BlackRock Plans Floating-Rate ETF Just in Time for Fed Cuts

BlackRock Inc. is stepping further into the floating-rate debt arena, just as the Federal Reserve has resumed lowering borrowing costs.

The proposed iShares Broad USD Floating Rate Loan ETF will hold a portfolio of US leveraged loans, according to a Wednesday filing with the Securities and Exchange Commission. While several actively managed funds tracking such debt already exist — including one helmed by BlackRock — the planned ETF would be only the second index-based product of its kind.