- iShares U.S. High Yield Bond Index ETF (CAD-Hedged) (XHY)
- iShares iBoxx USD High Yield Corporate Bond ETF (HYG)
What is your best advice for a high yield bond etf?
Thanks,
Murray
For high-yield bond ETFs, we like USHY, HYG, and XHY.
USHY has a yield of 6.6%, an AUM of $20.3B, an MER of 0.08%, and in general has a broader portfolio of bonds than HYG or XHY.
HYG has a yield of 5.9%, an AUM of $14.9B, an MER of 0.49%, and has a greater focus on more liquid high-yield bonds than the other ETFs.
XHY has a yield of 5.9%, an AUM of $0.4B, an MER of 0.56%, and it is similar to HYG but it is Canadian-listed and has both a hedged and unhedged version.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in XHY.