BATS Global Markets continues to adding to a growing lineup of exchange traded funds listed on the Kansas-based exchange. On Tuesday, BATS and Deutsche Asset Management said three Deutsche X-trackers ETFs will move from the New York Stock Exchange to the Bats ETF Marketplace next month.
On or about June 9, the Deutsche X-trackers Investment Grade Bond – Interest Rate Hedged ETF (NYSEArca: IGIH), Deutsche X-trackers High Yield Corporate Bond – Interest Rate Hedged ETF(NYSEArca: HYIH) and the Deutsche X-trackers Emerging Markets Bond – Interest Rate Hedged ETF (NYSEArca: EMIH) will move to the Bats ETF marketplace, according to a statement.
Related: Hedged Bond ETFs for Rate Risks
Those ETFs, which debuted in March 2015, ETFs look to capitalize on an increasingly prominent theme in the fixed income ETF space: Hedging exposure to rising interest rates by lowering an ETF’s duration to hardly noticeable levels or, in some cases, employing negative duration.
[related_stories]The Deutsche X-trackers High Yield Corporate Bond – Interest Rate Hedged ETF tracks the DBIQ High Yield Corporate Bond – Interest Rate Hedged Index, “which aims to mitigate exposure if interest rate sensitivity across the yield curve in a rising rate environment,” according to Deutsche Asset Management.
The Deutsche X-trackers Investment Grade Bond – Interest Rate Hedged ETF “seeks to track the performance, before fees and expenses, of the DBIQ Investment Grade Corporate Bond – Interest Rate Hedged Index, which aims to mitigate exposure of interest rate sensitivity across the yield curve in a rising rate environment,” according to the issuer.
Related: Is the NYSE Losing Its Luster for ETFs?
“Bats ranks as the top exchange operator for ETF trading with the Bats Exchanges – BYX, BZX, EGDA, EDGX – executing 24.7% of all ETF trading for the month of April 2016. Bats has been the #1 U.S. market for ETF trading and the #2 U.S. market for overall equities trading for every month of 2016,” according to the statement.
Related: BATS Lands More ETF Listings