IHY

📎 Investment Objective

The VanEck International High Yield Bond ETF (IHY) seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the ICE BofA Global High Yield Constrained Index. The fund aims to offer exposure to high-yield corporate bonds issued by non-U.S. companies.

✨ Key Features

• Provides exposure to the global high-yield corporate bond market, excluding U.S. issuers
• Seeks to track the performance of the ICE BofA Global High Yield Constrained Index
• Invests in a diversified portfolio of high-yield, below investment-grade bonds issued by non-U.S. companies
• Potentially offers higher yields compared to investment-grade international bond funds

⚠️ Primary Risks

• Credit risk: The fund is exposed to the risk of default or downgrade of the underlying high-yield bonds
• Interest rate risk: The value of the fund's holdings may decline as interest rates rise
• Currency risk: The fund's returns may be affected by fluctuations in the exchange rates between the U.S. dollar and the currencies of the countries where the underlying bonds are issued
• Liquidity risk: The high-yield bond market may experience periods of reduced liquidity, which could affect the fund's ability to sell its holdings

👤 Best For

The VanEck International High Yield Bond ETF (IHY) may be suitable for investors seeking exposure to the global high-yield corporate bond market, excluding U.S. issuers, as part of a diversified fixed-income portfolio. Investors should have a higher risk tolerance and a longer-term investment horizon to withstand the potential volatility associated with high-yield bonds.