High-Yield Bond ETFs Advance After Fed Raises Interest Rates
Yellen: Third Avenue Fund Was 'Unusual'
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The two biggest junk-bond ETFs gained after the Federal Reserve announced its first interest-rate increase in almost a decade.
The risk premium on the Markit CDX North American High Yield Index, a credit-default swaps benchmark tied to the debt of 100 speculative-grade companies, dropped for a third day as policy makers set the new target range for the federal funds rate at 0.25 percent to 0.5 percent, up from zero to 0.25 percent.