Voya High Yield SMA

Philosophy

Returns in High Yield are driven by changes in actual and perceived credit risk. The Voya High Yield Team emphasizes rigorous fundamental research and bottom-up security selection, while seeking to employ multiple sources of alpha and provide consistent outperformance across market cycles. To protect against the risk of negative companyspecific events, the strategy is positioned in the higher quality tier of the high yield market. Security selection through rigorous bottom-up fundamental credit research is the key driver of the strategy’s returns.

Summary

Total return approach, investing in below-investment grade corporate securities with a bias towards higher quality and a concentrated posture

Objective

The Voya High Yield SMA strategy is managed for total return through a combination of current income and capital appreciation.

Investment Process

We believe security selection has the greatest impact on return; however, the team seeks to employ multiple sources of alpha in the portfolio construction process to mitigate negative company specific risks:

  • Credit Selection: Specific issuer and issue positions based on fundamental research and relative value analysis
  • Investment Themes: Broad investment themes help shape our portfolio positioning both within and across industry sectors
  • Voya IM Fixed Income Team: Macroeconomic and market views from across the Voya IM Fixed Income Team help shape investment themes and guide overall risk appetite

**There is no guarantee that this objective will be achieved.

Past performance does not guarantee future results. There is no guarantee that any forecasts or opinions in this material will be realized. Manager commentary is for informational purposes only and does not constitute investment advice and is not a recommendation to purchase or sell any of the securities referenced.