Investment-Grade Bond Fund Hit by Biggest Outflow in Its 15-Year History

Citi's Levkovich Says 3.25% 10-Year Yield Would Be 'Challenging'

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As stocks boogied to the risk-on beat Wednesday, investors in the world’s third-largest fixed-income exchange-traded fund left the party at a frenetic pace.

The iShares iBoxx $ Investment Grade Corporate Bond exchange-traded fund (LQD) was hit by a record $921 million outflow, the largest daily redemption since its 2002 inception, and the most among U.S.-listed passive vehicles across asset classes.