Morningstar: High yield ETFs could act as 'safety valve' in stressed markets

Easier to trade when liquidity dries up

Anna Fedorova
clock • 3 min read

Investors have been wrong to blame high yield bond ETFs for instability and liquidity problems in this part of the market as the vehicles can actually make it easier to trade when liquidity dries up, according to a report by Morningstar.

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