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GIPS® Information

T. Rowe Price ("TRP") claims compliance with the Global Investment Performance Standards (GIPS®) and has prepared and presented this report in compliance with the GIPS standards. T. Rowe Price has been independently verified for the twenty four-year period ended June 30, 2020, by KPMG LLP. The verification report is available upon request. A firm that claims compliance with the GIPS standards must establish policies and procedures for complying with all the applicable requirements of the GIPS standards. Verification provides assurance on whether the firm’s policies and procedures related to composite and pooled fund maintenance, as well as the calculation, presentation, and distribution of performance, have been designed in compliance with the GIPS standards and have been implemented on a firm-wide basis. Verification does not provide assurance on the accuracy of any specific performance report.

TRP is a U.S. investment management firm with various investment advisers registered with the U.S. Securities and Exchange Commission, the U.K. Financial Conduct Authority, and other regulatory bodies in various countries and holds itself out as such to potential clients for GIPS purposes. TRP further defines itself under GIPS as a discretionary investment manager providing services primarily to institutional clients with regard to various mandates, which include U.S, international, and global strategies but excluding the services of the Private Asset Management group.

A complete list and description of all of the Firm's composites and/or a presentation that adheres to the GIPS® standards are available upon request. Additional information regarding the firm's policies and procedures for calculating and reporting performance results is available upon request

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Global High Yield Bond Fund

Seeks to capture enhanced returns from a diversified global portfolio of income bearing, high yield securities.

ISIN LU0860350221 Bloomberg TRPGHBQ:LX

3YR Return Annualised
(View Total Returns)

Total Assets


1YR Return
(View Total Returns)

Manager Tenure


Information Ratio
(5 Years)

Tracking Error
(5 Years)


Inception Date 14-Jan-2013

Performance figures calculated in USD

31-Jan-2020 - Michael Della Vedova, Portfolio Manager,
We believe high yield bonds appear attractively positioned compared to many other fixed income sectors in the current environment, given their relatively low duration profile and higher income. Continued economic growth, even slow growth, is supportive for high yield issuers, as they are typically more sensitive to macroeconomic factors. Corporate fundamentals remain largely stable, and we expect default activity to remain below the historical average this year.
Michael Della Vedova
Michael Della Vedova, Portfolio Manager

Mike Della Vedova is a global high yield portfolio manager in the Fixed Income Division. He is a portfolio manager for the Europe High Yield Bond Strategy and co-portfolio manager for the Global High Yield Bond Fund and Global High Income Bond Strategy. He is a vice president of T. Rowe Price Group, Inc., and T. Rowe Price International Ltd.

Click for Manager Outlook


Manager's Outlook

We remain constructive on credit risk overall as peaking monetary and fiscal accommodation should continue to support the performance of risk assets. There is ample liquidity in the market, and our companies have access to capital. We are seeing positive changes in consumer behavior, and issuers continue to report solid earnings and remain stable from a fundamental perspective.

The market is entering an upgrade cycle as upgrades have outpaced downgrades for four consecutive quarters. Nevertheless, we are mindful of valuations and are closely monitoring the delta variant and other potential variants that could impact the reopening of economies. As such, we remain committed to controlling risk exposures despite our benign default expectations for the year ahead.

After a period in which a record amount of fallen angels entered the high yield asset class, the market could be on the verge of a sea change. Given the rebound in earnings, balance sheet repair, and the liquidity that has been afforded the broad market, we believe rising stars could be a prominent theme in the high yield asset class over the medium term. This means identifying upgrade candidates in the higher-quality rating tier could create significant opportunities. We are cognizant that several prominent issuers exiting the high yield space would change the complexion of the asset class.

As always, we aim to deliver high current income while seeking to contain the volatility inherent in this market. Our team maintains a commitment to credit research and risk-conscious investing that has led to favorable returns for our high yield clients over various market cycles.

Investment Objective

To maximise the value of its shares through both growth in the value of, and income from, its investments. The fund invests mainly in a diversified portfolio of high yield corporate bonds from issuers around the world, including emerging markets.

