With this week’s inflows of nearly $300 million, iShares iBoxx Investment Grade Corporate Bond (LQD) remains the largest Fixed Income ETF in the entire ETF universe, with nearly $24 billion in total assets under management.
The fund tracks the performance of 600 individual corporate bond issues that are defined as investment grade according to ratings agency and industry standards.
Debuting in August of 2002, the fund recently celebrated its 10th birthday since inception, and averages a healthy 2 million shares per day in daily turnover.
Currently, top holdings in the fund are fixed income issues from companies including AT&T, Wells Fargo, Wal-Mart, AIG, and General Electric for instance, with roughly 80% of all exposure leaning towards domestic issues and the remaining 20% invested in international bonds.
Year to date, LQD has returned 5.19% in terms of return on principal, but more notably, the fund’s 30-day SEC Yield is currently north of 3% (3.05%), and this is likely appealing to those that are not attracted to depressed yields that are available through U.S. Treasury securities.
iShares iBoxx Investment Grade Corporate Bond
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