<p>A new perspective for credit investors</p>

Traditionally, investors have favored exposure to the bond market’s highest quality sectors

Often, they’ve overlooked lower-rated sectors’ attractive risk-adjusted returns.

Corporate bond markets have been migrating towards a center of gravity spanning investment grade and high yield

Active allocations that incorporate both may offer yield and manager alpha.

The growth of private credit lets investors target higher total returns, supplying capital to riskier borrowers

Stressed and distressed situations are further sources of risk and opportunity.

Investors may find it useful to permanently allocate to three credit market components:

Ultra-high quality for duration and risk; broad credit for income and compelling risk-adjusted returns with limited volatility; and speculative credit, combining greater credit risk, leverage and/or illiquidity for potentially higher returns.