Jun 10, 2026, 7:30 AM ET, , , , , Summary High-yield income funds like PTY, GOF, and HYT offer enticing double-digit yields but carry equity-like risk and pronounced NAV decay. These leveraged funds exhibit higher volatility than the S&P 500 and can suffer drawdowns exceeding 50%, especially during market crises. Buying PTY, GOF, or HYT near all-time highs leads to mediocre long-term returns and significant capital erosion, especially when paying steep premiums.