Deutsche Asset Management has expanded its fixed income exchange-traded fund range with the listing of the db x-trackers USD High Yield Corporate Bond UCITS ETF (DR)1….
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The ETF, which listed on the London Stock Exchange this morning and on the Deutsche Börse last Friday (February 9, 2018), tracks an index from the Bloomberg Barclays High Yield Very Liquid Bond Index family. The benchmark consists of approximately 640 sub-investment grade bonds.
The ETF has an All-in Fee of 0.35% per annum and uses direct, physical replication to track its index.
Blanca Koenig, Deutsche AM Fixed Income ETF Strategist, commented: “Investors continue to look for higher-yielding bond exposures as well as monitor interest rate sensitivity. The new USD high-yield ETF, with a yield of around 6% per annum and a relatively low duration of 4.12, expands the toolkit available to investors to address today’s market challenges. The ETF complements the existing Xtrackers EUR high-yield offering as well as the existing USD bond ETF providing exposure to Treasuries, investment-grade corporates and USD emerging market bonds.”
Deutsche AM has an extensive range of over 50 fixed income ETFs plus additional currency-hedged share classes. Approximately two-thirds of the range uses direct, physical replication.
1 db x-trackers USD High Yield Corporate Bond UCITS ETF (DR) is a sub-fund of Concept Funds Solutions plc.
2 Source: Bloomberg Barclays, figures as of 06/02/2017. Past performance is not indicative of future returns