Over the past three years, SRLN has been less volatile than the largest passively managed senior loan ETF as well as the largest, traditional junk bond ETF.
“Floating rate senior secured loans have outperformed most traditional fixed income categories year-to-date. Coupons on the S&P/LSTA Leveraged Loan Index are at a post-financial-crisis high of 5.47% and are likely to go higher with the Federal Reserve on course to raise rates twice more in 2018,” according to SSgA.
SRLN’s current three-month LIBOR is 2.34%. The ETF’s 30-day SEC yield is 4.69%.
For more information on the fixed-income space, visit our bond ETFs category.