Bond ETF Overview

Bond ETFs were first introduced in 2002, and since then, investors have poured more than $300 billion in assets into those ETFs. But bond ETFs aren't a one-to-one swap for bonds. The ETF wrapper introduces key differences, which makes these investments behave in unexpected ways. This channel is designed to help you understand bond ETFs and how they work, keep you up-to-date on the latest bond ETF news, and find the right bond ETFs for your portfolio.

With 542 ETFs traded on the U.S. markets, Bond ETFs have total assets under management of $1,278.40B. The average expense ratio is 0.36%. Bond ETFs can be found in the following asset classes:

  • Fixed Income

The largest Bond ETF is the Vanguard Total Bond Market ETF BND with $84.49B in assets. In the last trailing year, the best-performing Bond ETF was TTT at 71.70%. The most recent ETF launched in the Bond space was the US Treasury 3 Month Bill ETF TBIL on 08/09/22.

Top ETF Performers

PCY Invesco Emerging Markets Sovereign Debt ETF 11.51%
CWB SPDR Bloomberg Convertible Securities ETF 7.85%
EMHC SPDR Bloomberg Barclays Emrging Markets USD Bond ETF 7.21%
UJB ProShares Ultra High Yield 6.55%
EMBD Global X Emerging Markets Bond ETF 5.98%

Bottom ETF Performers

IVOL Quadratic Interest Rate Volatility and Inflation Hedge ETF -4.00%
SJB ProShares Short High Yield -3.34%
UBT ProShares Ultra 20+ Year Treasury -2.81%
IRVH Global X Interest Rate Volatility & Inflation Hedge ETF -1.99%
BNDD KraneShares Quadratic Deflation ETF -1.53%

Top Creations

GOVT iShares U.S. Treasury Bond ETF 4.80K
TLT iShares 20+ Year Treasury Bond ETF 3.78K
LQD iShares iBoxx USD Investment Grade Corporate Bond ETF 3.14K
TLH iShares 10-20 Year Treasury Bond ETF 2.22K
HYG iShares iBoxx USD High Yield Corporate Bond ETF 1.86K

Top Redemptions

BIL SPDR Bloomberg 1-3 Month T-Bill ETF -2,271.55
SHV iShares Short Treasury Bond ETF -1,722.63
TIP iShares TIPS Bond ETF -1,042.25
PULS PGIM Ultra Short Bond ETF -521.50
FALN iShares Fallen Angels USD Bond ETF -345.73

AUM Winners

IBTL iShares iBonds Dec 2031 Term Treasury ETF 289.25%
UTWO US Treasury 2 Year Note ETF 233.17%
UJB ProShares Ultra High Yield 143.78%
IBTM iShares iBonds Dec 2032 Term Treasury ETF 101.64%
IBTK iShares iBonds Dec 2030 Term Treasury ETF 100.69%

AUM Losers

EERN DriveWealth Power Saver ETF -99.50%
STBL DriveWealth Steady Saver ETF -99.14%
FEHY FlexShares ESG & Climate High Yield Corporate Core Index Fund -74.54%
VALT ETFMG Sit Ultra Short ETF -43.64%
RISR FolioBeyond Rising Rates ETF -37.78%

Features and News

Morgan Stanley Returns to ETFs After More Than 25 Years

ETF pioneer Bob Tull sees a missed opportunity in the asset manager’s early exit decades prior.

Features and News

Dividend ETFs Still Popular Despite Bond Yield Surge

The top 10 dividend ETFs have had inflows of more than $32 billion this year.

Features and News

Gold ETFs’ Performance This Year Defies Inflation Hedge Thesis

Gold ETFs have outperformed stocks and bonds, but neither quite live up to the inflation hedge mantra.

Features and News

Why Are Investors Rotating Into Fixed Income ETFs?

Investors in Europe have poured $4.2 billion into bond ETFs over the past three months.

Features and News

CPI Vindicates Stock, Bond Investors

The Fed’s fight to rein in inflation isn’t over yet.

Daily ETF Watch

First Single-Bond ETFs Zero in on Treasuries

New issuer rolled out a trio of first-of-their-kind ETFs.

Features and News

ETFs Dip Following Strong Jobs Report

Investors expecting third straight 75 bp hike following stronger-than-expected July report on the labor market.

Features and News

Custom ETF Creation Baskets Incur Hidden Costs

Research shows corporate bond ETFs pay 48 bps a year on average in “hidden costs.”

Features and News

Market Signals Still Mixed After Fed Hike

Are we in a recession or not? No one seems to agree.