SPAB Profile
The SPDR Portfolio Aggregate Bond ETF is designed to offer broad exposure to the U.S. investment-grade bond market by tracking a comprehensive bond index. The fund typically allocates at least 80% of its total assets to the securities that constitute the index. This includes not only the specific bonds within the index but also other securities deemed by the Adviser to have economic characteristics that closely mirror those of the index components.
The underlying index for the SPDR Portfolio Aggregate Bond ETF encompasses a wide range of U.S. dollar-denominated investment-grade bonds. These bonds include government, corporate, and mortgage-backed securities, reflecting a broad spectrum of fixed-income assets. By investing in this diverse mix, the fund aims to replicate the performance of the overall investment-grade bond market, providing investors with a stable and diversified fixed-income portfolio.
The ETF is structured to offer investors a low-cost way to gain exposure to a broad range of high-quality bonds, helping to manage interest rate risk and credit risk through diversification. The fund’s holdings include various maturities and sectors, which are selected to align with the index’s objective of capturing the performance of the aggregate bond market. This approach is intended to provide investors with a representative benchmark of investment-grade fixed-income securities.
As a passively managed fund, the SPDR Portfolio Aggregate Bond ETF seeks to match, rather than outperform, the performance of the underlying index. This strategy aims to minimize tracking error and provide investors with returns that closely mirror those of the broad U.S. investment-grade bond market. The fund is suitable for investors seeking steady income and diversification within the fixed-income asset class.
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