Rolling Down the Yield Curve With Defined-Maturity Bond ETFs
A fixed-income strategy for squeezing the most yield out of your bond portfolio.
John Gabriel
John Gabriel is a strategist for Morningstar’s manager research team. He covers fixed-income strategies and leads Canadian exchange-traded fund (ETF) research. Before assuming his current role in 2010, he was an ETF analyst covering financial, healthcare, and consumer goods and services-related funds. He was previously an equity analyst for Morningstar, covering companies in the consumer sector. Gabriel joined Morningstar in 2007.
Gabriel holds a bachelor’s degree in finance with highest honors from the University of Illinois at Chicago.
Latest
November Ratings Activity Includes a Pair of Upgrades
Seven other Morningstar Medalists were downgraded, and three funds were placed under review.
Only the Highest Quality Junk (Bonds)
This ETF follows a rules-based index that avoids the lowest-rated junk bonds.
Are Junk-Bond ETFs on Track?
Common measures of tracking performance don't tell the full story.
A Rough Year for Natural Gas Attracts the Bottom-Pickers
It may be tempting to try to catch a rebound, but know what you're getting into first.
Rethinking Commodities
The biggest return-driver for commodity futures is market structure, not fundamentals or spot prices.
Corporate Credit Spreads on the Rise
In light of the increased compensation being offered by the asset class, we spotlight a corporate-bond ETF with limited interest-rate risk.
Be Cautious With Commodity Exchange-Traded Products
Before speculating with futures-based ETPs, take a moment to look under the hood.
2 Ways to Access Fidelity's Core Bond Strategy
Gold-rated Fidelity Total Bond automatically reinvests dividends and avoids trading commissions, while its ETF counterpart is more suitable for investors who value intraday liquidity and portfolio disclosure.
Agricultural Commodities in the Spotlight
Globally, calorie consumption is growing and could spur demand as well as a need for greater agricultural productivity.
There's More to ETF Liquidity Than Meets the Eye
Exchange-traded funds' unique structure provides two sources of liquidity.
High-Yield Bond ETF Liquidity in Focus
Junk-bond ETFs have become a hot topic in 2015, as liquidity concerns heat up ahead of potential Fed action.
Bond Market Midyear Review: The Calm Before the Storm?
The second half of the year is shaping up to be even more eventful than the first.
Valuations Across the Sectors of the S&P 500
It can be helpful to evaluate both fundamental and relative equity valuations, with a few caveats.
A Tactical Tool For Dialing Down Fixed-Income Risk
This ETF is light on interest-rate risk and light on credit risk.
A Bond Fund That Stands Up to Rising Rates
Powershares Senior Loan ETF can play a valuable supporting role within a broader bond portfolio, but investors need to set realistic performance expectations.
Scouring S&P 500 Sectors For Bargains
The energy sector looks to be the last pocket of value in a fairly priced market.
Why Yields on Floating-Rate Bank Loans Aren't Floating (Yet)
Interest-rate floors have become the norm for bank loans amid persistent near-zero interest rates.
Avoid a Potential Minefield in the Oil Patch
This ETF offers a cheap and broadly diversified way to invest in the volatile energy sector.
Oil Services Firms: Hardest Hit. Deepest Value?
Investors looking for exposure to crude may appreciate this ETF's sensitivity to oil prices.
Betting on Oil
For better or for worse, exchange-traded products have made commodities markets more accessible to investors.
Under the Hood of SPDR Barclays High Yield Bond ETF
It offers an attractive yield but is heavily concentrated in the industrials sector.
Bonds as the Ballast
Despite their relatively low expected returns, bonds still provide diversification and stability.
Drilling for Value
The energy patch looks attractive from a relative valuation perspective.
SPY Celebrates 20 Years While Its Older Brother Nears 23
Let's set the record straight about the world's first ETF--it wasn't SPY.
Exploring Equity ETF Valuation
We can apply fundamental and relative valuation techniques to equity ETFs, with a few caveats.
A Fine Line in the Active Versus Passive Debate
An increasing number of investors are actively using beta in their attempt to create alpha.
You Don't Need Currency ETFs to Bet on Exchange Rates
In fact, you may already be betting ...
Is There Wisdom in the ETF Crowd?
ETF investors are loading up on junk bonds and repositioning their inflation hedges; should you?
Stop-Loss Orders: A False Sense of Security
Rather than "insuring" your portfolio, you could be "ensuring" a loss.
You Don't Need Currency ETFs to Bet on Exchange Rates
In fact, you may already be betting ...
ETF Flows Turn Positive in the First Quarter
Yield-hungry investors also loaded up on junk bonds, while rate hike fears push fixed-income investors to the short end of the yield curve.
ETF Flows Back in Black in February
Domestic equities led steady ETF inflows last month, a reversal of January's hefty outflows.
Parsing Homebuilder ETFs
Two homebuilder ETFs with similar labels but very different subindustry exposures.
ETFs: 2009 Year-in-Review
ETF popularity from last year continues into 2010.
ETF Sector Roundup: Stalling Health-Care Reform
A quick overview of some health-care ETF plays and some stats to consider.
Legg Mason to Try Its Hand at ETFs
The firm has filed to launch actively managed exchange-traded funds.
Consider This Before Joining the Bond ETF Stampede
Individual bonds and bond ETFs are two completely different animals.
The Time Might be Right for BuyWrite
Options for profiting in an environment characterized by slow growth, tighter regulations, and lower corporate profitability.
What's the Best Way to Invest in Commodities?
A panel of industry executives discuss the recent controversies surrounding commodity ETFs.
ETFs Roll On
The U.S. ETF industry finished 2009 with nearly 50% year-over-year asset growth.
ETF Investors Keep Buying Gold
Some ETF investors are piling into gold while others are betting on a strengthening greenback.
PIMCO's Active Bond ETFs = Institutional Pricing for All
The bond giant is ready to launch three short-term and two municipal-bond ETFs.
ETF Investors Fret Over Inflation, Weak Greenback
ETF fund flow data show investors are still worried about the soundness of the U.S. economy.
Schwab ETFs Poised to Launch
Brokerage giant readies eight new ETFs offering "cheap beta" exposure.
Inflation and a Weak Greenback on the Mind of ETF Investors
TIPS and commodities funds draw investor dollars, as ETF inflows break through another barrier in September.
Get Instant Biotech Diversification
Using an ETF to invest in biotechs makes a ton of sense.
Think Consumers Can Get Off the Mat?
This ETF gives exposure to investors looking to bet that discretionary spending can make a comeback.
What's Under the Hood of Your Financials ETF?
We take a walk around the "always in the news" financials sector.
Leveraged ETFs See Outflows in July
While total industry flows were up for another consecutive month, 'exchange-traded derivative funds' finally took a breather.