If you believe the investment adage about buying the worst performing asset from the last calendar year, then high yield bonds just might fit the bill, with a bruising average return of negative 5.6 percent in 2015.

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But given nearly everything and anything sold off on Wednesday, maybe a contrarian bet on junk bonds maybe doesn't look that bad, at least according to Martin Fridson, chief investment officer at Lehmann Livian Fridson.

Fridson told CNBC's "Power Lunch" on Wednesday high yield still offers opportunities, but not without some deep risks.

"Just like equities, high yield has started the year with a sizable loss especially in commodities area," said Fridson. "But If oil prices rebound and China's growth gets back on track both equities and high yield will rally."

As for potential roadblocks, Fridson said Washington's regulatory environment could be the biggest risk to the high yield market.

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"The biggest risk outside of energy,is the lack of liquidity in the market," said Fridson. "Dealers are hamstrung by new regulations instituted since the financial crisis. They would undoubtedly like to see Congress or the regulators provide some relief on this front, but I'm not optimistic."