The funds for high-grade bonds do not provide exclusive exposure to high-grade corporate markets and historical year-to-date performances may not prove to be a useful guideline for selecting a fund.
The safer bet for the risk-averse is a short-term investment. But for those who are comfortable with more risk could consider looking into long maturities if they feel that they’re right for them.
A sample of some corporate bond ETFs:
- iShares iBoxx $ Invest Grade Corp Bond (LQD): down 9.7% year-to-date; yield 6.5%
- iShares iBoxx $ High Yield Corporate Bondd (HYG): down 23.8% year-to-date; yield 11.1%
