A Solid 10% Yielding Global High Yield Bond Fund

The PGIM Global High Yield Fund (GHY) offers a high yield by investing in below-investment-grade fixed income instruments globally, including emerging markets. The fund uses leverage to enhance returns, which increases both potential yield and risk. While historical performance has been good, the current environment of contracting liquidity and recessionary trends makes high-yield bonds riskier than in the past. The fund's expense ratio is on the higher side, and the cost of leverage is increasing with rising interest rates, posing a challenge to future returns.