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What is Vanguard corporate bond ETF?

The underlying funds are Vanguard Short-Term Corporate Bond ETF, Vanguard Intermediate-Term Corporate Bond ETF, and Vanguard Long-Term Corporate Bond ETF. The fund’s indirect bond holdings are a diversified mix of short-, intermediate-, and long-term investment-grade corporate bonds.

Which ETF holds the most highly rated corporate bonds?

This ETF only holds the most highly rated corporate bonds out there. Its index, the Bloomberg U.S. Corporate Aaa - A Capped Index only holds bonds rated Aaa to A. Currently, QLTA has an average duration of 7.2 years and a yield to maturity of 5.1%. The ETF charges a 0.15% expense ratio.

What is a long-term bond ETF?

Those funds with long durations, such as Vanguard Long-Term Bond ETF and Vanguard Long-Term Corporate Bond ETF, are very sensitive to interest-rate changes and very volatile by bond-fund standards. They can be used as a way to benefit from falling interest rates or as a tool for matching long-term liabilities.

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