Fixed Income: U.S. - Corporate High Yield Short-Term

HYZD Top Performer Intra-day
Price $24.02
Today’s Change 0.71%
3:59pm 02/23/2018
HYND Bottom Performer Intra-day
Price $21.50
Today’s Change -0.14%
3:51pm 02/23/2018

ETF.com Insight

With 9 ETFs and over $11.30B in combined AUM, the Fixed Income: U.S. - Corporate High Yield Short-Term segment provides exposure to the U.S. space with a focus on High Yield securities.

Year-to-date, the best-performing ETF in the segment is the WisdomTree Negative Duration High Yield Bond Fund (HYND), with a total return of 5.92%. Meanwhile, the most popular ETF is the SPDR Bloomberg Barclays Short Term High Yield Bond ETF (SJNK) with $4.12BB in assets under management.

Investors should take a look at the iShares 0-5 Year High Yield Corporate Bond ETF (SHYG). This fund has been chosen as an Analyst Pick by FactSet, thus is the best ETF for the average investor. The iShares 0-5 Year High Yield Corporate Bond ETF tracks a market-value-weighted index of high-yield US-dollar-denominated corporate bonds with 0-5 years remaining in maturity. SHYG has an expense ratio of 0.30% and tracks the Markit iBoxx USD Liquid High Yield 0-5 Index.

ETF.com Efficiency Insight

The average efficiency score in the Fixed Income: U.S. - Corporate High Yield Short-Term segment is 74 out of 100, with the iShares 0-5 Year High Yield Corporate Bond ETF(SHYG) obtaining the highest rating of 90 out of 100.

Costs dominate the discussion around efficiency. ETFs in the segment have an average expense ratio of 0.40% per year, with the Xtrackers Short Duration High Yield Bond ETF (SHYL) having the lowest expense ratio, charging investors 0.20% yearly.

Investors should look for funds with tight tracking, such as the SPDR Bloomberg Barclays Short Term High Yield Bond ETF (SJNK), with a 12-month median tracking difference of -0.35%.

Tracking Difference (12 Month)

ETF.com Tradability Insight

The average tradability score in the Fixed Income: U.S. - Corporate High Yield Short-Term segment is 67 out of 100, with the iShares 0-5 Year High Yield Corporate Bond ETF(SHYG) obtaining the highest rating of 84 out of 100.

The SPDR Bloomberg Barclays Short Term High Yield Bond ETF (SJNK) is the undisputed segment leader when it comes to liquidity. The fund trades 74.25M in daily average volume. Investors should also find ample liquidity in the PIMCO 0-5 Year High Yield Corporate Bond Index ETF (HYS), with $51.81M in daily dollar volume.

Use limit orders to trade funds such as the WisdomTree Negative Duration High Yield Bond Fund(HYND), due to their double-digit market spreads.

ETF.com/ Block Liquidity

SJNK
5
4
3
2
1
HYZD
5
4
3
2
1
SHYG
5
4
3
2
1
BSJK
5
4
3
2
1
BSJJ
5
4
3
2
1
HYS
5
4
3
2
1
HYND
5
4
3
2
1
SFHY
5
4
3
2
1
SHYL
5
4
3
2
1
This measurement shows how easy it is to trade 25,000 shares of each ETF.

ETF.com Fit Insight

The Bloomberg Barclays US High Yield 350M Cash Pay 0-5Y 2% Capped Index has been selected as the index that most accurately represents the market in question. The benchmark has been selected by the ETF Analytics team at FactSet, according to a series of guidelines to ensure this index accurately captures its market.

Investors trying to match a broad market exposure should pay attention to SJNK. This fund obtains a high Fit score and investors should capture market-like returns.

Other funds diverge from the market, by nature of their investment mandates; for example, HYND follows a Duration Hedged strategy and obtains a low Fit score compared with our neutral benchmark.

Index Methodology