Icahn and Marks on the Potential for a Junk Bond Bubble

Forget the frothiness of social media and Internet stocks. The real danger may lurk in high-yield bonds as investors reach for yield.

Are we currently in a bubble?

Several market experts, including Carl Icahn and Howard Marks, chairman of Los Angeles–based Oaktree Capital Management, say “maybe.”

But the bubble they are referring to does not involve high-flying Internet and other momentum stocks but rather the junk bond market.

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