Managers would only see the segment as over-priced if they were expecting a correction, but investors now expect interest rate increases will only be muted and over the medium term, he said of the Asian bond market. But that doesn't mean bond prices would necessarily rise from here, he said.
"The current market sentiment is not overly euphoric to the point they would buy at any price," Lee said. "New high-yield deals priced at the current values will be well received."
'Risky' no more?
But while it isn't clear whether higher interest rates would push high-yield bonds even lower, there is another factor that might push up prices for the supposedly riskier segment: it might not be terribly risky anymore.
Most of the issuance coming to market over the past couple years has been refinancing related, rather than traditional leveraged buyout or merger and acquisition deals, AllianceBernstein's Liang noted.
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"Refinancing is nice, low risk use of capital, but also it turns out the maturity profile of the market," Liang noted. That means the piper won't need to be paid for a good while yet, with Liang noting that there aren't many maturities for the next two or three years.
"This is being reflected in the low default rate we see in the high-yield market. That low default is probably here to stay for a couple of years," he said.
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Moody's 12-month trailing global speculative-grade default rate came in at just 2.3 percent in May, equivalent to two companies defaulting in the month, down from a 2.8 percent rate at this time last year. Moody's expects the global speculative default rate will fall to 2.1 percent by year-end and then rise to around 2.4 percent a year from now.
—By CNBC.Com's Leslie Shaffer; Follow her on Twitter @LeslieShaffer1