SPDR Barclays Long Term Corporate Bond ETF (LWC)
With an asset base of over $305 million and an average trading volume of roughly 100,000 shares, LWC is among one of the less popular funds in the corporate bond space.
The fund tracks the Barclays Long U.S. Corporate Index to provide exposure to long-term corporate bonds. As such, the fund has a weighted average maturity of 23.89 years and an average duration of 13.85 years.
The fund currently holds a well-diversified basket of 1,180 investment grade securities. Sector-wise, Industrials dominate the fund with a little over three-fourths of fund assets, followed by Finance and Utility with 19.6% and 13.04% allocations, respectively.
The fund is a low-cost choice with 15 basis points as fees and has a 30-Day SEC yield of 4.26%. LWC is up 15% this year.
Fundamental Emerging Markets Local Debt Portfolio (PFEM)
This emerging market fund seeks to provide exposure to high-yield bonds of various investment grades. Per the S&P, A and BBB-rated bonds take 30% of the portfolio each followed by AA rated bonds (21%) and BB rated bonds (13%).
The fund presently holds 40 securities, targeting the intermediate part of the yield curve. The ETF has an average maturity of 7.18 years and an effective duration of 5.11 years.
Country-wise, Brazil, Indonesia, Russia, Mexico and South Korea each occupy assets in the range of 7.5% to 9.7%. The fund charges 50 basis points as fees and has a 30-Day SEC Yield of 5.20%.
The yield to worst came in at 5.74%. The fund manages a small asset base of $4.1 million and is relatively illiquid with average trading volume of roughly 1,000 shares a day.
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