Soggy sideways is my outlook for the economy. I think we’re going to go sideways for a very long time because generally final demand is weak and consumers are still deleveraging….We’re a little more defensive about going too far down in credit risk within high yield, so we would not be as interested in CCC credit.

—Curtis Arledge, CIO of Fixed Income at BlackRock: Bloomberg

We’re actually starting to see companies upgraded from junk status to investment grade, which can be a boon obviously for the bondholders. High- grade investors tend to have a very hard line that they draw in the sand, discerning between investment grade and high-yield companies.

—Michael Collins, senior investment officer at Newark, New Jersey-based Prudential, $240b of fixed-income AUM: Bloomberg

Last year in the rebound it was all about how many CCCs could you buy. This year it’s much more about which names or sectors you’re exposed to in the rating class. Managers who can choose securities on a more granular level are being rewarded.

—Matt Toms, head of U.S. public fixed income investments, ING, $550b AUM: Bloomberg