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NEW YORK (Reuters) - Pimco's group chief investment officer, Dan Ivascyn, said on Monday that the firm has been reducing its exposure to junk bonds and investment-grade corporate debt following the latest credit rally.
“Based on valuations, we went into high-yield and investment-grade before the Brexit referendum,” Ivascyn said in a telephone interview. “We’ve seen a big, powerful rally in risk assets tied to more central bank accommodation, in the wake of Brexit.” On June 23, Britain voted to leave the European Union, a process often referred to as Brexit.