Fair enough. Seems to me high yield should be wild west risk. Never thought I’d see that level of debt monetized. Guess the game will forever be just gaming the Fed, imagine they’ll be buying stocks soon.
A basic problem is that the US tax code advantages the issuance of corporate debt over equity. The result is that US companies tend to be over-leveraged, which makes the productive sector of the US economy prone to instability and debt crisis. Similarly, local and state public debt has been abetted by lax accounting rules, especially as to pensions. Finally, even after the SarBox reforms, SEC enforcement remains weak, especially as to public issuers. Fix those problems and the markets will function better.