Fixed-Income Yields Are Back at Levels Not Seen in Years

Higher interest rates are reshaping the income landscape across fixed-income markets.
The U.S. 10-year Treasury yield is above 5.10%, its highest level since July 2007, while the 30-year Treasury yield has climbed to 5.44%, reaching levels last seen nearly two decades ago.
Credit markets are also offering substantially higher income.
Investment-grade corporate debt now yields around 5.7%, its highest since April 2024, while high-yield credit offers roughly 7.5%, the highest since May 2025.
Private credit yields are around 8.3%, while money market funds are offering roughly 3.6%.
The environment is dramatically different from much of the previous decade, when near-zero policy rates pushed yields across traditional fixed-income assets to historically low levels.
For investors, higher-for-longer rates mean bonds and credit can once again generate meaningful income without requiring the same level of equity-market exposure.
The tradeoff is that higher yields also reflect greater duration, credit and refinancing risks, particularly in lower-quality and private debt.