A new bond index ETF from State Street Global Advisors is tradable on Xetra and Börse Frankfurt, giving access to the global convertible bond market.
The reference index comprises investment grade and non-investment grade convertible bonds as well as instruments without a rating. The convertible bonds can be fixed or floating rate. The index components must meet certain minimum size requirements in their national currency for inclusion in the reference index. The ETF uses a hedging strategy to minimise the exchange rate risk between the base currency of the index components and the euro.
Ongoing fees are 0.55 per cent.
