Workflow
Even as Rates Fall, This Short Duration ETF Still Matters
Etftrends·2025-10-27 20:39

The ETF is home to 727 mostly invest-grade bonds spanning corporates and U.S. agency mortgage-backed securities. It sports a weighted average duration of just 2.08 years. But that doesn't crimp the ETF's income potency, as highlighted by a 30-day SEC yield of 5.01%. That could make the ETF an attractive alternative to cash as interest rates decline. "With central bank rates declining, the yield available on cash is also reducing. Short duration bonds, with potentially higher returns than cash, lower volatil ...