VCSH News and Press, Vanguard Short-Term Corporate Bond ETF From 12/19/22

Summary Yes to Value, No to Growth. When rates/yields are rising, the present value of future cash flows is decreasing. Big No to Big Tech. Tech stocks are among those that enjoyed the most out of the "free money" monetary policy. (High-Grade) Bonds > Stocks. A bird in the Credit...

Summary FTSM is a reasonable competitor in the short-term bond space, but it doesn't jump out at us as a must-have ETF. It is showing signs of outperforming US T-Bills, and often does, thanks to a slug of corporate exposure. However, that outperformance might make it more of a compl...

Summary For the tenth straight month, mutual fund investors were net redeemers of fund assets, withdrawing $109.7 billion from conventional funds for October. Fixed income funds (-$65.0 billion) witnessed net outflows for the second consecutive month, while money market funds (+$2...

Summary The pain in bond-land is palpable. The IGSB ETF is now more oversold than either the 2008 or 2020 lows. The 10-year Treasury yield closed at 4.12% today, despite Powell’s rhetoric from last night. In this post from Tuesday night, the relative attra...

Summary This year’s sharp rise in treasury yields creates an attractive opportunity in short-term bonds heading into 2023 as the Fed slows the pace of rate hikes. We favor transitioning from floating-rate notes to fixed-rate notes going into 2023 now that interest rates hav...

Summary We had written about this fund when it yielded almost next to nothing. Times have changed, making us revisit this one. We review the current climate and the fund characteristics and explain our verdict. We wrote on Vanguard Short-Term Corporate Bond Index ETF...

Summary Short-term bonds are now offering yields that outpace expected inflation. Fixed income is no longer ballast in investor portfolios. The best predictor of future bond returns is yield to maturity and it's high. The selloff in the bond market has been nearly un...

Summary The broadest measure of the bond market, the Bloomberg US Aggregate Index, has returned -14.61% YTD through the end of the third quarter. All segments of the bond market have posted negative returns YTD. 2022 is shaping up to be the worst performance year in the 45-yea...

Summary Today’s markets are undoubtedly volatile, as investors face uncertain central bank policy and evolving market consensus outlooks for economic growth. We expect monetary policy to remain restrictive across major economies, despite slowing growth and rising recession ...

Summary Trading activity on the Tradeweb European ETF marketplace reached EUR 47.4 billion in August, while the proportion of transactions processed via Tradeweb’s Automated Intelligent Execution (AiEX) tool was 82.3%. Total consolidated U.S. ETF notional value traded in Au...