Fixed Income: U.S. - Corporate, Broad-based Investment Grade Intermediate
With 26 ETFs and over $50.99B in combined AUM, the Fixed Income: U.S. - Corporate, Broad-based Investment Grade Intermediate 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 iShares iBonds Mar 2023 Term Corporate ex-Financials ETF (IBCE), with a total return of -0.15%. Meanwhile, the most popular ETF is the Vanguard Intermediate-Term Corporate Bond ETF (VCIT) with $25.96BB in assets under management.
Investors should take a look at the Vanguard Intermediate-Term Corporate Bond ETF (VCIT). This fund has been chosen as an Analyst Pick by FactSet, thus is the best ETF for the average investor. VCIT tracks a market-weighted index of investment-grade corporate bonds with maturities of 5-10 years. VCIT has an expense ratio of 0.05% and tracks the Bloomberg Barclays U.S. 5-10 Year Corporate Bond Index.
ETF.com Efficiency Insight
The average efficiency score in the Fixed Income: U.S. - Corporate, Broad-based Investment Grade Intermediate segment is 90 out of 100, with the Invesco BulletShares 2021 Corporate Bond ETF(BSCL) obtaining the highest rating of 97 out of 100.
Costs dominate the discussion around efficiency. ETFs in the segment have an average expense ratio of 0.13% per year, with the Schwab 5-10 Year Corporate Bond ETF (SCHI) having the lowest expense ratio, charging investors 0.05% yearly.
Investors should look for funds with tight tracking, such as the Invesco Investment Grade Defensive ETF (IIGD), with a 12-month median tracking difference of -0.01%.
ETF.com Tradability Insight
The average tradability score in the Fixed Income: U.S. - Corporate, Broad-based Investment Grade Intermediate segment is 80 out of 100, with the Vanguard Intermediate-Term Corporate Bond ETF(VCIT) obtaining the highest rating of 100 out of 100.
The Vanguard Intermediate-Term Corporate Bond ETF (VCIT) is the undisputed segment leader when it comes to liquidity. The fund trades 379.44M in daily average volume. Investors should also find ample liquidity in the iShares Intermediate-Term Corporate Bond ETF (IGIB), with $88.45M in daily dollar volume.
Use limit orders to trade funds such as the Sage ESG Intermediate Credit ETF(GUDB), due to their double-digit market spreads.
ETF.com Fit Insight
The Bloomberg Barclays Intermediate Corporate Bond 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.