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Xtrackers USD High Yield Corporate Bond ETF (HYLB)



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Upturn Advisory Summary
08/14/2025: HYLB (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Analysis of Past Performance
Type ETF | Historic Profit 13.92% | Avg. Invested days 75 | Today’s Advisory Consider higher Upturn Star rating |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | ETF Returns Performance ![]() |
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Key Highlights
Volume (30-day avg) - | Beta 0.84 | 52 Weeks Range 33.25 - 36.85 | Updated Date 06/29/2025 |
52 Weeks Range 33.25 - 36.85 | Updated Date 06/29/2025 |
Upturn AI SWOT
Xtrackers USD High Yield Corporate Bond ETF
ETF Overview
Overview
The Xtrackers USD High Yield Corporate Bond ETF (HYLB) seeks to track the performance, before fees and expenses, of the iBoxx USD High Yield Corporates Index. It offers exposure to a broad range of USD-denominated high yield corporate bonds, providing diversification within the fixed income market.
Reputation and Reliability
DWS is a well-established asset manager with a global presence and a long track record in managing ETFs and other investment products.
Management Expertise
DWS has a dedicated team of fixed income professionals with expertise in credit analysis and portfolio management, ensuring the ETF is managed effectively.
Investment Objective
Goal
The ETF aims to provide investment results that correspond generally to the performance, before fees and expenses, of the iBoxx USD High Yield Corporates Index.
Investment Approach and Strategy
Strategy: The ETF employs a replication strategy, meaning it invests in a portfolio of high yield corporate bonds that closely mirrors the composition of its benchmark index.
Composition The ETF primarily holds USD-denominated high yield corporate bonds across various sectors and issuers.
Market Position
Market Share: HYLB holds a significant market share in the high yield corporate bond ETF segment, but is not the largest.
Total Net Assets (AUM): 2700000000
Competitors
Key Competitors
- iShares iBoxx $ High Yield Corp Bond ETF (HYG)
- SPDR Bloomberg High Yield Bond ETF (JNK)
Competitive Landscape
The high yield corporate bond ETF market is highly competitive, dominated by a few large players. HYLB offers a similar investment strategy as its competitors but differentiating factors like expense ratio or tracking error can sway investor preference. HYLB's advantage lies in its lower expense ratio compared to some competitors. A disadvantage is smaller AUM and lower liquidity compared to HYG and JNK.
Financial Performance
Historical Performance: Historical performance data can be found on financial websites. The ETF's returns are closely correlated to the high yield bond market.
Benchmark Comparison: The ETF's performance closely tracks the iBoxx USD High Yield Corporates Index, with slight deviations due to fees and expenses.
Expense Ratio: 0.28
Liquidity
Average Trading Volume
The average trading volume of HYLB is moderate, which may affect execution costs for large trades.
Bid-Ask Spread
The bid-ask spread for HYLB is typically competitive, reflecting the ETF's liquidity.
Market Dynamics
Market Environment Factors
Economic growth, interest rate movements, credit spreads, and investor sentiment all impact HYLB's performance.
Growth Trajectory
HYLB's growth is tied to the overall demand for high yield corporate bonds and the ETF's ability to attract and retain assets.
Moat and Competitive Advantages
Competitive Edge
HYLB's competitive advantage comes from its lower expense ratio relative to some of its larger competitors, potentially leading to slightly higher net returns over time. It offers a straightforward and efficient way to access the high yield corporate bond market. Its solid performance record, backed by DWS's investment capabilities, enhances investor confidence. While not a unique strategy, the low cost offers a meaningful edge.
Risk Analysis
Volatility
HYLB experiences volatility due to fluctuations in the high yield bond market and credit spreads.
Market Risk
The ETF is exposed to credit risk, interest rate risk, and liquidity risk inherent in high yield corporate bonds.
Investor Profile
Ideal Investor Profile
The ideal investor is someone seeking income and diversification within their fixed income portfolio, and who is comfortable with the higher risk associated with high yield bonds.
Market Risk
HYLB is suitable for long-term investors seeking income, but should not be the sole holding in a portfolio due to the high yield sector risks.
Summary
Xtrackers USD High Yield Corporate Bond ETF (HYLB) provides access to a diversified portfolio of USD-denominated high yield corporate bonds. Its performance is tied to the high yield market, making it susceptible to credit and interest rate risks. While it offers diversification, it is more suited for investors with higher risk tolerance. The ETF's lower expense ratio is a positive for long term returns making it a potentially attractive option within its category.
Peer Comparison
Sources and Disclaimers
Data Sources:
- DWS, iShares, State Street Global Advisors, Bloomberg, ETF.com
Disclaimers:
The data provided is for informational purposes only and should not be considered investment advice. Market data can change rapidly.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Xtrackers USD High Yield Corporate Bond ETF
Exchange NYSE ARCA | Headquaters - | ||
IPO Launch date - | CEO - | ||
Sector - | Industry - | Full time employees - | Website |
Full time employees - | Website |
The fund will normally invest at least 80% of its net assets, plus the amount of any borrowings for investment purposes, in high yield corporate bonds. The index comprised of U.S. dollar-denominated high yield corporate bonds. It will concentrate its investments (i.e., hold 25% or more of its total assets) in a particular industry or group of industries to the extent that its underlying index is concentrated.

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