Xtrackers by DWS has launched an ETF providing dynamic risk-controlled exposure to U.S. dollar high-yield corporate bonds.
Category: Fixed Income
As Business Loans Pick Up, Give This ETF a Look
Business loans are picking up, which can open up opportunities for savvy fixed income investors looking to get extra yield.
What to Do With the “40” in the 60/40
For example, the Simplify Interest Rate Hedge ETF (PFIX) seeks to hedge interest rate movements from increasing long-term interest rates.
Fallen Angels’ Consistency Is Noteworthy
The majority of the outperformance in 2021 came from the energy sector, where fallen angels are overweight the broad high yield index by more than 2x,” writes Nicolas Fonseca, VanEck associate portfolio manager.
Get More Yield Without Sacrificing Quality With LKOR
Bonds with a higher credit risk can offer attractive yields, but for the more risk-averse investors, quality is needed to ensure stability of income.
Income Investors Should Consider These EM Bonds
“An index of debt issued by developing nations denominated in their own currencies has returned about 1% over the past three months, while a similar gauge of hard currency bonds has tumbled 2.9%, according to data compiled by Bloomberg,” reports Bloomberg outperformance has come amid optimism the proactive central-bank policy was enough to get ahead of inflation, and should mean that further tightening is now less necessary into 2022
Wall Street Banks Have Their Eyes on Corporate Bonds
“Wall Street’s biggest banks are expected to hit the corporate bond market after they report quarterly results in an effort to raise money before the Federal Reserve knocks borrowing costs higher,” Bloomberg reports.
International Bonds Offer Diversified Exposure
BNDW seeks to track the performance of the Bloomberg Global Aggregate Float Adjusted Composite Index, which measures the investment return of investment-grade U.S. bonds and investment-grade non-U.S. dollar-denominated bonds.
Charles Schwab shaves fees on five core fixed income ETFs
Charles Schwab has trimmed the fees on five fixed income ETFs that provide core Treasury and corporate bond exposure.
3 Bond ETFs to Weigh for the Current Market
Given the current market landscape, investors can opt for Treasury inflation-protected securities (TIPS), short-duration, and high-dividend yields.
“Owning bonds today is still relevant because they provide steady income and protect portfolios when risky assets fall,” Wendling added.
T. Rowe’s Franco Ditri on Fixed Income in 2022
In fixed income, across many sectors, across corporate, government, mortgage-backed securities, the 1-3 year space tends to have a higher Sharpe ratio, so the risk/return profile tends to be better
We also think that AA-rated CLOs will look good compared to a blend of lower-quality investment-grade, and that the securitized market itself is a place for opportunity going into 2022.
Outpace Inflation With These 2 FlexShares ETFs
As consumer prices move higher this year, fixed income investors can brace themselves for any further moves with Treasury-inflation protected securities (TIPS).
First up, TDTT seeks to provide investment results that, before fees and expenses, correspond generally to the price and yield performance of the iBoxx 3-Year Target Duration TIPS Index
2022 Could Also Be Stellar for Fixed Income Active ETFs
However, with the tide shifting in the latter half of the year, active ETFs saw an increase in flows, and the trend is expected to continue into 2022, particularly within the fixed income space, believes Todd Rosenbluth, head of ETF and mutual fund research at CFRA
An Advisor’s Guide to Preferred Stocks and Convertible Bonds
These type of hybrid securities offer investors the benefits of both stocks and bonds in one asset and allow for a lot of flexibility on the investor’s end.
They are also a type of security that can be converted to common stock — though not every issuer offers convertible preferred shares — with the same kind of conversion mechanics as a convertible bond.