Investment Approach

  • Focus on BB/B securities, with a measured allocation to lower-quality bonds when valuations are compelling.
  • Proprietary fundamental research is key — emphasis on industries that enjoy stable cash flow and rational competitive environments.
  • Extensive analyst interaction across sectors and asset classes promotes broad credit perspective.
  • Disciplined risk management practices employed in conjunction with broad portfolio diversification to manage risk profile.
  • Environmental, social and governance ("ESG") factors with particular focus on those considered most likely to have a material impact on the performance of the holdings or potential holdings in the funds’ portfolio are assessed. These ESG factors, which are incorporated into the investment process alongside financials, valuation, macro-economics and other factors, are components of the investment decision. Consequently, ESG factors are not the sole driver of an investment decision but are instead one of several important inputs considered during investment analysis.

Portfolio Construction

  • Diversified portfolio structure of high yield corporate bonds: 250-350 issuers
  • Industry exposure typically will range +/- 3% around benchmark weight
    • Conservative exposure guidelines to individual issuers:
    • BB issuer: 3% maximum
    • B issuer: 2% maximum
    • CCC issuer: 1% maximum

Annualised Performance

  1 YR 3 YR
5 YR
Since Inception
Since Manager Inception
Fund % 9.58% 6.86% 5.63% 5.16% 4.63%
Indicative Benchmark % 10.46% 7.02% 6.23% 5.65% 5.19%
Excess Return % -0.88% -0.16% -0.60% -0.49% -0.56%

Inception Date 14-Jan-2013

Manager Inception Date 31-Dec-2019

Indicative Benchmark: J.P. Morgan Global High Yield Index

Data as of 31-Oct-2021

Performance figures calculated in USD

  1 YR 3 YR
5 YR
Since Inception
Fund % 10.70% 6.42% 5.81% 5.25%
Indicative Benchmark % 11.48% 6.66% 6.46% 5.77%
Excess Return % -0.78% -0.24% -0.65% -0.52%

Inception Date 14-Jan-2013

Indicative Benchmark: J.P. Morgan Global High Yield Index

Data as of 30-Sep-2021

Performance figures calculated in USD

Recent Performance

  Month to DateData as of 26-Nov-2021 Quarter to DateData as of 26-Nov-2021 Year to DateData as of 26-Nov-2021 1 MonthData as of 31-Oct-2021 3 MonthsData as of 31-Oct-2021
Fund % -1.09% -1.47% 2.87% -0.38% 0.13%
Indicative Benchmark % -0.83% -1.29% 3.22% -0.47% 0.04%
Excess Return % -0.26% -0.18% -0.35% 0.09% 0.09%

Inception Date 14-Jan-2013

Indicative Benchmark: J.P. Morgan Global High Yield Index

Indicative Benchmark: J.P. Morgan Global High Yield Index

Performance figures calculated in USD

Past performance is not a reliable indicator of future performance.  Source for fund performance: T. Rowe Price. Fund performance is calculated using the official NAV with dividends reinvested, if any. The value of an investment and any income from it can go down as well as up. Investors may get back less than the amount invested. It will be affected by changes in the exchange rate between the base currency of the fund and the subscription currency, if different. Sales charges (up to a maximum of 5% for the A Class), taxes and other locally applied costs have not been deducted and if applicable, they will reduce the performance figures. Where the base currency of the fund differs from the share class currency, exchange rate movements may affect returns.

Where the base currency of the fund differs from the share class currency, exchange rate movements may affect returns.

31-Oct-2021 - Michael Della Vedova, Portfolio Manager,
High yield bonds marginally declined in October amid concerns about slowing growth, fiscal stimulus delays, and ongoing supply chain disruptions. Investors may have taken some encouragement from another quarter of upside earnings surprises and signs that inflation, while still at multiyear highs, might at least be plateauing. Split B rated bonds outperformed other quality tiers, and most high yield industries posted modest losses. Within the portfolio, credit selection and the portfolio’s underweight allocation in the building and real estate segment benefited. Security selection in the utilities industry added value. Conversely, credit selection in the wireless communications segment dragged. The portfolio’s zero weight in the publishing sector detracted from relative results.



Top 10 Issuers 16.96% Was (30-Sep-2021) 17.42%
Other View Top 10 Issuers

Monthly data as of31-Oct-2021


Largest Holding iHeartCommunications 1.36% Was (30-Jun-2021) 1.26%
Top 10 Holdings 8.85%
Other View Full Holdings Quarterly data as of  30-Sep-2021

Quality Rating View quality analysis

  Largest Overweight Largest Underweight
Quality Rating BB/B Rated BB Rated
By % 5.06% -9.88%
Fund 18.01% 27.06%
Indicative Benchmark 12.96% 36.93%

Average Credit Quality


Monthly Data as of  31-Oct-2021
Indicative Benchmark:  J.P. Morgan Global High Yield Index

Sources for Credit Quality Diversification: Moody's Investors Service and Standard & Poor's (S&P) split ratings (i.e. BB/B and B/CCC) are assigned when the Moody's and S&P ratings differ. Short-Term holdings are not rated.

