Don't Trash Those Junk Bonds

These might be the worst of times for high-yield bond funds, but that's also why they're worth a look.

Screen Gems

Born to Bore

Small-Cap Growth Funds That Are Light on Risk

Mid-Cap Growth Funds, Without the Volatility

Foreign Funds for Battered Investors With Wanderlust

High-yield, or junk, bond funds invest in bonds issued by companies -- often tech and telecom shops -- with less-than-perfect credit. Thanks to recession worries, a downtick in corporate spending on tech and telecom equipment and the looming threat that more of the upstart telecom firms will fold without paying their bondholders, these funds have had rough time. The average high-yield fund has suffered an annualized loss of 1.4% over the past three years, according to Morningstar. In 2000 the average fund dropped more than 9%, more than any other bond-fund flavor. ...