New High Yield Bond ETF Available From Barclays

Just a day after Vanguard launched their fixed income ETFs, competitor, Barclays Global Investors, introduced a high yield bond ETF yesterday.

The iShares iBoxx High Yield Corporate Fund (HYG) is the latest fixed income ETF for investors, there are now 16 such ETFs available from Barclays and 4 from Vanguard.

According to the press release, the ETF is based on the iBoxx $ Liquid High Yield Index, which is rules-based, consisting of the most liquid and tradable U.S. dollar-denominated, high yield corporate bonds.

The number of issues in the index is typically 50. High yield securities, also known as "junk bonds," include bonds rated lower than "BBB" by Standard & Poor's and Fitch or "Baa3" by Moody's. High yield products are considered riskier than other types of bonds or bond funds and they are not highly correlated to stocks.

Comments

[Bermuda Benny]

How do I find the yields on these new bond funds.