Fixed income firm BondBloxx celebrated a new milestone recently, crossing $4 billion in ETF AUM. The firm offers more than 20 fixed income ETFs for investors, led by its largest fund, the BondBloxx Bloomberg Six Month Target Duration US Treasury ETF (XHLF). As investor demand for fixed income ETFs grows amid uncertainty around the near-term economic outlook, the firm’s ETFs could offer a variety of intriguing options.
While XHLF holds the largest AUM total in the firm’s suite, it did not see the largest inflows over the last year among those ETFs. The BondBloxx Bloomberg Ten Year Target Duration US Treasury ETF (XTEN) added $372 million in net inflows over the last year.
BondBloxx Fixed Income ETFs Help Firm Pass $4 Billion AUM
XHLF offers passive exposure to U.S. Treasurys with a six-month target duration for a three-basis-point (bps) fee. XTEN also offers passive exposure, aiming for a 10-year target duration in the same asset class for an eight bps fee. A similar fund, the BondBloxx Bloomberg One Year Target Duration US Treasury ETF (XONE), offers exposure to one-year Treasurys. It currently charges a three bps fee and has added the second most in flows over one year at $209 million.
“BondBloxx has been an innovator in the fixed income ETF universe since they launched products a few years ago,” said VettaFi Head of Research Todd Rosenbluth. “It’s is great to see the firm reach a key asset milestone. The firm will be joining us at the Exchange conference in a couple of weeks.”
The firm also recently launched a new private credit CLO ETF. The BondBloxx Private Credit CLO ETF (PCMM) charges a 68 bps fee to actively invest targeting capital appreciation and current income. While focusing on investment-grade credit, it can invest up to 25% in high yield.
Looking ahead, the firm could be poised for continued growth. As the fixed income picture shifts, BondBloxx offers a variety of fixed income ETFs to consider.
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