Rate Hike Fear Pushes High-Yield Bond ETF Over a Cliff

Outflows from HYG almost hit $1 billion on Thursday.

Janet Yellen, chair of the Federal Reserve.

Photographer: Andrew Harrer/Bloomberg
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Right before Halloween, investors got scared by interest rate risk.

Outflows from the iShares iBoxx High Yield Corporate Bond exchange-traded fund (HYG), the top ranked ETF by assets in the junk bond market, set a new record on Thursday—almost eclipsing the $1 billion mark.