Wisdom Tree offers short-duration SHAG to investors

By John Kenchington

Added 19th May 2017

Wisdom Tree has united with Bloomberg Barclays to launch SHAG, an exchange-traded fund (ETF) targeting short-duration US fixed income.

Wisdom Tree offers short-duration SHAG to investors

The group announced the launch in a press release “making the case for SHAG in a rising-rate environment”.

The Wisdom Tree Barclays Yield Enhanced US Short-Term Aggregate Bond Fund (SHAG) will aim to boost income levels for investors.

The ETF will draw on bonds listed in the Bloomberg Barclays US Aggregate Index, but aim to reduce interest-rate risk and boost yield by specially reweighting components within the index.

It will overweight credit securities and underweight low-yielding treasuries.

"SHAG quick facts" include a net expense ratio of 0.12% and the fact it will be US-dollar denominated, the group said.

“In a market environment where every basis point counts, overweighting treasuries might not be your first stop on the road to income,” said Kevin Flanagan, senior fixed income strategist at WisdomTree.

“SHAG may serve as a powerful tool for investors seeking to navigate a potential rising rate environment.”

Unfortunately SHAG may be out of reach for many British investors, with the fund set to be listed on the US’s BATS Exchange which has its main headquarters in Kansas.

 

Sponsors

Portfolio Adviser: Guide to Europe

Portfolio Adviser: Guide to Europe

After a politically turbulent time in 2016, Europe has been under scrutiny with several nations going to the polls.The question asked, would investors be right to...

Kames Income Hub

home_research_centre

Vincent McEntegart, manager of the Kames Diversified Monthly Income Fund, explains how he aims to deliver a stable and sustainable income of 5% p.a.*, paid monthly, by investing in a range of asset classes

Square Mile Research

Premier Multi Asset Global Growth - Alex Farlow
Premier Multi Asset Global...

Talking Factsheets is a video service for users...

Visitor's Comments Add your comment

Add Your Comment

We won't publish your address

Profiles

Viewpoint

Investment Strategy

Feature

Tweets

Events

PA Edinburgh 2017
PA Edinburgh 2017

Thursday 7 September
Balmoral Hotel, Edinburgh

PA Alternatives 2017
PA Alternatives 2017

Tuesday 12 September
Radisson Blu Edwardian Bloomsbury Street Hotel

PA Dublin October 2017
PA Dublin October 2017

Tuesday 10 October
Westbury Hotel, Dublin

PA US 2017
PA US 2017

Tuesday 17 October
Furniture Makers' Hall

Sponsored Content

OTHER STORIES FROM LAST WORD...