(BHYB) Xtrackers USD High Yield - Ratings and Ratios

The Xtrackers USD High Yield BB-B ex Financials ETF (BATS:BHYB) is a passively managed ETF that tracks the performance of a subset of the ICE BofA U.S. High Yield Index, focusing on U.S. dollar-denominated below-investment-grade corporate debt issued in the U.S. domestic market, excluding financials. This ETF is categorized under High Yield Bond and is non-diversified.

To evaluate the ETFs performance, key metrics can be considered. The yield, a crucial KPI for high-yield bond ETFs, indicates the return an investor can expect. Although the current yield is not provided, its essential to analyze it in relation to the underlying index and peers. Another vital metric is the ETFs expense ratio, which affects its net performance. The AUM of $820.31M USD suggests a reasonable level of liquidity.

From a risk perspective, the ETFs exposure to below-investment-grade corporate debt implies a higher credit risk. The exclusion of financials from the underlying index may mitigate some sector-specific risks. To gauge the ETFs volatility, metrics such as standard deviation and beta relative to a benchmark can be analyzed. A comparison with its peers and the broader high-yield bond market can provide insights into its relative performance and risk profile.

Investors should also consider the ETFs tracking error, which measures the deviation of the ETFs performance from its underlying index. A lower tracking error indicates a more effective replication of the index. Furthermore, analyzing the ETFs holdings in terms of credit quality, industry distribution, and maturity profile can offer a deeper understanding of its risk-return characteristics.