The investment objective of the Oaktree High Yield Bond Fund (the "High Yield Fund" or the "Fund") is to provide current income and capital appreciation.
The Fund seeks to invest in the most attractive risk/return opportunities across the developed market high yield bond universe, primarily in North America and Europe. The Fund is co-managed by Sheldon Stone (co-founding Principal and Managing Director), David Rosenberg (Managing Director), and Madelaine Jones (Managing Director), and benefits from a highly experienced research team in Los Angeles and London.
"Our investment philosophy centers around employing a highly disciplined, credit-intensive research approach to construct a diversified, risk-controlled portfolio," says Mr. Stone. "Our efforts are concentrated on seeking to perform excellent credit research to minimize the likelihood of credit problems. We believe the avoidance of defaults is the most reliable source for potentially superior performance."
All of our investment decisions are based on our internal proprietary research, reflecting our assessment of credit risk. Our results are built on retaining the interest income generated by our bonds and realizing capital appreciation attributable to credit improvements. We do not select investments based on anticipated interest rate movements and resulting price fluctuations, because we view these events as random and beyond our ability to foresee. We believe that strong long-term performance can only be achieved through superior knowledge of companies, the industries in which they operate and the securities they issue – not through macro-forecasting.