1-Star ETFs Poised to Plunge: iShares S&P/Citigroup 1-3 Year International Treasury Bond?
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, the iShares S&P/Citigroup 1-3 Year International Treasury Bond Fund (NAS: ISHG) has received the dreaded one-star ranking.
With that in mind, let's take a closer look at ISHG, and see what CAPS investors are saying about the ETF right now.
ISHG facts
Inception | January 2009 |
|---|---|
Total Net Assets | $186.6 million |
Investment Approach | Seeks investment results that correspond to the S&P/Citigroup International Treasury Bond Index Ex-US 1-3 Year. The index is designed to measure the performance of treasury bonds issued in local currencies by developed market countries outside the U.S. that have a remaining maturity of greater than one year and less than or equal to three years. |
Expense Ratio | 0.35% |
Dividend Yield | 3.5% |
Year-to-Date / 1-Year / 3-Year Returns | 3.1% / (1.5%) / (0.7%) |
Alternatives | SPDR Barclays Capital International Treasury Bond (NYS: BWX) SPDR DB International Government Inflation-Protected Bond (NYS: WIP) |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 55% of the 31 members who have rated ISHG believe the ETF will underperform the S&P 500 going forward.
This past summer, one of those Fools, All-Star TerryHogan, succinctly summed up the ISHG bear case for our community:
With yields as low as they are, we won't be looking at much capital appreciation, if any. So basically, you're looking for a 1 to 3% yield to beat the S&P? Not going to happen in the long term, the dividend yield on the S&P will beat this thing by itself.
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The article 1-Star ETFs Poised to Plunge: iShares S&P/Citigroup 1-3 Year International Treasury Bond? originally appeared on Fool.com.
Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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