High-yield and convertible bond managers were the big winners for the year ended June 30, as managers in the PIPER fixed-income universe took advantage of improving fundamentals and strong liquidity, earning them high returns.
Zazove Associates LLC, Incline Village, Nev., ranked first in both the PIPER domestic overall fixed-income managed accounts and commingled funds for the 12 months. Its High Yield Convertible Securities managed account was up 30.5% and its commingled High Yield Convertible Securities fund returned 30.8%, handily beating competitors.
In contrast, the median return for the domestic overall fixed-income managed account manager was just 0.8% for the year, while the median return for the domestic overall fixed-income commingled manager was 0.7%. The Citigroup Broad Investment Grade index returned 0.4% in the period. PIPER is a manager performance database.
The other managers ranked in the top five U.S. overall fixed-income managed accounts for the year ended June 30 were: DDJ Capital Management LLC, Wellesley, Mass., for its U.S. High Yield Bond account, up 23.4%; GEM Capital Management Inc., New York, for its Convertible Securities portfolio, up 23.3%; SMH Capital Advisors Inc., Fort Worth Texas, for its High Income strategy, up 22%; and Nicholas-Applegate Capital Management, San Diego, for its U.S. Convertibles portfolio, up 21.7%.