Investors who are seeking high yields in US corporate debt may not be adequately compensated for the risks involved, according to Marty Fridson, a well-known expert in junk bonds.

Fridson's recent report highlights that investors often pay too much for sectors that offer yields above the median, resulting in below-average risk-adjusted returns. Fridson's analysis, which has had a significant impact on Wall Street for many years, emphasizes the importance of caution for bond buyers. He suggests that the current market dynamics could lead to lower returns for those who are pursuing attractive yields in the high-yield debt market.