Maturity View maturity analysis

  Largest Overweight Largest Underweight
Maturity 5-7 Years 1-3 Years
By % 4.67% -7.11%
Fund 32.13% 3.43%
Indicative Benchmark 27.46% 10.54%

Weighted Average Maturity

6.52 Years

Monthly Data as of  31-Oct-2021
Indicative Benchmark:  J.P. Morgan Global High Yield Index

Duration View duration analysis

  Largest Overweight Largest Underweight
Duration 5-7 Years 3-5 Years
By % 4.64% -4.57%
Fund 23.22% 25.11%
Indicative Benchmark 18.58% 29.68%

Weighted Average Duration

3.70 Years

Monthly Data as of  31-Oct-2021
Indicative Benchmark: J.P. Morgan Global High Yield Index

30-Sep-2021 - Michael Della Vedova, Portfolio Manager,

As the high yield market struggled with historically expensive valuations, it was our higher-quality energy positioning and select off-benchmark securities within the capital structures of some of our highest conviction names that drove a large portion of relative performance in the third quarter.

Defensively Positioned in Energy

Overall, we maintained our disciplined, risk-aware positioning with overweight allocations to the cable operators and utilities segments, investments in high coupon CCC rated bonds with relatively less credit risk than the market's CCC names, and a high-quality bias within energy. Within the energy industry, we broadly avoided distressed names in favor of issuers with larger asset bases and more durable business models. This is a byproduct of our bottom-up fundamental research and top-down views on the sector. We maintained an overweight to large, diversified, and well-capitalized midstream companies that tend to have contractual-based revenue models as well as overweight positions in high-quality E&P names.

Rising Stars Could Provide Opportunities

Our success with Occidental Petroleum, for example, underscores an emerging theme in the high yield asset class: identifying potential rising stars which could still benefit from further spread compression as these companies trade more in line with investment-grade peers. Interestingly, the portion of the high yield market within two ratings upgrades of achieving investment-grade status is currently over 27%. Our investment team has done a lot of work to identify the best potential rising stars within that opportunity set.


Largest Industry Energy 11.64% Was (30-Sep-2021) 11.85%
Other View complete Industry Diversification

Monthly Data as of 31-Oct-2021

Indicative Benchmark: J.P. Morgan Global High Yield Index

Largest Overweight

Cable Operators
Fund 10.53%
Indicative Benchmark 4.01%

Largest Underweight

Information Technology
Fund 1.72%
Indicative Benchmark 4.99%

Monthly Data as of 31-Oct-2021

31-Oct-2021 - Michael Della Vedova, Portfolio Manager,
We are overweight cable operators because these issuers generally exhibit durable fundamentals due to subscription-based, recurring-revenue business models, and we believe several large capital structures are poised to achieve an investment-grade credit rating in the medium term. Conversely, we are overweight select segments such as broadcasting, entertainment and leisure, and gaming that we think could continue to benefit from further easing of pandemic-related restrictions and broad public inoculation.


Largest Country United States 83.41% Was (30-Sep-2021) 84.59%
Other View complete Country Diversification

Monthly Data as of 31-Oct-2021

Indicative Benchmark: J.P. Morgan Global High Yield Index

Largest Overweight

United States
Fund 83.41%
Indicative Benchmark 74.80%

Largest Underweight

Fund 1.04%
Indicative Benchmark 4.08%

Monthly Data as of 31-Oct-2021

Fee Schedule

Share Class Minimum Initial Investment and Holding Amount (USD) Minimum Subsequent Investment (USD) Minimum Redemption Amount (USD) Sales Charge (up to) Investment Management Fee (up to) Ongoing Charges
Class A $1,000 $100 $100 5.00% 115 basis points 1.24%
Class I $2,500,000 $100,000 $0 0.00% 60 basis points 0.64%
Class Jd $10,000,000 $0 $0 0.00% 0 basis points 0.02%
Class Q $1,000 $100 $100 0.00% 60 basis points 0.68%
Class Sd $10,000,000 $0 $0 0.00% 0 basis points 0.10%

Please note that the Ongoing Charges figure is inclusive of the Investment Management Fee and is charged per annum.