Income Investor

PIMCO High Income Fund: Look to Swap Out

I've been following PHK's NAV saga. A clear case of irrationality. The market, for the time being, apears to have set a level for both NAV discounts and distribution amounts. EAD, for example, is riding comfortably at it's historical 10% discount, and elevated 20% distribution. Expect this to continue until the market further increases its appetite for high yields.

PHK, a former core holding and favorite of mine, fails any such sanity/value testing.