HYLV ISSUER
The issuer of the ETF known as the HYLV is committed to a passive management investment strategy, focusing on tracking the performance of the S&P U.S. High Yield Low Volatility Corporate Bond Index, which has been developed by S&P Opco LLC, a subsidiary of S&P Dow Jones Indices LLC. This index comprises U.S. dollar-denominated high yield corporate bonds meticulously selected through a rules-based methodology, aiming to identify bonds that collectively exhibit lower volatility relative to the broader high yield corporate bond market. The index encompasses bonds from issuers domiciled in the U.S. and developed markets worldwide, meeting stringent criteria including fixed-rate coupons, a minimum outstanding face value of $400 million, a minimum remaining maturity of one month, and below investment-grade ratings by Moody's Investors Service, Standard & Poor's, and/or Fitch Ratings.
HYLV DIVIDEND
The High Yield Low Volatility ETF (HYLV) offers investors a unique blend of dividend potential and reduced market volatility. HYLV's dividend distribution is influenced by the performance and dividend policies of its constituent stocks, which are carefully selected for their high yield and low volatility characteristics. Investors can expect dividend distributions to occur on a regular basis, providing a source of income while benefiting from a more stable investment environment. HYLV is an attractive option for those seeking both income and risk mitigation within their portfolio.
HYLV TRACKING
The ETF, known as HYLV, closely tracks the S&P U.S. High Yield Low Volatility Corporate Bond Index, which was developed by S&P Opco LLC, a subsidiary of S&P Dow Jones Indices LLC. This index comprises U.S. dollar-denominated high yield corporate bonds, selected based on a rules-based methodology aimed at identifying securities with lower volatility relative to the broader high yield corporate bond market. HYLV provides investors with exposure to these bonds, seeking to mirror the performance of the underlying index by investing in a representative sample of bonds with similar characteristics and liquidity measures. Additionally, the fund may employ credit default swaps and futures contracts to further align its returns with the benchmark, and it may also invest in affiliated ETFs that complement its tracking efforts.
HYLV CORRELATION
The correlation aspect of the iShares U.S. High Yield Corporate Bond ETF (HYLV) is essential in understanding its performance in relation to the U.S. high-yield corporate bond market. Given HYLV's investment approach, which tracks the S&P U.S. High Yield Low Volatility Corporate Bond Index, its correlation with this index is expected to be strong. This correlation is known for offering investors a reliable tool for accessing high-yield bonds with lower volatility, making it attractive for those seeking income while managing risk. To delve deeper into HYLV's correlations with other assets and sectors, investors can leverage the ETF Insider web app, which provides comprehensive and visually intuitive data, allowing for a better understanding of overlap and diversification opportunities within the U.S. high-yield bond market.
HYLV SECTOR
The Amplify ETF Trust - Amplify YieldShares High Income ETF (HYLV) primarily focuses on the U.S. dollar-denominated high yield corporate bond market, specifically bonds that exhibit lower volatility characteristics. This sector includes bonds issued by both U.S. and foreign companies classified as developed markets. To be eligible for inclusion in HYLV, bonds must meet specific criteria, such as paying fixed-rate coupons, having a minimum outstanding face value of $400 million, and maintaining an average rating below investment grade. The fund employs a representative sampling strategy to track the performance of its benchmark index and typically consists of bonds with lower credit risk, providing investors with exposure to the high-yield bond market with reduced volatility. As of June 30, 2022, the primary sectors within HYLV's underlying index are communication services and financials.
HYLV EXPOSURE
The Alternative Sources HYLV ETF (HYLV) offers investors exposure to a unique strategy that focuses on Flexible Exchange® Options (FLEX Options) referencing the SPDR® S&P 500® ETF Trust (the Underlying ETF). FLEX Options are customizable option contracts, subject to counterparty risk, designed to provide distinct investment outcomes. This ETF's exposure is primarily tied to the performance of the S&P 500® Index, offering exposure to large-cap companies, particularly in the information technology sector. To gain deeper insights into HYLV's exposure and understand its potential correlations and overlaps, investors can utilize ETF Insider's web app, which provides comprehensive data visualization and analysis for all US ETFs.
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