Fixed Income: U.S. - Corporate, Broad-based Investment Grade

LQDI Top Performer Intra-day
Price $26.47
Today’s Change 0.36%
4:00pm 11/13/2019
LQDH Bottom Performer Intra-day
Price $93.98
Today’s Change -0.04%
4:00pm 11/13/2019

ETF.com Insight

With 19 ETFs and over $41.18B in combined AUM, the Fixed Income: U.S. - Corporate, Broad-based Investment Grade segment provides exposure to the U.S. space with a focus on Investment Grade securities.

Year-to-date, the best-performing ETF in the segment is the Vanguard Total Corporate Bond ETF (VTC), with a total return of 18.31%. Meanwhile, the most popular ETF is the iShares iBoxx USD Investment Grade Corporate Bond ETF (LQD) with $34.29BB in assets under management.

Investors should take a look at the iShares iBoxx USD Investment Grade Corporate Bond ETF (LQD). This fund has been chosen as an Analyst Pick by FactSet, thus is the best ETF for the average investor. LQD tracks a market-weighted index of US corporate investment-grade bonds across the maturity spectrum. LQD has an expense ratio of 0.15% and tracks the Markit iBoxx USD Liquid Investment Grade Index.

Performance Dispersion

ETF.com Efficiency Insight

The average efficiency score in the Fixed Income: U.S. - Corporate, Broad-based Investment Grade segment is 88 out of 100, with the iShares Broad USD Investment Grade Corporate Bond ETF(USIG) obtaining the highest rating of 96 out of 100.

Costs dominate the discussion around efficiency. ETFs in the segment have an average expense ratio of 0.18% per year, with the SPDR Portfolio Corporate Bond ETF (SPBO) having the lowest expense ratio, charging investors 0.06% yearly.

Investors should look for funds with tight tracking, such as the PIMCO Investment Grade Corporate Bond Index ETF (CORP), with a 12-month median tracking difference of -0.06%.

Tracking Difference (12 Month)

ETF.com Tradability Insight

The average tradability score in the Fixed Income: U.S. - Corporate, Broad-based Investment Grade segment is 68 out of 100, with the iShares iBoxx USD Investment Grade Corporate Bond ETF(LQD) obtaining the highest rating of 100 out of 100.

The iShares iBoxx USD Investment Grade Corporate Bond ETF (LQD) is the undisputed segment leader when it comes to liquidity. The fund trades 1.17B in daily average volume. Investors should also find ample liquidity in the iShares Broad USD Investment Grade Corporate Bond ETF (USIG), with $37.76M in daily dollar volume.

Use limit orders to trade funds such as the Xtrackers Investment Grade Bond Interest Rate Hedged ETF(IGIH), due to their double-digit market spreads.

ETF.com/ Block Liquidity

LQD
5
4
3
2
1
LQDH
5
4
3
2
1
VTC
5
4
3
2
1
LQDI
5
4
3
2
1
USIG
5
4
3
2
1
CORP
5
4
3
2
1
QLTA
5
4
3
2
1
GIGB
5
4
3
2
1
IGEB
5
4
3
2
1
SUSC
5
4
3
2
1
SPBO
5
4
3
2
1
PFIG
5
4
3
2
1
FLCO
5
4
3
2
1
SPXB
5
4
3
2
1
JIGB
5
4
3
2
1
WFIG
5
4
3
2
1
IG
5
4
3
2
1
IGIH
5
4
3
2
1
CBSUSA.USD
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 Aggregate Corporate 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 . 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, follows a strategy and obtains a low Fit score compared with our neutral benchmark.

Index Methodology