High-Yield ETFs Lure Investors Bypassing Dealers

High-Yield ETFs Lure Investors Bypassing Dealers

Scott Eells/Bloomberg

Bank of America and Morgan Stanley are among the five biggest shareholders of both BlackRock and State Street’s ETFs, accounting for $1.7 billion of the securities in both funds, Bloomberg data show. The banks are two of the 21 primary dealers that trade directly with the Fed.