With rates on the rise, now is the time to invest in…
Current Yield = 6.00%
Approximate NAV = $25
Minimum Purchase Amount = $2,500*
Custodian: TD Institutional
Share Class Purchased Through Blue Pacific Wealth Management = I Shares (Institutional Shares)
Are you tired of taking on increasing interest rate and credit risk while only getting a mere 2% – 4% yield in fixed-income? Are you invested in individual bonds, bond mutual funds or bond index funds that have a high risk and low return potential? If you are currently invested in traditional corporate or high-yield mutual funds or index funds, you are currently being confronted with multiple headwinds, including rising rates and rich valuations due to the Fed’s multiple stimulus programs since 2009 that have expanded credit. What’s more, it is likely we are entering the final stage of our current economic cycle, which means capital markets, credit and economic conditions may not continue to expand at a rate fast enough to maintain the current valuations in traditional fixed-income over the next couple of years. What’s more, economic conditions are likely to weaken as rates rise, putting further pressure on equities, bond index funds and most traditional bond mutual funds. Therefore, I am recommending to shorten the duration in fixed-income and trade up in credit quality. In addition, I believe savvy investors should take full advantage of certain floating rate fixed-income instruments, fixed-income that is collateralized or asset-backed (first or second-lien secured) and to utilize world-class credit analysts and managers that can truly identify the best risk-adjusted opportunities in the fixed-income markets.
One investment I recommend to take advantage of right now that meets this criterion is The Griffin Institutional Access Credit Fund (The “Fund“)Consider The Griffin Institutional Access Credit Fund as a high-yield fixed-income alternative to high-yield corporate and municipal bonds.
The Griffin Institutional Access Credit Fund strategically invests in an actively managed, diversified portfolio of credit instruments, which may include bank loans, high-yield bonds, structured credit, middle-market direct credit and non-performing loans.
The Fund is sub-advised by BCSF Advisors, LP, an SEC-registered investment adviser andaffiliate of Bain Capital Credit, LP. Bain Capital Credit, LP provides ongoing research, opinions and recommendations regarding the Fund’s investment portfolio. Bain Capital Credit was formed in 1998 as the credit investing arm of Bain Capital, one of the world’s premier alternative investment firms, with approximately $95 billion in assets under management. Bain Capital Credit invests across the full spectrum of credit strategies, including leveraged loans, high-yield bonds, distressed debt, direct lending, structured products, non-performing loans and equities. With offices in Boston, Chicago, New York, London, Dublin, Hong Kong, Melbourne and Sydney, Bain Capital Credit has a global footprint with approximately $37 billion5 in assets under management.