ETFs tracking fixed income asset classes - Treasuries, investment-grade or high yield subpar indices - are actively managed to generate addtional income from derivative strategies to improve yield of the underlying bonds
Managed Futures are part of the broadly defined Purpose-Built Fixed Income ETFs
Classification by category - Treasuries, Aggregate and Corporate - and by sub-category indicative of the income-enhancing strategy - will assist investment choices
- Positioning on the yield curve impacts the fund's performance decisively, whatever overlay strategy may be selected, favoring the short end of the curve today
- Performances of Managed Futures, the largest grouping of the selection, are strikingly diverse, with decisive advantage for the 'purest' long-short strategies across the broad asset classes of equities, fixed income, currencies and commodities
- In anticipation of market reversals, some funds have been impacted negatively - their caution is worth revisiting as market conditions evolve
Going forward, expected monetary policy shifts will skew fund performance, reflecting the position of the underlying bonds on the yield curve
The record of actively managed futures and options stategies will continue to set some ETFs apart and their enduring success will need to be tracked over short time periods
For deeper insights, rank the fund selection by performance or by volatility for the selected time period
Over time, fund price momentum signals trends of the last 5 days against a 20-day average
For comparison, select various time frames in the top right menu box, from 2 weeks to a full year (performance of some very recently listed ETFs may not be significant for lack of price data)
Has been set aside as a special case of intermediate maturity classification, with much higher performance and volatility than average :
X-Square Municipal Income Tax-Free ETF ZTAX/NYSEARCA is a very small and unusual Muni ETF, invested in municipal securities issued by Puerto Rico, Guam, and the US Virgin Islands, exempt from federal, state, and local taxes (under the triple-tax exemption rule)