BondBloxx Debuts High Yield ETFs Targeting Specific Credit Rating

The three funds range from B to CCC credit ratings.

Reviewed by: Dan Mika
Edited by: Dan Mika

Relative ETF newcomer BondBloxx Investment Management Corp. is rounding out its set of fixed income ETFs with three funds holding corporate debt based on credit ratings rather than by sector. 

The BondBloxx BB Rated USD High Yield Corporate Bond ETF (XBB), the BondBloxx B Rated USD High Yield Corporate Bond ETF (XB) and the BondBloxx CCC Rated USD High Yield Corporate Bond ETF (XCCC) all debuted on the NYSE Arca on Thursday, with respective expense ratios of 0.20%, 0.30% and 0.40%. 

All three funds hold bonds listed in an ICE high yield index within their specific credit rating based on an average of a company’s rating among the three major credit measuring agencies. 

The only other ETF that specifically targets junk bonds with a specific credit rating is the $164.6 million iShares BB Rated Corporate Bond ETF (HYBB), which comes with an expense ratio of 0.25%, and also follows an ICE high yield index. 

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Dan Mika is a reporter for He has previously covered business for the Ames Tribune and Cedar Rapids Gazette in Iowa, and BizWest Media in Fort Collins, Colorado. Dan holds a bachelor's degree in journalism from Truman State University.