|Bid||0.00 x 1300|
|Ask||0.00 x 1000|
|Day's Range||86.20 - 86.28|
|52 Week Range||84.07 - 88.76|
|PE Ratio (TTM)||N/A|
|Expense Ratio (net)||0.49%|
With the extended bull market in full swing, the risk-on mentality of investors have led them to gravitate towards high-yield debt assets, but with the Federal Reserve interest rate decision looming next week, has high-yield become somewhat of a safe haven? As the curtain closes on the bull run and the late market cycle, the natural propensity for fixed-income investors is to shift back to safer government debt, but in today's environment of rising rates, high-yielding bond strategies may be the safer option. According to Sean Hanlon, Chairman, CEO and Chief Investment Officer of Hanlon Investment Management, these high-yielding bonds could be the best defense against more rate hikes to come despite most having below-investment grade debt issues.
Benchmark treasury yields ticked higher across the board, which saw the 10-year touch the 3% marker once again this year, but despite this, high-yield corporate bonds are still an attractive option as ...
Tesla's high-yield bond prices followed the electric car manufacturer's shares, which took a deep dive as the stock plummeted roughly 7% at the opening of today's trading session after reports surfaced that its top executives headed for the exits after founder and CEO Elon Musk smoked marijuana on "The Joe Rogan Experience" podcast. Additionally, the price of the bond has fallen about 9% over the last three months, pressured down further by Musk's executive decisions with respect to Tesla within the past month. Musk's behavior on the podcast is a culmination of what has been tumultuous times for the electric carmaker founder, which started when he first sent a tweet that he was considering taking the company private at a price of $420 a share, citing that it was "the best path forward." The tweet to privatize Tesla halted trading of the company's shares for 92 minutes, leaving Tesla investors in a panic shortly thereafter.
It was back-to-back winning quarters for high-yield bond strategies, which led a Morningstar Inc list of top fixed-income performers during the second quarter, taking seven out of the top 10 spots. High-yield ...
“Another man’s junk is another man’s treasure” is an often-used adage with respect to discovering value and in the investment arena, it’s locating profitable opportunities where others would not normally ...
Global ETFs have gathered around $41.13 billion in assets in July -- the largest monthly net inflows since January -- to hit $5.1 trillion in AUM.
Broadly speaking, 2018 has been a trying year for fixed income investors. The Bloomberg Barclays US Aggregate Bond Index, one of the most widely followed bond benchmarks, is lower by 1.5% year-to-date, but some corners of the fixed income space are delivering solid performances. Perhaps surprisingly, the positives in the bond space include high-yield corporate bonds.
Dozens of exchange traded funds offer investors exposure to high-yield corporate bonds. The largest remains the iShares iBoxx $ High Yield Corporate Bond ETF (NYSEArca: HYG). Speculative-grade debt and ...
The Federal Open Market Committee is in the midst of a two-day meeting to discuss their next moves on monetary policy, which will include a policy decision announcement set to take place on Wednesday. ...
The yield on the benchmark 10-year Chinese government bonds ended 2.9 basis points higher at 3.562 percent as Beijing vowed that it would pursue a more "vigorous" fiscal policy in order to stimulate growth as expectations of looser conditions begin to rise. The change in policy comes as fears that the trade wars between China and the United States could heighten, dealing a blow to the current economic landscape. “The government is sending a clear signal that it is preparing to defend growth, ... Premier Li may be concerned about the negative impact of deleveraging on growth,” ANZ economists Raymond Yeung and Betty Wang said in a note.
"No risk, no reward" is an age-old adage thrown around in the investment community, explicitly stating that those who take on a high degree of risk will reap the benefits of their emboldened maneuvers. In the fixed-income space, it can refer to foregoing credit risk in order to obtain the highest of yields--a paragon of risk-on bond investing. A Wall Street Journal article recently stated that bonds with less-than-investment-grade quality or junk bonds, have been outperforming their peers, particularly with respect to flattening yields of benchmark Treasury debt and even investment-grade corporate debt.
Treasury yields changed little following Federal Reserve Chairman Jerome Powell’s semiannual monetary policy report today to the Senate Committee on Banking, Housing, and Urban Affairs, citing that the ...
All holdings must have increased their dividends for at least 20 years, and the ETF weights the portfolio based on yields (higher-yielding stocks make up a higher percentage of total holdings). As such, industries that account for the portfolio's largest share include consumer staples, financials, utilities and industrials. The fund has a 0.35% expense ratio and offers two types of distributions - dividends and capital gains (which management distributes in the fourth quarter).
Citigroup posted mixed results on its second quarter earnings report Friday as the bank outperformed in earnings per share, but underperformed on revenue, including a decline in fixed-income. Forecasts for Citigroup earnings were slated at $1.56 per share, and the bank surpassed that, posting a $1.63 EPS figure. In addition, Citigroup netted $4.49 billion in income, besting last year's second quarter results of $3.9 billion in net income.
Major ETF provider Vanguard surprised the markets this week with a decision to eliminate trading fees for a majority of ETFs on its online brokerage platform.
The flare-up in market volatility has left investors scratching their heads when it comes to the outperformance of safest segment of the corporate bond universe over its riskiest peers.
Amid fears of rising interest rates in the U.S. and talk that default rates are climbing, some bond market experts expected a rough year for high-yield corporate debt. While there have been ample warnings regarding the health of the junk debt market, the iShares iBoxx $ High Yield Corporate Bond ETF (NYSE: HYG), the largest junk bond exchange trade fund, is up half a percent year-to-date.
Through years of the Federal Reserve easy monetary policy, high-yield corporate bonds and the related funds, including exchange-traded funds (ETFs), were beloved by income-seeking investors. Piddly yields on safer U.S. government debt prompted many investors to embrace riskier junk bonds in search of higher yields and added income. Like any other asset class, there are risks with these bond funds.
The iShares 0-5 Year High Yield Corporate Bond ETF ( SHYG) has lost $1 billion in assets over the past week. A robo-advisor operated by a major brokerage is seen as the culprit behind the outflows from the high-yield debt exchange-traded fund (ETF).
MAY 11, 2018 Investors often say they’re worried about having too much high-yield bond exposure so late in the credit cycle. But many are still chasing returns in equities and other assets with even higher risk. We’ve got a better idea. Don’t get us ...
Longtime readers of Morningstar's research have heard us relentlessly beat the drum for funds that charge low fees. For all our manager research analysts' combing through historical portfolios, scrutinizing performance data, and grilling portfolio managers to formulate views on a fund's People and Process Pillars, there's no surer indicator that a fund has an advantage over its peers than a cheap price tag. Expenses are especially crucial to consider for fixed-income funds, because returns between bond funds tend to be more compressed.