SPDR Bloomberg High Yield Bond ETFNYSE American: JNK

The spike in volatility we've seen in the last month has gotten me thinking a lot about the last decade—when bonds were a bust and tech ruled the day.

There is a rare occurrence in the markets this year that has only occurred five times in the past 60 years.

The article evaluates the SPDR Bloomberg High Yield Bond ETF as an investment option at its current market price. I express caution due to the uncertainty surrounding rate cuts and inflation, which could limit the performance of the bond fund. The tight spreads in the market are also seen as a limiting factor for potential opportunities with the ETF.

SPDR Bloomberg High Yield Bond ETF offers broad diversification and a high yield, but the current macro environment suggests avoiding high-yield bonds.

CCEF: New Addition To The Fund-Of-CEFs Space

Hello! This week's ETF Wrap gives you a look at where investors put their money to work in January — and where they didn't.

We provide a November update for the PIMCO CEF taxable suite. Coverage across PIMCO's tax-exempt funds increased slightly in November, while coverage for taxable funds decreased by around 10% on average. PIMCO appears to have taken advantage of the swoon in credit prices in September and October.

BKHY is a relatively new junk bond ETF that started in April 2020. It has managed to outperform the big kahuna in the space, SPDR® Bloomberg High Yield Bond ETF over the last 3 years. We examine whether this high-yield portfolio with a 7.22% yield makes sense for your portfolio.

Investors poured a record amount of money into high-yield bond ETFs in November, but I remain bearish on the junk bond market. A looming maturity wall and expected rise in defaults create a negative environment for junk bond ETFs. The artificially high prices of junk bonds and low yield spread over treasuries do not justify the risks associated with investing in junk bonds.