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Better Bang for Your Buck?

Wednesday, 28 Mar 2012 | 5:38 PM ET
Fast Money Portfolio
Fast Money Portfolio

Top money manager Mark Okada tells us you’ll get more bang for your buck investing in banks loans rather than high yield bonds.

“My view is that bank debt will outperform high yield bonds for the remainder of the year. It’s a great time to take some gains in high yield bonds and rotate that capital into loans,” says the co-founder & chief investment officer of Highland Capital Management.

Although that sounds like a sophisticated move only possible for money managers, Okada says that’s not the case. “There are plenty of mutual funds in the space,” making this kind of investment available to retail investors, as well.

Intrigued? Get all the details in the video below.

Investing in Bank Loans vs. High Yield Bonds
Mark Okada, Highland Capital Management co-founder & CIO, takes a look at the fundamentals of credit issuers, and explains why it's time to rotate into bank loans as a risk reward strategy.






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Trader disclosure: On Mar 28, 2012, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Tim Seymour is long BAC; Tim Seymour is long INTC; Tim Seymour is long SBUX; Tim Seymour is long FCX; Pete Najarian is long AAPL CALLS; Pete Najarian is long AAPL; Pete Najarian is long BAC CALLS; Pete Najarian is long C; Pete Najarian is long JPM CALLS; Pete Najarian is long MS CALLS; Pete Najarian is long INTC; Pete Najarian is long YHOO; Pete Najarian is long SBUX; Pete Najarian is long COP; Pete Najarian is long PEP; Pete Najarian is long HPQ; Pete Najarian is long SCCO

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