Bonds are complicated, which is why a lot of people – including hedge funds – don’t trade them. It’s a lot easier to buy shares of something that trades on an exchange and not deal with the institutional-sized lots, coupon payments and messy cash flows associated with fixed-income assets.
IT was bound to happen. Following the launch a few weeks ago of some exchange-traded funds (ETFs) focusing on a single stock, one issuer has come up with single-bond ETFs.
These three new funds will hold either the benchmark three-month US Treasury bill, two-year US Treasury note or 10-year US Treasury note.
