FlexShares High Yield Value Scored Bond Index ETF is Performing Well Ahead of 2022

The United States stock market performed well this year despite the ongoing challenges posed by the Coronavirus pandemic.

HYGV has Performed Well this Year

FlexShares High Yield ValueScored Bond ETF (HYGV) is a smart beta exchange-traded fund that has been around since 2018. The fund offers investors broad exposure to the High-Yield/Junk Bond ETFs category of the US equity market.

The ETF is managed by FlexShares and currently has more than $600 million in assets under management, making it one of the average-sized funds in the High-Yield/Junk Bond ETFs sector. Before fees and expenses, the fund is designed to track the performance of the NORTHERN TRUST HY VLU-SCRD US CORP BD ID.

The Northern Trust High Yield Value-Scored US Corporate Bond Index, on the other hand, measures the performance of a diversified universe of high yield, market valuations, US-dollar denominated bonds of companies exhibiting favorable fundamental qualities and liquidity.

Since the start of the year, HYGV has added more than 5% to its value. In the last 52 weeks, the ETF has traded between $48.50 and $50.17. At press time, the fund is trading at $48.85, up by 0.40% since the US market opened a few hours ago.

HYGV Could End 2021 Trading Around $50

HYGV has performed moderately since the start of the year. However, it could rally higher over the coming days and end the year, trading around the $50 region. The ETF’s technical indicators show that it is performing excellently at the moment.

The MACD line is well into the positive region, while the RSI of 61 shows that it is heading into the oversold zone. At press time, HYGV is trading above its 50-day moving average of $47.55.

The fund has most of its holdings in companies such as Altice France Sa (France), Staples Inc. and Csc Holdings Llc. The fund’s annual operating expenses stand at 0.37%, which is on par with most ETFs in the high-yield bond sector. HYGV’s 12-month trailing dividend yield currently stands at 5.60%. The 0.46 beta and standard deviation of 11.19% for the past three years shows that HYGV is a medium-risk ETF.