Credit investors are increasingly being compensated for taking risk as higher US Treasury yields create more attractive risk-adjusted opportunities, Oaktree Capital Management co-portfolio manager Danielle Poli said Tuesday, Bloomberg reported.

Poli said stress is emerging beneath a relatively calm credit market, with greater dispersion across sectors including software, building products, telecom and consumer, the report said.

Oaktree has reduced its software exposure over the past year but is now underwriting opportunities in the sector at more attractive levels, Poli said, according to the report.

Ahead of Wednesday's Federal Reserve rate decision, Oaktree is positioning for a broad range of outcomes, the report said.