We agree. Before the advent of fixed-income ETFs, this level of bond exposure would have been costly. These days, you can build a diversified bond portfolio for not a lot of money. [Treasury ETFs Take a Step Back.]
Caution, though: all this money flowing into bonds will be at risk when the Federal Reserve raises rates, reports John Spence for The Wall Street Journal. Long-term bonds could be hit hardest, so have an exit strategy and watch for clues that rates are going up. This doesn’t appear to be an imminent danger.
Currently, there are more than 100 fixed-income ETFs covering everything from corporate bonds to muni bonds to sovereign debt. How can you find them? That’s easy. Visit our ETF Analyzer and select “fixed income” from the drop-down menu and a list will appear like so:
To add a column that sorts each fund by yield, click “add criteria” and check the “dividend yield” box.
For more stories on Treasuries and fixed-income strategies, visit our Treasury category.
For more stories about bonds, visit our bond category.
Sumin Kim contributed to this article.