High-Yield Bond ETFs Could Pay Off For Investors With A High Risk Tolerance

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September 29, 2009 10:12am NYSE:HYG NYSE:JNK

Scott Burns, in a video for Morningstar, talks about the potential rewards that could be gained by investing in junk bonds. Scott specifically focuses on the use of ETFs to gain exposure to the junk bond market. The two ETFs focused on in this article are

The SPDR Barclays Capital High Yield Bond (JNK) and the iShares iBoxx $ High Yield Corporate Bd (HYG). JNK seeks results that correspond generally to the price and yield performance, before fees and expenses, of the Lehman Brothers High Yield Very Liquid index. HYG seeks the results that correspond generally to the price and yield performance, before fees and expenses, of the iBoxx(Reg. TM) $ Liquid High Yield Index.

For the full morningstar story click: HERE