Investors who use ultra-short-term bond ETFs as money fund alternatives may look to actively managed options that are more free to adapt holdings in a shifting market environment.
For example, the PIMCO Enhanced Short Maturity ETF (NYSEArca: MINT) has a 1.13% 30-day SEC yield and a 0.37 year duration. The Guggenheim Enhanced Short Duration Bond (NYSEArca: GSY) has a 1.04% 30-day SEC yield and a 0.17 year duration. The SPDR SSgA Ultra Short Term Bond ETF (NYSEArca: ULST) has a 0.51% 30-day SEC yield and a 0.26 year duration. The iShares Short Maturity Bond ETF(NYSEArca: NEAR) has a 0.90% 30-day SEC yield and a 0.35 year duration.
Potential investors should be aware that these active ultra-short-term bond ETFs include corporate debt exposure with some lower quality investment-grade debt exposure, which may have contributed to their relatively higher yields.
For more information on money market alternatives, visit our money markets category.
Max Chen contributed to this article.