Columbus, OH – March 18, 2019 – Diamond Hill announced today that the firm’s High Yield Fund (DHHIX) received a 5-star Morningstar Rating1 and that its Corporate Credit Fund (DSIYX) has been awarded the 2019 Lipper Fund Award for best high yield fund for the 5-year period ending November 30, 2018, recognizing the Fund’s consistently strong risk-adjusted returns against its peers.
“We are proud that our High Yield Fund received a 5-star rating as its first rating from Morningstar and that our Corporate Credit Fund has been awarded this honor from Lipper,” said CEO Chris Bingaman. “Bill Zox and John McClain have delivered outstanding investment results to clients and these accolades are a testament to their disciplined approach to produce the best results over complete market cycles.”
Zox and McClain manage both funds using the same bottom-up, intrinsic value approach, evaluating the underlying business fundamentals and credit risk of bonds. “We are focused on continually improving our unique and sustainable structural advantages in the high yield market,” said Bill Zox, CIO – Fixed Income and Portfolio Manager. “And the market is becoming less efficient over time. We attribute the strong performance of both funds to the combination of these factors.”
Both funds are managed independent of benchmark weights and are concentrated in the team’s best ideas. Portfolio Manager John McClain notes, “Fundamental, intrinsic-value credit analysis is the core of Diamond Hill fixed income. What you own and what you don’t own are equally important at this point in the credit cycle. In both funds, credit quality has migrated higher as we balance slowing global economic data with recently improved financial conditions domestically.”
The team is uniquely positioned to benefit from corporate bond market volatility and illiquidity due to their long-term focus and emphasis on security selection. Additionally, strict capacity discipline enables the duo to be nimble in the secondary market and selective in the new issue market.
About Lipper Fund Awards From Refinitiv
The Lipper Fund Awards are a global family of awards honoring funds and fund management firms that have excelled in providing consistently strong risk-adjusted performance relative to their peers.
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