US bond managers warm to high yield

One of the big asset allocation choices facing investors in US financial assets right now is whether to go to high-yield fixed income. Average spreads on junk blew out to 2,000 basis points over Treasuries, but over the past eight weeks, tightened to inside of 1,200 bps.Obviously, the dramatic play has been made, and high yield has returned 19% year-to-date. But given that junk spreads' historical average is around 550bps, and have been as tight as 450bp, some portfolio managers recko…