ProShares Bond ETFs Offer Fix for Rising Rate Fears
If you own investment grade bonds but fear rising rates will hurt their value, then you should consider owning the Investment Grade-Interest Rate Hedged ETF (IGHG), says Steve Sachs, Head of Capital Markets at ProShares.
If you own investment grade bonds but fear rising rates will hurt their value, then you should consider owning the Investment Grade-Interest Rate Hedged ETF (IGHG), says Steve Sachs, Head of Capital Markets at ProShares. The IGHG combines a long position in investment-grade bonds with a short hedge in U.S. Treasurys in order to reduce duration risk. ProShares High Yield-Interest Rate Hedged ETF (HYHG) utilizes a similar strategy, yet potentially offers higher yields.
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