Troubles in the energy industry have presented opportunities for bond investors thirsting for yields.
Hedge fund manager Jason Mudrick at Mudrick Capital Management has been cashing in, with his fund up about 36 percent in 2016 through August.
"We sift through industries," Mudrick said Tuesday at the 2016 Delivering Alpha Conference presented by CNBC andInstitutional Investor. "We bought a lot of oil and gas credit. We were early."
Being early, though, paid off.
At a time when warnings were going out that the 2015 collapse in energy prices would cause a rash of bond defaults, distressed credit investors like Mudlick stepped in where they saw opportunities.