BondBloxx Investment Management announced the launch of three new ETFs, which begin trading today on NYSE Arca. The ETFs track ratings-specific sub-indexes of the ICE BofA US Cash Pay High Yield Constrained Index.
The new products listing today are:
- The BondBloxx BB Rated USD High Yield Corporate Bond ETF (NYSE Arca: XBB), which seeks to invest in bonds rated BB1 through BB3.
- The BondBloxx B Rated USD High Yield Corporate Bond ETF (NYSE Arca: XB), which seeks to invest in bonds rated B1 through B3.
- The BondBloxx CCC Rated USD High Yield Corporate Bond ETF (NYSE Arca: XCCC), which seeks to invest in bonds rated CCC1 through CCC3.
The new BondBloxx products add to seven sector-specific high yield ETFs that launched earlier this year.
“We founded BondBloxx to provide modern tools for modern markets,” said BondBloxx co-founder Tony Kelly in a news release. “And our targeted products make it possible for investors to finally execute sophisticated investment views through ETFs – which are a time-honored tool to access liquidity and efficient exposure especially in today’s volatile markets.”
BondBloxx co-founder and portfolio manager Elya Schwartzman added: “As rising rates and volatility continue to impact the corporate bond market, the need for new tools to manage fixed income exposure is becoming even more critical.”
Launched in October of 2021 to provide precision ETF exposures for fixed income investors, BondBloxx was co-founded by Kelly and Schwartzman along with ETF industry leaders Leland Clemons, Joanna Gallegos, Mark Miller, and Brian O’Donnell. The team has collectively built and launched over 350 ETFs at firms including BlackRock, JPMorgan, State Street, Northern Trust, and HSBC.
“Our conversations with investors have reinforced what we already knew – there is significant demand for more targeted fixed income products,” said Kelly. “Our initial product suites aim to create a full toolkit for high yield investors looking to implement their specific views on the market, and we anticipate extending this approach to other fixed income asset classes.”