The Fall of a High-Yield Fund Echoes 2007 Crunch

The death of a 17-year old fund may suggest troubled times ahead.

Please don't die.

Photograph by Abid Katib/Getty Images

The high-yield corporate bond market, where junk-rated companies go to borrow money, has been in trouble recently. This sector of the fixed-income market suffered its worst quarter in four years in the three months to September. And, at the risk of getting all Chicken Little, one of the consequences is reminiscent of the start of the credit crunch.

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