U.S. Treasury bonds are getting exciting. No, really they are. Let me explain. One of the things I enjoy most about being part of the Barchart team is that it expands my reach as an investor. Barchart created a leadership reputation for commodities data, and expanded from there. And if there’s anything I hope investors will take away from my advice these days, it is to widen the angle of what they consider investing. And for me, bonds are at the top of the list. Here’s why. More News from Barchart Belo ...

Core Viewpoint - GPM Growth Investors, Inc. has acquired a significant position in the Invesco BulletShares 2030 Corporate Bond ETF, indicating a strategic move towards investment-grade bonds with a defined maturity and predictable income streams [1][2][6]. Fund Overview - The Invesco BulletShares 2030 Corporate Bond ETF targets investment-grade corporate bonds maturing in 2030, appealing to investors seeking defined maturity and predictable income [6][8]. - The fund has an asset under management (AUM) of $2.27 billion and offers a yield of 4.58% [4]. - As of January 29, the ETF's share price was $16.90, reflecting a 3% increase over the past year [3][4]. Recent Transaction - GPM Growth Investors added 440,939 shares of the ETF, valued at approximately $7.46 million, which represents 2.91% of the fund's 13F reportable assets under management as of December 31 [2][3]. - The transaction reflects a deliberate strategy to lock in income while maintaining flexibility in a fluctuating interest rate environment [7][9]. Investment Strategy - The ETF employs a rules-based index and sampling methodology to balance diversification and tracking efficiency, aiming to hold at least 80% of assets in securities from the target index [8]. - The fund is structured as a non-diversified ETF, providing exposure to a defined-maturity bond portfolio [8]. Market Positioning - Defined-maturity bond ETFs like this one are increasingly viewed as essential components of fixed income allocations, offering higher yields than short-term cash alternatives while limiting duration risk [9][11]. - The fund's approach allows for predictable cash flow over time, converting price volatility into stable income, which is appealing for long-term investors [10][11].

Core Insights - State Street is expanding its MyIncome bond ladder fund suite by adding high-yield bond ETFs, which will be actively managed [1][2] - The new ETFs will complement the existing MyIncome series, which includes corporate and municipal bond ETFs with maturities from 2026 to 2035 [2][3] - The high-yield bond market is currently facing challenges, with spreads indicating that high-yield bonds may not be an ideal investment at this time [4] Product Development - State Street is preparing to launch five target-maturity high-yield ETFs, a product category currently dominated by iShares and Invesco [2] - The MyIncome series, launched last year, has a total asset representation of approximately $217 million [4] - Invesco and iShares also have high-yield ETF series with maturities ranging from 2025 to 2033 and 2025 to 2032, respectively, with assets of $3.5 billion and $2.5 billion [5] Market Context - The interest in high-yield bonds is increasing among asset managers, as evidenced by Vanguard's recent launch of its first actively managed high-yield ETF [4] - Despite the appeal of high-yield ETFs, current market conditions suggest that the risk-reward balance may not be favorable, as BBB bonds are priced similarly to AAAs [4] - Target-maturity ETFs provide a way for advisors to create bond ladders without the complexities of managing individual securities, offering flexibility in cash flow management [4]