PMTU Vs. IBHH: Evaluating Single Note To HY Bond ETF

2025-09-19 08:00:00 ET

Introduction

One decision fixed income investors face is the risk level they are willing to accept for the potential Yield-to-Maturity, or YTM, they would earn if the asset is held until maturity. Last summer I compared PennyMac Mortgage Investment Trust NT 8.5% 28 ( PMTU ) against similar Notes from other mREIT firms where I rated it a Hold as some of the other Notes seemed better choices ( article link ). This time I changed the risk profile used by comparing the Note against the iShares iBonds 2028 Term High Yield and Income ETF ( IBHH ): one Note versus a set that all mature the same year as PMTU. I am rating PMTU a Hold until after its pending Call date. As for IBHH, it is a Buy as part of a HY bond laddering strategy. ...

Read the full article on Seeking Alpha

For further details see: