at Voya Investment Management. Prior to joining the firm, Rick spent nearly six years working at Federated Investors as a senior high yield credit analyst. His previous experience includes positions with American Capital Strategies, Bank of America and Allied Capital. Rick has a BA in business administration from Westminster College and an MSc in finance from the George Washington University. He holds the Chartered Financial Analyst® designation.

Disclosures

Principal Risks

All investing involves risks of fluctuating prices and the uncertainties of rates of return and yield inherent in investing. High-Yield Securities, or "junk bonds", are rated lower than investment-grade bonds because there is a greater possibility that the issuer may be unable to make interest and principal payments on those securities. The strategy may use Derivatives, such as options and futures, which can be illiquid, may disproportionately increase losses and have a potentially large impact on performance. Foreign Investing does pose special risks including currency fluctuation, economic and political risks not found in investments that are solely domestic. Risks of foreign investing are generally intensified in Emerging Markets. As Interest Rates rise, bond prices may fall, reducing the value of the share price. Debt Securities with longer durations tend to be more sensitive to interest rate changes. Other risks include but are not limited to: Credit Risks; Other Investment Companies' Risks; Price Volatility Risks; Inability to Sell Securities Risks; and Securities Lending Risks.