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Peritus High Yield ETF HYLD

edited October 2012 in Fund Discussions
I like some of the points made in recent position papers by the folks at Peritus HYLD:

- High yield market has posted similar or higher returns with less volatility than equities

- High yield is not appropriate asset class for indexing (eg, JNK)

- With the lack of economic growth, valuation expansion, and dividend generation in equities, the yield trade is in full swing

Other things I like about HYLD:

- An actively traded ETF that seems to hold unique niche in high yield trading space

- Monthly dividend, currently yielding 8.27%

- Tim Gramatovich seems to have long history investing in high yield credit

- They publish position papers, documenting approach and frank opinions about market drivers and trends, as well as a blog

Some things I don't like:

- 1.36% EP

- The portfolio managers did not beneficially own any shares of the Fund as of SAI filing on Oct 2011

- Note sure what to make of Advisorshares. Has some awful ETFs, like HDGE and AGLS. Couple others too early to tell. (I'm predisposed to not like these umbrella fund houses, like Affiliated Managers Group or DundeeWeath Funds, but that seems to be the direction these days.)

Peritus High Yield ETF HYLD is part of AdvisorShare stable of ETFs. It currently has $143M assets under management.

Here's how it compares with some other fixed income funds I track, since it opened in on 11/30/2010:

image
And here's a comparison of their yields:

image

Comments

  • Howdy Charles,

    Supposedly, or at least used to........that StockCharts were total return. I don't know whether this still holds or not; however, this link is another view.
    Just below the line chart, move the left slider associated with the 200 day period all the way to the left (about 485 days) and then click upon the icon with the small bar chart graphic shown in teal and red color. This will convert the line chart to a bar chart for an easier reference.

    A few high yield funds compare

    Regards,
    Catch
  • edited February 2013
    Catch highlights three other high yield funds worthy of consideration: SPHIX, DIHYX, DHOIX. Each has outperformed HYLD on a total return basis:

    image
    Their yields, however, have been lower than HYLD, but impressive nonetheless: 6.22, 6.99, and 7.56%, respectively.
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