ETF Securities has just announced the inclusion of two new ETFs into its fixed income lineup. The ETFs are, the ETFS US Treasury Bond (Currency Hedged) ETF (USTB) and the ETFS USD High Yield Bond (Currency Hedged) ETF (USHY). USTB is looking to be the first pure play ETF in Australia to offer investors exposure to US Treasuries while tracking the iBoxx $ Treasuries Total Return Index which follows the bonds issued by the U.S. government. USHY will track the Solactive USD High Yield Corporates Total Market Index and gains most of its exposure from the DWS Group’s Xtrackers USD High Yield Corporate Bond ETF.
Both ETFs look to give Australian investors a way to enter the U.S. bond market while offering different strategies.