Key stats
About WisdomTree Interest Rate Hedged High Yield Bond Fund
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Inception date
Dec 18, 2013
Structure
Open-Ended Fund
Replication method
Physical
Dividend treatment
Distributes
Distribution tax treatment
Ordinary income
Income tax type
Capital Gains
Max ST capital gains rate
39.60%
Max LT capital gains rate
20.00%
Primary advisor
WisdomTree Asset Management, Inc.
Distributor
Foreside Fund Services LLC
ISIN
US97717W4309
HYZD is one of several interest-rate-hedged bond funds indexed and offered by WisdomTree. The fund screens corporate bonds for favorable cash flow, income and valuation. Issues with a higher probability of default relative to other bonds in its sector are also removed. HYZD offers very similar high-yield exposure as PIMCOs HYS, but with an interest-rate-hedge overlay. The fund shorts Treasury futures to achieve a net-zero portfolio duration. The portfolio theoretically captures only the credit spread without duration risk. However, a nonparallel shift in yield curve may undermine precise hedging. HYZD might appeal to investors who want pure credit exposure but are uncertain about interest-rate paths. Prior to May 29, 2020, the fund sought to track the ICE BofA Merrill Lynch 0-5 Year US High Yield Constrained, Zero Duration Index.
Related funds
Classification
What's in the fund
Exposure type
Corporate
Stock breakdown by region
Top 10 holdings
Frequently Asked Questions
An exchange-traded fund (ETF) is a collection of assets (stocks, bonds, commodities, etc.) that track an underlying index and can be bought on an exchange like individual stocks.
HYZD assets under management is 186.07 M USD. AUM is an important metric as it reflects the fund's size and can serve as a gauge of how successful the fund is in attracting investors, which, in its turn, can influence decision-making.
Since ETFs work like an individual stock, they can be bought and sold on exchanges (e.g. NASDAQ, NYSE, EURONEXT). As it happens with stocks, you need to select a brokerage to access trading. Explore our list of available brokers to find the one to help execute your strategies. Don't forget to do your research before getting to trading. Explore ETFs metrics in our ETF screener to find a reliable opportunity.
HYZD invests in bonds. See more details in our Analysis section.
HYZD expense ratio is 0.43%. It's an important metric for helping traders understand the fund's operating costs relative to assets and how expensive it would be to hold the fund.
No, HYZD isn't leveraged, meaning it doesn't use borrowings or financial derivatives to magnify the performance of the underlying assets or index it follows.
Yes, HYZD pays dividends to its holders with the dividend yield of 6.21%.
HYZD shares are issued by WisdomTree, Inc.
HYZD follows the WisdomTree U.S. High Yield Corporate Bond, Zero Duration Index. ETFs usually track some benchmark seeking to replicate its performance and guide asset selection and objectives.
The fund started trading on Dec 18, 2013.
The fund's management style is passive, meaning it's aiming to replicate the performance of the underlying index by holding assets in the same proportions as the index. The goal is to match the index's returns.