Which iShares Corporate Bond ETF Is Best for Income Investors: IGLB or LQD?
Compare cost, yield, and risk profiles of two leading investment-grade bond ETFs. See how their strategies may impact long-term portfolio performance.
Overview
iShares 10+ Year Investment Grade Corporate Bond ETF (NYSEMKT:IGLB) provides lower costs and a higher yield, while iShares iBoxx $ Investment Grade Corporate Bond ETF (NYSEMKT:LQD) offers broader maturity exposure and lower historical volatility.
These two exchange-traded funds (ETFs) serve as foundational tools for investors seeking exposure to high-quality corporate debt. While both are managed by iShares and focus on investment-grade bonds, they diverge significantly in their duration profiles and their historical sensitivity to interest rate movements and market volatility.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.