JAAA - PULS: Top Quartile Short-Term Bond Fund
2024-06-06 03:57:34 ET
Summary
- PULS ETF is a top-quartile short-term bond fund investing in treasuries, commercial paper, and money market instruments.
- JAAA ETF has higher credit quality, historical performance, and distribution yield compared to PULS, but is more credit-sensitive.
- I personally prefer the safety of treasury bill funds or the higher returns of the JAAA ETF over PULS.
Recently, a reader sent me a message asking for my opinion on the PGIM Ultra Short Bond ETF ( PULS ) and how the fund compares against one of my recommendations, the Janus Henderson AAA CLO ETF ( JAAA ). Rather than give specific advice through a private message, I will use this article to summarize my thoughts on the PULS ETF so readers can make an informed decision themselves.
By itself, the PULS ETF is a top-quartile short-term bond fund primarily investing in treasuries, commercial paper, and money market instruments. However, compared to the JAAA, I believe the JAAA has higher credit quality, higher historical performance, and a higher distribution yield. The one caveat against the JAAA is that its portfolio is highly credit-sensitive, so it may suffer mark-to-market losses during periods of market turmoil....
PULS: Top Quartile Short-Term Bond Fund