The SPDR Blackstone/GSO Senior Loan ETF (NYSEArca: SRLN) is another actively managed senior loan ETF that seeks to generate income while preserving capital. SRLN has a gross expense ratio of 0.90% and a 2.67% 30-day SEC yield.
“While an index-based senior loan ETF principally considers the market value of the debt issuance outstanding in its selection methodology, an actively managed ETF gives us the latitude to utilize our rigorous credit process in evaluating an individual company’s ability to repay its debt, which we believe is paramount to driving attractive risk-adjusted and absolute returns over the long term,” Housey added. [2013 Could be the Year of the Bank Loan ETF]
For more information on high-yield debt, visit our high-yield bonds category.
Max Chen contributed to this article.
Story updated to correct expense ratio for SRLN.