VUSB: Higher Yield With Lower Duration

We're going to talk about the Vanguard Ultra-Short Bond ETF (BATS:VUSB). As you might guess from the name, it focuses on bonds with very short duration. This can be a useful tool for someone hunting for a boost to their income without taking on too much duration. The ironic part is that “Ultra-Short” sounds to me like it would be averaging around three months of duration. However, the fund actually averages around 0.9 years using “average duration”: Vanguard That’s why the ETF share price took a hit from la ...