|Bid||53.21 x 1800|
|Ask||53.22 x 800|
|Day's Range||52.93 - 53.26|
|52 Week Range||45.13 - 54.99|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.31|
|Expense Ratio (net)||0.40%|
Historically, convertible bonds are solid performers during rising interest rate environments, but there are other reasons to consider the SPDR Barclays Convertible Securities ETF (CWB) . CWB is the largest convertibles exchange traded fund on the market. Convertible bonds are a type of hybrid fixed-coupon security that allow the holder the option to swap the bond security for common or preferred stock at a specified strike price.
Investors looking for bonds that often feel like stocks can consider convertible bonds, which are easily accessible via the SPDR Bloomberg Barclays Convertible Securities ETF (NYSE: CWB). Historically, convertible bonds have been among the best areas of the bond market to be involved with when interest rates rise, but CWB betrayed that reputation last year. Amid fears about the state of high-yield corporate debt and the fourth-quarter equity market plunge, CWB showed its correlation to equity market gyrations.
Earlier this month, the Federal Reserve raised interest rates for the second time this year and the eighth time since 2015. Ongoing Fed tightening was forecast before the start of 2018 with many fixed income market observers forecasting up to four rate hikes by the Fed this year. The most recent Federal Open Market Committee (FOMC) meeting minutes hint at two more rate hikes before the end of 2018, moves that could hamper bonds.
These ETFs could be intriguing picks in June given a host of uncertainties related to the Fed, trade and international politics.