LARKSPUR, Calif., Feb. 17, 2022 /PRNewswire/ -- Today, BondBloxx
Investment Management launched its first product suite of 7
exchange traded funds (ETFs). The fixed income funds, which begin
trading today on NYSE Arca, offer precise, index-based exposure to
the high yield asset class and allow investors the opportunity to
diversify and manage risk to industry sector.
"Until today, fixed income investors could not execute
sector-specific views in high yield bonds through ETFs. We are
excited to bring the ETF benefits of efficiency, transparency,
and liquidity to fixed income investors with first-to-market
products that enable what we believe is a more precise portfolio
construction," said BondBloxx founder Leland Clemons.
The funds are passively managed and track rules-based
sub-indices of the ICE BofA US Cash Pay High Yield Constrained
Index.2
BondBloxx US High Yield Energy
Sector ETF
Ticker: XHYE
Energy sector including the exploration & production, gas
distribution, oil field equipment & services, and oil refining
& marketing sub-sectors
BondBloxx US High Yield
Industrial Sector ETF
Ticker: XHYI
Basic materials, capital goods, transportation and services
sub-sectors
BondBloxx US High Yield
Financial and REIT Sector ETF
Ticker: XHYF
Banking, financial services, insurance, and REIT sub-sectors
BondBloxx US High Yield Telecom
Media & Technology Sector ETF
Ticker: XHYT
Telecom, media and technology sector,
including the telecommunications, communication services,
technology & electronics, and media sub-sectors
BondBloxx US High Yield
Healthcare Sector ETF
Ticker: XHYH
Healthcare sector, including the health facilities, health
services, managed care, medical products, and pharmaceuticals
sub-sectors
BondBloxx US High Yield
Consumer Cyclicals Sector ETF
Ticker: XHYC
Consumer cyclicals sector, including the
automotive, leisure, real estate development & management,
department stores, and specialty retail sub-sectors
BondBloxx US High Yield
Consumer Non-Cyclicals Sector ETF
Ticker: XHYD
Consumer non-cyclicals sector, including the consumer goods,
discount stores, food & drug retail, restaurants, and utilities
sub-sectors
BondBloxx was founded by ETF industry leaders Leland Clemons, Joanna
Gallegos, Elya Schwartzman,
Mark Miller, Brian O'Donnell and Tony
Kelly. The team has collectively built and launched over 350
ETFs at firms including BlackRock, J.P. Morgan, State Street,
Northern Trust and HSBC.
"Our conversations with investors have reinforced what we
already knew – there is significant demand for more targeted
fixed income products," said BondBloxx co-founder Tony Kelly. "Our initial product suites aim to
create a full toolkit for high yield investors looking to implement
their specific views on the market, and we anticipate extending
this approach to other fixed income asset classes."
The funds launching today have an annual expense ratio of 0.35%.
BondBloxx has filed a prospectus with the SEC with proposed details
of the second set of funds.
To learn more about BondBloxx, visit BondBloxxETF.com.
About BondBloxx Investment Management
Corporation
BondBloxx Investment Management Corporation
("BondBloxx"), a registered investment adviser, is the first ETF
issuer focused solely on addressing the needs of fixed income
investors. BondBloxx will seek to design and launch ETFs that offer
precise market exposures to fixed income asset
classes. For more information, go
to BondBloxxETF.com.
This shall not constitute or serve as an offer to sell products
or services in any country or jurisdiction by BondBloxx. For
informational purposes only. All information is given in good faith
and without warranty and should not be considered investment advice
or an offer of any security for sale.
Carefully consider the Funds' investment objectives, risks,
charges, and expenses before investing. This and other
information can be found in the Funds' prospectus or, if available,
the summary prospectus, which may be obtained by visiting
bondbloxxetf.com. Read the prospectus carefully before
investing.
There are risks associated with investing, including possible
loss of principal. Fixed income investments are subject to interest
rate risk; their value will normally decline as interest rates
rise. Fixed income investments are also subject to credit risk, the
risk that the issuer of a bond will fail to pay interest and
principal in a timely manner, or that negative perceptions of the
issuer's ability to make such payments will cause the price of that
bond to decline. Investing in mortgage- and asset-backed securities
involves interest rate, credit, valuation, extension and liquidity
risks and the risk that payments on the underlying assets are
delayed, prepaid, subordinated or defaulted on.
Distributor: Foreside Fund Services, LLC.
1 INFORMATION CONTAINED HEREIN IS SUBJECT TO
COMPLETION OR AMENDMENT. A REGISTRATION STATEMENT RELATING TO THESE
SECURITIES HAS BEEN FILED WITH THE SECURITIES AND EXCHANGE
COMMISSION BUT HAS NOT YET BECOME EFFECTIVE. THESE SECURITIES MAY
NOT BE SOLD NOR MAY OFFERS TO BUY BE ACCEPTED PRIOR TO THE TIME THE
REGISTRATION STATEMENT BECOMES EFFECTIVE. THIS COMMUNICATION SHALL
NOT CONSTITUTE AN OFFER TO BUY OR THE SOLICITATION OF AN OFFER TO
BUY NOR SHALL THERE BE ANY SALE OF THESE SECURITIES IN ANY STATE IN
WHICH SUCH OFFER, SOLICITATION OR SALE WOULD BE UNLAWFUL PRIOR TO
REGISTRATION OR QUALIFICATION UNDER SECURITIES LAWS OF ANY SUCH
STATE.
AN INDICATION OF INTEREST IN RESPONSE TO THIS ADVERTISEMENT WILL
INVOLVE NO OBLIGATION OR COMMITMENT OF ANY KIND.
2 ICE BofA US High Yield Index tracks the performance
of US dollar denominated below investment grade rated corporate
debt publicly issued in the US domestic market. Investors cannot
directly invest in an index.
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SOURCE BondBloxx