With the economy so fragile, “we think the situation for highly leveraged companies leaves this fund suitable for only the most risk-seeking of investors,” wrote Morningstar analyst Timothy Strauts in a profile of SPDR Barclays Capital High Yield Bond ETF. The economy was improving earlier this year “but any hiccups will most likely send this fund plummeting once again.” [Plunge in High-Yield Bond ETFs Rattles Nerves]
The iShares iBoxx High Yield Corporate Bond Fund fell sharply in 2008 when the credit meltdown shook markets.
iShares iBoxx High Yield Corporate Bond Fund
