Monday, September 27, 2010

The Importance of Yield

The equity markets have moved incredibly in sync with the high yield bond market (hat tip Calafia Beach Pundit).

But, that doesn't mean an investment in each has had the same result. The below shows the same ETF's, but now includes dividends received from those ETFs (due to dividends for the S&P 500, coupon payments for high yield).

Source: Yahoo Finance