VanEck Fallen Angel High Yield Bond ETF (ANGL)
XMEX 
Summary
ANGL Chart
ANGL: High Yield At 6% Is Not Appealing (Rating Downgrade)
VanEck Fallen Angel High Yield Bond ETF (ANGL) is downgraded to 'Hold' due to historically tight BB spreads after a strong 2025 performance. ANGL's portfolio is 78% BB-rated bonds, emphasizing safer high yield, with sector concentration in consumer cyclical, basic materials, and technology. The ETF's 2025 total return exceeds 8%, but current risk/reward is unattractive as spreads are near historic lows, limiting further upside.
Five Strong High-Yield Corporate Bond ETFs
High-yield corporate bond ETFs provide investors with strong yields, albeit somewhat elevated credit risk. There are lots of high-yield bond ETFs available to investors. Some with higher yields, some with better performance track-records, some focusing on more niche areas of the market. A quick overview of five of these follows. ETFs include simple, cheap vanilla ETFs, smart beta ETFs, and those targeting niche, best-performing bonds.
ANGL May Be A Riskier Investment Than One Might Expect
ANGL invests in high-yield bonds that were formerly investment-grade, offering attractive yields but with elevated risk from recent downgrades. Large portfolio concentrations in Celanese and Nissan heighten risk, as further credit deterioration in these firms could significantly impact ANGL's performance. While ANGL offers a competitive 6.28% yield and low fees, alternative ETFs like FALN have outperformed with similar cost structures.
VanEck Fallen Angel High Yield Bond ETF (ANGL) FAQ
What is the stock price today?
On which exchange is it traded?
What is its stock symbol?
Does it pay dividends? What is the current yield?
What is its market cap?
Has VanEck Fallen Angel High Yield Bond ETF ever had a stock split?
VanEck Fallen Angel High Yield Bond ETF Profile
| XMEX Exchange | US Country |
Overview
This company is designed to provide investors with an opportunity to gain exposure to below investment-grade corporate bonds, which, importantly, were rated as investment grade at the time of their issuance. It aims to replicate the performance of its benchmark index by investing at least 80% of its assets in the bonds that make up the index. These bonds are characterized by their denominations in U.S. dollars, providing a focused investment platform for those looking to invest in the corporate bond market with specific credit rating dynamics. The fund's strategy highlights a targeted approach towards bonds that may offer higher yields compared to investment-grade bonds, reflecting a unique risk-reward ratio for investors.
Products and Services
The fund offers focused investment products and services centered around corporate bonds that have shifted from investment grade to below investment grade:
- Below Investment Grade Corporate Bond Investment: This primary service involves the strategic acquisition of corporate bonds that are currently rated below investment grade but were considered investment grade at the issuance. The approach is tailored to investors seeking potentially higher returns associated with the increased risk of these bonds. By concentrating on bonds denominated in U.S. dollars, the fund offers a streamlined avenue for investment in the currency's stability and the economic landscapes it represents.
- Benchmark Index Tracking: The fund's investment strategy is to closely replicate the performance of its benchmark index, which is composed exclusively of below investment grade corporate bonds issued in U.S. dollars. This methodical replication ensures that investors have a transparent and direct correlation to the market segment the index represents, aiming to match the returns of the index minus fees and expenses. This service is particularly appealing to investors looking for a passive investment strategy that still takes advantage of the fund's specialized focus.
Contact Information
