#United States #New York #AllianceBernstein #Global High Income Fund #NYSE AWF

Monthly Portfolio Update Overview

On January 27, 2025, AllianceBernstein Global High Income Fund, Inc. (traded under the ticker NYSE: AWF) provided its monthly portfolio update, detailing significant changes and strategies as of December 31, 2024. This update is essential for potential investors and market analysts keeping a close eye on high-income investing opportunities.

Key Highlights of the Portfolio

The report highlights the top ten fixed-income holdings of the fund. Dominating the list is the U.S. Treasury Notes with a 2.25% yield maturing in 2027, which constitutes 1.06% of the portfolio. Other notable holdings include a robust corporate bond from NFE Financing LLC yielding 12.00%, and various securities from CCO Holdings and the Dominican Republic. These selections reflect a diversified approach towards achieving consistent income while managing risk during a fluctuating market.

Breakdown of Investment Types

The portfolio is heavily dominated by non-investment grade corporates, accounting for 52% of the total allocation. The sectors represented are varied, with a hint of caution shown in communications media and energy stocks. Notably, the financial institutions' sector enjoys a smaller representation, indicating a deliberate choice to favor more stable entities amid potential market headwinds.

Further analysis of the portfolio reveals:

• - Corporates - Non-Investment Grade: This category is diversified into industries such as industrial (7.46%) and consumer non-cyclical (7.05%).
• - Credit Default Swaps: Representing 14.35%, this component suggests a hedged approach aimed at mitigating risks associated with lower-rated bonds.
• - Total Allocations in Investment Grade Corporates: Although a lower portion of the portfolio, investment-grade corporates still provide a buffer against potential volatility in market conditions.

Geographic Exposure and Risks

A closer look at the geographic breakdown indicates a significant concentration in the United States, comprising 68.04% of the investments. Other countries, including the United Kingdom and Canada, contribute minor but relevant proportions to diversify the risk. While a U.S.-centric portfolio can often lead to reduced geopolitical risks, it also exposes investors to localized economic downturns, requiring careful monitoring.

Portfolio Statistics and Performance Metrics

The average coupon rate across the portfolio stands at 7.36%, with a relatively low average bond price of 95.99. The leverage ratio based on gross assets is currently at 14.18%, displaying a moderately aggressive investment strategy designed to maximize returns through borrowing against owned assets.

Conclusion

In conclusion, the December 2024 portfolio update from AllianceBernstein showcases a carefully crafted balance between income generation and risk management. By staying informed of these dynamics, investors can position themselves strategically to leverage potential growth while maintaining awareness of inherent risks in fluctuating market conditions. This ongoing transparency serves as a foundational aspect of AllianceBernstein's commitment to its stakeholders, making it a fund worth following in the realm of high-income investment opportunities.