GBIL ETF

Goldman Sachs Access Treasury 0-1 Year ETF offers convenience for investors seeking exposure to Treasury Bills without the hassle of buying directly from Treasury Direct. The GBIL ETF tracks the performance of the FTSE US Treasury 0-1 Year Composite Select Index and provides exposure to safe and stable short-term U.S. government debt. The fund has over $5 billion in assets and offers a 30-Day SEC Yield of about 5.16%, making it an appealing option for investors seeking yield with no default risk.

The Fed may have shifted its policy stance, but the yield curve remains as inverted as ever. Market expectations seem aggressive and investors exposed to duration are risking quite a bit. Funds like GBIL, which offer the yield and principal protection benefits of the front-end, stand out.

Equity markets traded slightly up, while short-term Treasury yields increased by more than 2.0%. After logging a record-breaking weekly inflow last week, high-yield ETFs posted their second-largest weekly inflow. Short/intermediate investment grade funds have seen 10 straight weekly outflows while recording three consecutive weekly gains.

Goldman Sachs Asset Management has seen strong net inflows in 2023 into its broad market equity ETFs and its income ETFs. Today, the firm expanded its exchange traded fund lineup to include two equity income ETFs.

Adding 10-year Treasuries to portfolios as inflation potentially peaks and economic indicators point to a cooling economy and softer labor market. The Federal Reserve may pivot towards easing and lower interest rates in 2024, making longer-term maturities more attractive than short-term Treasury bills. Investors should adapt their strategies to the changing economic landscape and not be blinded by the high spot interest rate.