Investors Flock to Bond ETFs
Retail investors are moving to fixed-incomes assets, especially exchange traded funds, after watching stocks drop 37% last year.
That’s according to Forbes reporter Matthew Craft who writes about the move to fixed-income ETFs in the story The New ETF Darlings.
Craft notes two of the four fastest growing iShares funds in July were bond ETFs: the iShares Barclays TIPS Bond Fund (TIP) and iShares Barclays 1-3 Year Credit Bond Fund (CSJ).
Craft also mentions that bond giant Pacific Investment Management Company (PIMCO) launched its first bond ETF in June, the PIMCO 1-3 Year U.S. Treasury Index Fund (TUZ).
