The Investment Funds Standards Committee has reclassified two top-performing fixed-income funds managed by AGF Funds Inc.

AGF said today that AGF Canadian Total Return Bond Fund and AGF Global Total Return Bond Fund have been reclassified as high-yield bond funds by IFSC, an industry-based group that sets standards for the classifications of Canadian mutual funds.

IFSC says fixed-income funds classified as high-yield must hold at least 25% of their bond investments in debt that is below investment grade.

“With today’s low interest rates, investors are looking for higher returns in the fixed-income portion of their portfolio,” said AGF executive vice president Clive Coombs in a news release. “The new category better reflects their investment strategy of aiming for higher yields.”