(IG) Principal Exchange-Traded - Ratings and Ratios

The Principal Investment Grade Corporate Active ETF (NYSE ARCA: IG) is an actively managed exchange-traded fund designed to provide exposure to investment-grade corporate bonds and other fixed-income securities. Under normal market conditions, the fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in corporate bonds and related securities that meet investment-grade criteria at the time of purchase. Investment-grade securities are defined as those rated BBB- or higher by S&P Global Ratings or Baa3 or higher by Moodys Investors Service. This focus on higher-rated debt instruments aims to provide a relatively stable source of income with reduced credit risk compared to lower-rated or high-yield debt securities. The funds active management approach allows for selective security picking and dynamic portfolio adjustments in response to market conditions, interest rate changes, and credit trends.

The ETF is listed on the NYSE ARCA under the ticker symbol IG and is categorized as a corporate bond ETF. With an average daily trading volume of 17,439 shares over the past 20 days, IG offers moderate liquidity. As of the latest data, the funds last price is $20.82, with key moving averages indicating a stable price trend: the 20-day SMA is $20.53, the 50-day SMA is $20.33, and the 200-day SMA is $20.28. The Average True Range (ATR) of 0.10 reflects low price volatility, suggesting a relatively smooth trading experience. The funds assets under management (AUM) total $96.43 million, indicating a moderate-sized ETF with a dedicated investor base.

Over the next three months, the Principal Investment Grade Corporate Active ETF is expected to maintain its stable performance, supported by its focus on high-quality corporate bonds. Based on the current technical data, the ETFs price is likely to remain range-bound, with potential upside driven by falling interest rates or improving credit conditions. The funds low ATR and tightly clustered moving averages suggest minimal volatility, making it a conservative choice for income-focused investors. From a fundamental perspective, the ETFs moderate AUM and active management approach position it well to navigate credit market dynamics, though upside may be limited by the current interest rate environment.