UNIINSTITUTIONAL PREMIUM CORPORATE BONDS FK FONDS aktueller Kurs | A1C81E | DE000A1C81E6 (2024)

FAQs

What is the largest investment grade bond fund? ›

The largest Investment Grade Bonds ETF is the iShares Core U.S. Aggregate Bond ETF AGG with $105.27B in assets. In the last trailing year, the best-performing Investment Grade Bonds ETF was TMV at 57.15%.

You can buy corporate bonds on the primary market through a brokerage firm, bank, bond trader, or a broker. Some corporate bonds are traded on the over-the-counter market and offer good liquidity.

The face (or par) value of a corporate bond is typically $1,000. That's usually the minimum to buy a bond, though you can buy a diversified bond portfolio for much less using bond ETFs. If the corporation is unable to make its interest payments on a bond, the company is in default.

Disadvantages of Corporate Bonds

If the issuer goes out of business, the investor may never get the promised interest payments or even get their principal back. Corporate bonds are generally considered riskier than government bonds because governments have the option of raising taxes to meet their obligations.

Treasuries are generally considered"risk-free" since the federal government guarantees them and has never (yet) defaulted. These government bonds are often best for investors seeking a safe haven for their money, particularly during volatile market periods. They offer high liquidity due to an active secondary market.

Either way, bond ratings are scaled differently depending on the rating agency, and it's important to know the similarities and differences across rating firms. For Standard & Poor's, AAA is the best rating, followed by AA, A, BBB, BB, B, CCC, CC, and C.

Obligations rated Aaa are judged to be of the highest quality, with minimal risk.

Fitch's credit rating scale for issuers and issues is expressed using the categories 'AAA' to 'BBB' (investment grade) and 'BB' to 'D' (speculative grade) with an additional +/- for AA through CCC levels indicating relative differences of probability of default or recovery for issues.

What is the largest bond mutual fund in the US? ›

The largest active bond fund, the $131.6 billion Pimco Income PIMIX, gained 5.9% in the fourth quarter and 9.3% over the year—its best performance since 2012 and well above the 8.1% return on the average multisector bond fund.