BSJV Profile
The Invesco BulletShares 2031 High Yield Corporate Bond ETF provides investors with exposure to a portfolio of U.S. dollar-denominated high yield corporate bonds, commonly referred to as "junk bonds," with maturities or "effective maturities" in the year 2031. This ETF aims to track the performance of an underlying index that focuses on high yield bonds, offering the potential for higher returns compared to investment-grade bonds. The funds strategy is designed to capture income from the high yield segment of the corporate bond market, which typically involves higher credit risk.
The fund is committed to investing at least 80% of its total assets in the securities that constitute its underlying index. This index is specifically designed to measure the performance of high yield corporate bonds maturing in 2031, allowing the ETF to target a fixed maturity date for its bond holdings. By focusing on bonds rated below investment grade, the ETF seeks to offer investors higher yields, compensating for the increased risk associated with lower credit ratings and potential volatility in the bond market.
The investment strategy of the Invesco BulletShares 2031 High Yield Corporate Bond ETF involves selecting bonds that meet high yield criteria, focusing on issuers with lower credit ratings but higher potential yields. The funds management team employs a thorough selection process to identify bonds that offer attractive risk-adjusted returns, aiming to balance yield with credit risk. The ETFs non-diversified nature reflects its concentration in high yield corporate bonds, which may lead to greater exposure to credit market fluctuations and economic changes.
The Invesco BulletShares 2031 High Yield Corporate Bond ETF is suitable for investors seeking higher income potential from the high yield bond market with a specific investment horizon targeting the year 2031. This ETF provides a means to align fixed income investments with a predetermined maturity date while navigating the risks and rewards associated with high yield securities. The funds strategy emphasizes capturing income from higher-yielding bonds while managing the associated credit and market risks.
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