WisdomTree Debuts Global Agg ETF

Fund targets investment-grade space of developed markets.

Reviewed by: etf.com Staff
Edited by: etf.com Staff

Yesterday, WisdomTree expanded its lineup of “Enhanced” bond ETFs with the launch of a global product. The WisdomTree Yield Enhanced Global Aggregate Bond Fund (GLBY) both offers higher yield than a cap-weighted strategy and hedges away currency risk.

The fund comes with an expense ratio of 0.20% and lists on the NYSE Arca.

The fund pulls its components from the Bloomberg Barclays Global Aggregate Index, reweighting subgroups within the benchmark that are defined by their risk dimensions like currency denomination, sector exposure, interest rate risk and credit risk.

The methodology targets a duration that is within one year of the underlying global aggregate universe, which covers the investment-grade debt of North America, Europe and the Asia-Pacific region. The universe typically has a duration range from four to eight years, the prospectus says.

WisdomTree has two other funds that rely on a similar methodology but target different slices of the U.S. market: the $387 million WisdomTree Yield Enhanced U.S. Aggregate Bond Fund (AGGY) and the $39 million WisdomTree Yield Enhanced U.S. Short-Term Aggregate Bond ETF (SHAG).

Contact Heather Bell at [email protected]

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