In times of uncertainty in the bond market, there's one thing for certain. And that's that deciding where to get exposure can be complex.
Vanguard Short-Term Corporate Bond Index Fund ETF offers a stable investment with a 4.73% yield, balancing risk through investment-grade corporate debt with an average duration of 2.6 years. Despite low growth in AUM, VCSH's low expense ratio and strong corporate creditworthiness make it a compelling alternative to treasury bonds. Corporate profits and cash reserves are strong, suggesting that investment-grade corporate debt remains relatively risk-free, unless faced with prolonged economic contraction.
Yield may be the prime motivator for adding exposure to bonds. But fixed income investors should also look to mitigate default and rate risk.
![]() VCSH In 1 weeks Estimated | Monthly | $0.29 Per Share |
![]() VCSH 3 weeks ago Paid | Monthly | $0.29 Per Share |
![]() VCSH 1 month ago Paid | Monthly | $0.3 Per Share |
![]() VCSH 2 months ago Paid | Monthly | $0.28 Per Share |
![]() VCSH 3 months ago Paid | Monthly | $0.29 Per Share |
![]() VCSH 4 months ago Paid | Monthly | $0.26 Per Share |
![]() VCSH In 1 weeks Estimated | Monthly | $0.29 Per Share |
![]() VCSH 3 weeks ago Paid | Monthly | $0.29 Per Share |
![]() VCSH 1 month ago Paid | Monthly | $0.3 Per Share |
![]() VCSH 2 months ago Paid | Monthly | $0.28 Per Share |
![]() VCSH 3 months ago Paid | Monthly | $0.29 Per Share |
![]() VCSH 4 months ago Paid | Monthly | $0.26 Per Share |
NASDAQ (NMS) Exchange | US Country |
The fund operates with a focused investment strategy that prioritizes adherence to the Bloomberg U.S. 1-5 Year Corporate Bond Index. This strategy targets the inclusion of U.S. dollar-denominated, investment-grade, fixed-rate, taxable securities. These are issued by a diverse array of entities spanning U.S. and non-U.S. industrial, utility, and financial sectors. The chosen securities possess maturity periods ranging from 1 to 5 years, aligning with the fund’s intermediate-term investment horizon. A stringent policy mandates that at least 80% of the fund's assets are to be allocated towards bonds present within the index, ensuring consistency and alignment with the fund’s investment objectives.
The fund offers a focused investment portfolio with a clear emphasis on corporate bonds that align with the investment-grade criteria. Below are the key components of the fund's offerings: