Bond ETFs attract new investors with narrower offerings

5 min read . Updated: 09 Jul 2022, 08:56 AM IST ARI L. WEINBERG, The Wall Street Journal

The specialization allows investors to find lucrative sectors despite rising rates. But there are risks.

This wouldn’t seem to be the best of times for exchange-traded funds that focus on fixed income. A resurgence of inflation not seen in 40 years has put upward pressure on interest rates, which, in turn, has sent prices of bonds and bond funds tumbling.