Although $1.8 billion has been pulled from the iShares iBoxx $ High Yield Corporate Bond ETF (NYSEArca: HYG) since the start of the year, the rival SPDR Barclays High Yield Bond ETF (NYSEArca: JNK) has brought in over $254 million. The PIMCO 0-5 Year High Yield Corporate Bond Index (NYSEArca: HYS) and the actively managed AdvisorShares Peritus High Yield ETF (NYSEArca: HYLD) have combined 2014 inflows of $971 million. [A Solid Actively Managed High-Yield Bond ETF]
Lack of new issuance is credited with benefiting with corporate bonds and the ETFs that hold those bonds. Just $36 billion in junk bonds have been issued this year while leveraged loan issuance has plunged 62% and investment-grade issuance of $150 billion is flat with the level seen at this time last year, according to Barclays.
AdvisorShares Peritus High Yield ETF
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of HYG, HYLD, and JNK.