Claymore To Launch 9 New Junk Bond ETFs

In an attempt to further broaden its arsenal of exchange traded funds (ETFs), Claymore Securities recently announced its plans to introduce nine target date high yield corporate bond ETFs with maturity dates ranging from 2012 to 2020. 

These junk bond ETFs are expected to replicate indexes which consist of high yield debt securities, maintain a target termination date and will gradually be converted to cash, with an ultimate distribution being made to shareholders at the maturity date. 

Claymore’s decision to introduce these products couldn’t come at a better time as the appeal of high-yield corporate bonds has increased as investors are starting to accept additional risk to seek higher yields on fixed income.  With the Federal Reserve showing no signs of bumping up benchmark interest rates in the foreseeable future, yields on traditional low risk Treasury bonds are expected to remain relatively insignificant, further boosting future appeal of junk bonds which can boast double digit yields. 

The nine ETFs include:

  • Claymore BulletShares 2012 High Yield Corporate Bond ETF
  • Claymore BulletShares 2013 High Yield Corporate Bond ETF
  • Claymore BulletShares 2014 High Yield Corporate Bond ETF
  • Claymore BulletShares 2015 High Yield Corporate Bond ETF
  • Claymore BulletShares 2016 High Yield Corporate Bond ETF
  • Claymore BulletShares 2017 High Yield Corporate Bond ETF
  • Claymore BulletShares 2018 High Yield Corporate Bond ETF
  • Claymore BulletShares 2019 High Yield Corporate Bond ETF
  • Claymore BulletShares 2020 High Yield Corporate Bond ETF

 Disclosure: No Positions

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