Amazon (AMZN) is looking to enter what has become a billion-dollar student loan industry in the United States.
Of the major commodity mutual funds, some have severely underperformed, with returns ranging from -30% to -50%.
The BofA Merrill Lynch U.S. High Yield Master II Index increased by 0.34% over the week ending June 20, and is up by 5.64% so far this year (up to June 20).
On February 28, 2014, the short interest on high-yield bond ETFs HYG and JNK had increased to ~21% and 10%, respectively, of the total shares outstanding.
Investors could consider hedging their short-term duration risk (HYG: 3.98 years, JNK: 4.20 years) with a short position in longer-dated bonds.
This article considers the trade-offs between high-credit-quality and lower-credit-quality, as well as shorter-duration and longer-duration, fixed income ETFs.