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Market Vectors Index Solutions GmbH (MVIS – www.marketvectorsindices.com) today introduced the Market Vectors US Treasury-Hedged High Yield Bond Index (MVTHHY) expanding MVIS’s current bond index exposure consisting of Market Vectors Renminbi Bond Index and Market Vectors US Investment Grade Floating Rate Index.
“After years and years of declining US interest rates, many investors have begun to contemplate what to do when the tide turns and interest rates rise”, said Lars Hamich, CEO at MVIS. “We therefore believe that the Market Vectors US Treasury-Hedged High Yield Bond Index benchmarks a segment of particular interest to investors. The combination of long and short components results in an index that tracks the marriage of these two investment goals: participation in high yield and interest rate protection.”
Market Vectors US Treasury-Hedged High Yield Bond Index tracks the performance of long positions in below-investment grade corporate bonds denominated in US Dollars and an equivalent US Dollar amount of short positions in US Treasury notes. Bonds in the long position must have below-investment grade ratings. Included in the index are only securities that have a minimum of 12 months remaining to maturity, a fixed coupon schedule and a minimum amount outstanding of
500 million US Dollars. The index includes bonds where the issuer of the bonds is incorporated in the United States. Market Vectors US Treasury-Hedged High Yield Bond Index is calculated as Total Return Index and is rebalanced monthly.
Detailed information about Market Vectors US Treasury-Hedged High Yield Bond Index and the full range of Market Vectors Indices, including methodology details and comprehensive data are available on www.marketvectorsindices.com.
Note to Editors
About Market Vectors Index Solutions GmbH (MVIS).
Market Vectors Index Solutions develops, monitors and licenses the Market Vectors Indices, a selection of focused, investable and diversified benchmark indices. The indices are especially designed to underlie financial products. Market Vectors Indices cover several asset classes, including hard assets and international equity markets as well as fixed income markets and are licensed to serve as underlying indices for financial products. Approximately USD 8.7 billion in assets under management are currently invested in financial products based on Market Vectors Indices. MVIS is a wholly owned subsidiary of Van Eck Associates Corporation (also known as Van Eck Global).
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