IHY features a 4.57% 30-day SEC yield with a yield to worst of 5.19% and an effective duration of 3.5 years, according to Market Vectors data.
A new entrant to the global high-yield bond ETF fray merits consideration as well. The SPDR International High Yield Bond ETF (NYSEArca: IJNK) debuted earlier this month. While the U.S. remains dominant issuer of high-yield corporate bonds, foreign issuers are increasing their presence. For example Europe’s junk bond issuance more than doubled to over $76 billion last year. [New Global Junk Bond ETF Launches]
IJNK offers ample exposure to that theme as Italy, the U.K., France and Germany combine for over 44% of the new ETF’s weight. Like IHY, IJNK features some emerging markets exposure, but Luxembourg, Spain, Portugal and the Netherlands are also found in the ETF’s top-10 country weights. IJNK has a modified adjusted duration of 3.62 years and a yield to maturity of 5.38%, according to State Street data.
iShares Global ex USD High Yield Corporate Bond ETF
