About NTHEX
Northeast Investors Trust is a no-load mutual fund focused on high-yield, or "junk," bonds. Its primary objective is the production of income, with capital appreciation as a secondary consideration when compatible with its income goal. Established in 1950, the fund is managed by its trustees and follows a long-standing strategy emphasizing investments in the fixed income sector, particularly high-yield corporate bonds that are rated below investment grade or are unrated. The Trust typically allocates more than 80% of its assets to bonds and other debt securities, and also invests in preferred stocks, dividend-paying common stocks, convertible securities, and securities with warrants attached. Equity holdings, when included, are generally acquired through corporate debt restructurings and are considered for their appreciation potential.
Northeast Investors Trust stands out for its focus on established companies across diverse sectors such as technology, aerospace/defense, tobacco, and building products. The fund is actively managed and uses a "buy and hold" and quantitatively driven approach, with concentrated positions and in-depth capital structure analysis. It plays a significant role in the high-yield segment of the fixed income market, offering investors exposure to bonds with higher income potential but greater credit risk, and serves as a diversification tool within broader investment portfolios.
Fund Family Northeast Investors
Category High Yield Bond
Performance Rating Average
Risk Rating Average
Stock Exchange NASDAQ
Ticker Symbol NTHEX
Index ICE BofA US High Yield Cash Pay TR USD
NTHEX had a total return of 9.35% in the past year, including dividends. Since the fund's
inception, the average annual return has been 16.91%.
