High‑Yield Bonds: Income with Real Risk
Educational content only — not financial advice. Canada-first. Independent of any brokerage.
What ‘high‑yield’ means
Below‑investment‑grade corporate debt. Yields compensate for credit risk and economic sensitivity.
Role in a portfolio
Potentially a small satellite allocation for investors who accept drawdowns similar to equities. Not a cash substitute.
Implementation options
Prefer broad, low‑fee HY bond ETFs over single issuers; diversify across sectors and avoid concentration.