Not exact matches
For example, investors might use the iShares iBoxx $ High
Yield Corporate Bond
ETF (HYG) to gain access to greater
credit risk through an
ETF focused on bonds rated BB and B, and the iShares iBoxx $ Investment Grade Corporate Bond
ETF (LQD) to gain access to less
credit risk through an
ETF focused on bonds rated A and BBB.
Bond exchange - traded funds (
ETFs) and mutual funds are generally
yielding in the 2 % range for lower risk options, while higher
yields can be earned from less
credit - worthy bond portfolios.
The Fund may engage in active and frequent trading of portfolio securities to achieve its investment objective... the Fund will invest in a portfolio of securities including: equities, debt, warrants, distressed, high -
yield, convertible, preferred, when - issued... options, total return swaps,
credit default swaps,
credit default indexes, currency forwards, and futures...
ETFs, ETNs and commodities.»
The firm's website lets you search for active products, which
yields eight such
ETFs, including a Canadian REIT product, an active
credit ETF, a utility and infrastructure
ETF and a European bank
ETF.
Because this
ETF is exposed to high
yield credit, there may be greater levels of
credit, liquidity and valuation risk than for higher rated instruments.
Because these
ETFs are exposed to high
yield credit, there may be greater levels of
credit, liquidity and valuation risk than for higher rated instruments.
The suite of Strategic Income fixed income
ETFs provide more balanced exposure with allocations to U.S. investment grade and high
yield credit, as well as emerging market bonds.
Next we'll look at junk bond
ETFs, which include Horizons Active High
Yield Bond
ETF, iShares U.S. High
Yield Bond
ETF, and First Asset Active
Credit ETF.
If you're willing to take on more
credit risk, you can opt for the Vanguard Short - Term Corporate Bond
ETF (TSX: VSC), which has a
yield to maturity of 2.0 %.
The VanEck Vectors Global Fallen Angel High
Yield Bond UCITS
ETF is designed to enable investors to benefit from temporary misvaluation as a result of
credit rating downgrades.
With a portfolio composed of investment - grade debt from corporate, sovereign and supranational issuers with three - year maximum maturities, the iShares 1 - 3 Year
Credit Bond ETF (NYSEARCA: CSJ) aims to offer a higher distribution yield than comparable all - Treasury funds, but it does have a marginally higher credit
Credit Bond
ETF (NYSEARCA: CSJ) aims to offer a higher distribution
yield than comparable all - Treasury funds, but it does have a marginally higher
creditcredit risk.
Key
credit spreads were widening, such as those between intermediate - term treasury bonds and riskier corporate bonds in funds like iShares Baa - Ba Rated Corporate Bond
ETF (BATS: QLTB) or SPDR High
Yield Bond (JNK).
The fund had major equivalent positions in the Vanguard Mortgage - Backed Securities
ETF (VMBS), SPDR ® Barclays Intermediate Term Corporate Bond
ETF (ITR), iShares Intermediate
Credit Bond
ETF (CIU), Vanguard Intermediate - Term Corporate Bond
ETF (VCIT), Schwab U.S. Aggregate Bond
ETF ™ (SCHZ), and PIMCO 0 - 5 Year High
Yield Corporate Bond Index
ETF (HYS).
The two corporate bond
ETFs might appeal to fixed - income investors who want a little more
yield in exchange for
credit and interest rate risk but personally, I prefer to take risk with the equity portion of the portfolio especially since corporate bonds are highly correlated with stocks.
ETFs & Corporate
Credit Spreads, The
Yield Curve &
ETFs,
ETFs & PMI, Retail Sales &
ETFs,
ETFs & Labor Markets,
ETF Allocations, Large - Cap Stock
ETFs, Investment Grade Bond
ETFs Click here to listen to the show: 12-13-2015
The iShares J.P. Morgan EM Local Currency Bond
ETF provides exposure to bond issues across several emerging markets — a riskier proposition on its face than investing in developed countries with better
credit ratings, which helps explain the high
yield.
Moreover, despite an already full array of
ETF solutions, fund providers, whose ranks expanded with the arrival of new entrants Auspice, Lysander and Questrade, still managed to find new offerings including: the launch of all - in solutions on the fixed - income side that seek to address
yield,
credit and duration considerations; more smart beta
ETFs, including multi-factor funds; and more actively managed
ETFs, including global - macro access and cross-asset momentum strategies).
ETFs & Diversification, Small Cap Stock
ETFs,
ETFs & Market Breadth, Stock Valuations &
ETFs,
ETFs & Fed Policy,
Credit Spreads &
ETFs, High
Yield Bond
ETFs
ETFs & Corporate
Credit Spreads, The
Yield Curve &
ETFs,
ETFs & PMI, Retail Sales &
ETFs,
ETFs & Labor Markets,
ETF Allocations, Large - Cap Stock
ETFs, Investment Grade Bond
ETFs
Kyle is a Vice President of SSGA and a Portfolio Manager in the Fixed Income Beta Solutions group where he manages high
yield and investment grade
credit ETFs and separate accounts.