These 3 High Yield Bond ETFs from VanEck Are Dominating YTD Inflows April 21, 2021
Fund flows can help indicate investors’ penchant for certain ETFs when it comes to bonds and right now, it’s high yield for ETF provider VanEck.
One reason could be the falling default rates. Thanks to this risk-reward ratio, investors may be opting for more high yield given the risk of default is lower.
“High-yield default rates have dropped for three straight quarters, sitting at 4.9% at the end of the first quarter. The rate was 2.9% in the year-ago period, but late in that quarter, COVID-19 forced governments to act,” a Pensions & Investments article noted.
Reflationary Worries? 2 VanEck ETFs to Protect Your Portfolio etftrends.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from etftrends.com Daily Mail and Mail on Sunday newspapers.
Stay a Step Ahead of Treasury Yields with the HYEM ETF March 8, 2021
Treasury yields are moving higher, causing stocks to head in the other direction. Fixed income investors looking to stay head of benchmark government debt can look overseas with the
HYEM seeks to replicate the ICE BofAML Diversified High Yield US Emerging Markets Corporate Plus Index, which is comprised of U.S. dollar-denominated bonds issued by non-sovereign emerging market issuers that have a below investment grade rating and that are issued in the major domestic and Eurobond markets.
As of March 4, the fund has a 30-day SEC yield of 4.65%, a distribution yield of 4.92%, and a 12-month yield of 5.42%. The current 10-year Treasury rate stands at about 1.5% in comparison.
With the Right Dosage, EM Junk Bonds Like HYEM Can Work Wonders February 16, 2021
The combination of emerging markets and junk bonds may appear to be too risky for many income investors, but with the right methodology investors can dial back some of that risk while grabbing access to higher levels of income.
Enter the
VanEck Vectors EM High Yield Bond ETF (NYSEArca: HYEM). HYEM seeks to replicate the ICE BofAML Diversified High Yield US Emerging Markets Corporate Plus Index, which is comprised of U.S. dollar denominated bonds issued by non-sovereign emerging market issuers that have a below investment grade rating and that are issued in the major domestic and Eurobond markets.