Daily ETF Watch: More BulletShares Planned

Guggenheim to add funds to high-yield and investment-grade families.

Guggenheim Investments has filed for four ETFs that will build out its family of BulletShares ETFs, which targets bonds maturing in specific years. The high-yield lineup includes funds covering each year from 2016 to 2023, while the investment-grade lineup covers 2016 to 2025.

One filing indicates plans to expand the investment-grade funds to include the next three years:

• Guggenheim BulletShares 2026 Corporate Bond ETF
• Guggenheim BulletShares 2027 Corporate Bond ETF
• Guggenheim BulletShares 2028 Corporate Bond ETF

The other filing outlines a single fund, the Guggenheim BulletShares 2026 High Yield Corporate Bond ETF.

The Guggenheim BulletShares funds all invest primarily in USD-denominated bonds maturing by the end of their targeted year, and the funds shut down on the final trading day of their respective years of maturity. The BulletShares ETFs all track indexes provided by Accretive Asset Management, which is owned by Nasdaq.

Target-date maturity ETFs can be used in laddering strategies and by investors who have an expiration date on their investment horizon, such as a parent paying for their child’s college education.

The filing did not include tickers, but it did indicate that the funds would launch on the NYSE Arca. It also listed the expense ratios of the funds as 0.24% for the investment-grade ETFs and 0.42% for the high-yield ETF.

Contact Heather Bell at [email protected].