Marathon Asset ‘Hates High Yield,’ COO Rabinowitz Says

Marathon Asset Management LP, a hedge-fund operator that manages about $10.5 billion, is betting prices will fall in the high-yield, high-risk bond market because interest rates and defaults probably will rise.

“We hate high-yield -- we’re actually short high-yield,” Andrew Rabinowitz, Marathon’s chief operating officer, said today on a panel at the Absolute Return Symposium 2014 in New York. “It’s trading at dangerous levels.”