NHS: Too Expensive Given The Unsustainable Distribution And Bond Market Troubles

The Neuberger High Yield Strategies Fund offers a headline 16.66% yield, the highest among closed-end junk bond peers. NHS is not covering its distribution with investment income, as net asset value has declined 10.22% over two years, signaling unsustainable payouts. The fund's portfolio is concentrated in BB and B-rated high-yield bonds, balancing risk and income but sacrificing some yield versus lower-rated debt.