Fixed Income

BlackRock: Three ways ETFs have revolutionized the bond market

Aug 2nd, 2017 | By
Matthew Tucker iShares BlackRock

By Matthew Tucker, head of iShares Americas fixed income strategy at BlackRock.

Fifteen years ago this week the first bond ETFs debuted, changing the way investors can access fixed income markets. At first, only four iShares bond ETFs were available, with just a small amount of assets and access limited to Treasuries and US investment grade credit. Today there are over 300 bond ETFs in the US with more than $500 billion in AUM, offering entry into almost every sector of the bond market. What brought about this exceptional growth?

JP Morgan launches new MBS agency index

Jul 27th, 2017 | By
Mortgage Property ETF REIT, Real Estate

JP Morgan has unveiled the JP Morgan MBS Agency Index (MAX), tracking the largest and most traded fixed-rate agency issues in the US mortgage-backed securities (MBS) market. The index is suitable as a benchmark in discretionary fund management or as an underlying reference index for index-linked investment products such as ETFs.

IG picks six of the best government bond ETFs

Jul 25th, 2017 | By
IG: Five mainstream criticisms of ETFs, and why you shouldn’t worry

By Oliver Smith, portfolio manager at IG Group.

ETFs are excellent products for getting exposure to a wide number of asset classes, but with a multitude of competing ETFs using different indices, it can be difficult to know where to start. In this piece we take a look at six government bond ETFs.

Lyxor rolls out three fixed income ETFs on Borsa Italiana

Jul 18th, 2017 | By
Lyxor rolls out three fixed income ETFs on Borsa Italiana

Lyxor has launched three new fixed income ETFs on Borsa Italiana, the Lyxor BofAML EUR Short Term High Yield UCITS ETF (HYS), Lyxor BofAML $ Short Term High Yield Euro Hedged UCITS ETF (HYSTH) and the Lyxor $ Float Rate Note EUR Hedged UCITS ETF (FLOTH).

BlackRock slashes fees on iShares MBS ETF

Jul 17th, 2017 | By
BlackRock slashes fees on iShares MBS ETF

BlackRock has reduced the fees charged on the iShares MBS ETF (NYSE Arca: MBB) from 0.27% to just 0.09%. MBB tracks the Bloomberg Barclays US Mortgage Backed Securities Index, composed of a broad range of investment-grade mortgage-backed pass-through securities issued and/or guaranteed by US government agencies such as Ginnie Mae, Fannie Mae, and Freddie Mac.

BlackRock launches cheapest floating rate bond ETF in Europe

Jul 12th, 2017 | By
Brett Pybus ETFs iShares

BlackRock has expanded its fixed income ETF range with the launch of the iShares $ Floating Rate Bond UCITS ETF (LON: FLOT), a floating rate bond fund, designed to protect investor portfolios against a rise in interest rates. FLOT is being offered with a total expense ratio of just 0.10%. Brett Pybus, head of iShares EMEA fixed income strategy at BlackRock, commented: “This fund provides investors with a way to reduce duration and protect portfolios while offering an attractive yield compared with money market funds.”

Inspire Investing unveils first faith-based bond ETF

Jul 11th, 2017 | By
Inspire Investing unveils first faith-based bond ETF

Silicon Valley-based Inspire Investing has launched the Inspire Corporate Bond Impact ETF (NYSE: IBD), the first ETF to invest in the corporate bonds of companies aligned with biblical values. Robert Netzly, president and CEO of Inspire Investing, said: “There is extremely robust demand from investors and advisors who want to invest in what they believe in.”

Lyxor launches short term high yield bond ETF on LSE

Jul 7th, 2017 | By
Lyxor launches short term high yield bond ETF on LSE

European ETF provider Lyxor has unveiled the Lyxor BofAML $ Short Term High Yield Bond UCITS ETF (HYST) on the London Stock Exchange, providing exposure to the performance of the short dated, US dollar-denominated sub-investment grade corporate bond market.

VanEck: Your emerging markets bonds allocation may now be “junk”

Jul 6th, 2017 | By
VanEck: Your emerging markets bonds allocation may now be “junk”

By Fran Rodilosso, head of fixed income ETF portfolio management at VanEck.

Investors are once again focusing on emerging markets credit risk given the recent high-profile ratings downgrades of China, Brazil, and South Africa.

VanEck cross-lists EM bond on SIX

Jul 6th, 2017 | By
SIX reports slowdown in ETF turnover

Vaneck has cross-listed its VanEck Vectors JP Morgan EM Local Currency Bond UCITS ETF (EMLC) on the SIX Swiss Exchange where it trades in Swiss francs. Launched in Europe in April 2017, the fund tracks the JP Morgan Government Bond Index – Emerging Markets Global Core Index, a reference for the performance of bonds issued in local currencies by 16 emerging market governments.