Seasoned emerging markets investors (and sadists for that matter) might get a kick out of wondering what a dedicated, equity-based Venezuela exchange traded might look like as the South American nation is ravaged by hyperinflation and a tumbling bolivar.
Fixed income investors do not have to wonder how Venezuela's jaw-dropping sovereign debt yields affect bond ETFs because some bond funds trading in the United States have exposure to the country's sagging debt. On Wednesday, Venezuelan one-year notes closed with a yield of over 66.5 percent, according to Investing.com data.
The $223.7 million iShares Emerging Markets High Yield Bond ETF (BATS: EMHY) has a 5.8 percent weight to Venezuelan bonds, making the country the ETF's fifth-largest geographic weight. EMHY allocates a combined 68.5 percent of its weight to bonds with maturities ranging from five to ...
/www.benzinga.com/trading-ideas/long-ideas/15/08/5795358/heres-what-bonds-yielding-over-37-do-to-an-etf alt=Here's What Bonds Yielding Over 37% Do To An ETF>Full story available on Benzinga.com
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