WisdomTree Interest Rate Hedged High Yield Bond Fund
Key Statistics
Historical Performance
Total return including reinvested distributions, from adjusted closing prices.
Price History
Price history is being compiled for this fund.
Top Holdings
Top 25 holdings as of Nov 30, 2025 · source: SEC N-PORT. Full holdings & prospectus →
About HYZD
The Fund employs a “passive management” – or indexing– investment approach designed to track the performance of the Index. The Fund generally uses a representative sampling strategyto achieve its investment objective, meaning it generally will invest in a sample of the securities in the Index whose risk, return,and other characteristics resemble the risk, return, and other characteristics of the Index as a whole. Under normal circumstances, atleast 80% of the Fund’s total assets (exclusive of collateral held from securities lending) will be invested in the constituentsecurities of the Index and investments that have economic characteristics that are substantially identical to the economic characteristicsof such constituent securities. WisdomTree, Inc. (the “Index Provider”), the parentcompany of the Fund’s investment adviser, WisdomTree Asset Management, Inc. (“WisdomTree Asset Management” or the “Adviser”),designed the Index to provide long exposure to the performance of selected issuers in the U.S. non-investment-grade corporate bond (“junkbond”) market with favorable fundamental and income characteristics while seeking to manage interest rate risk through the useof short positions in U.S. Treasury securities (“U.S. Treasuries”). The Index is comprised of long and short positions. The long positionsof the Index (the “Long Basket”) intends to replicate the WisdomTree U.S. High Yield Corporate Bond Index. The Index employsa multi-step selection process to seek to identify bonds with favorable fundamentals and then tilts to those bonds with favorable risk-adjustedincome characteristics. The Long Basket of the Index is comprised of U.S. dollar-denominatedcorporate bonds of public issuers domiciled in the United States. To be eligible for inclusion in the Index, bonds must meet the followingkey criteria: (i) pay fixed-rate coupons; (ii) have at least $500 million in par amount outstanding; (iii) have a remaining maturity ofat least one year; and (iv) have a non-investment-grade rating by Standard & Poor’s or Moody’s (i.e., below BBB-or Baa3, respectively). In addition, a bond cannot be in default or otherwise be in distress (e.g., the bond must be rated aboveC). Once the Index universe is defined, each individual bond is assigneda factor score based on fundamental metrics that distinguish cash flow characteristics (i.e., free cash flow), and momentum metricsbased on relative equity market performance of the bond’s issuer. The Index selects bonds principally based on their fundamentalmetrics. However, a bond issued by a company meeting the fundamental metrics but exhibiting significant negative momentum metrics wouldbe excluded from the Index, while a bond with less desirable fundamental metrics but showcasing positive momentum metrics would be includedin the Index. Bonds are assigned to one of five sectors (i.e., industrial, financial, utility, consumer, or energy) and then assessedfor liquidity against public bonds within their sector. Bonds deemed to be among the 5% least liquid are excluded from consideration. Each remaining bond is then assigned an income tilt score. A bond’stilt score reflects, among other factors, its probability of default and recovery relative to the other bonds in its sector. Income tiltscores are then used to determine a bond’s weight in the Index relative to its market value, with greater weight allocated to thosebonds receiving higher income tilt scores. The Fund’s exposure to any single bond issuer and any single bond is capped at the timeof rebalance at 2% and 0.50%, respectively, with any excess exposure allocated across the remaining bonds on a pro-rata basis. The short positions of the Index (the “Short Basket”) holdsshort positions in U.S. Treasuries (or futures providing exposure to U.S. Treasuries in the case of the Fund) that seek to correspondto a duration exposure matching the duration of the Long Basket, with a targeted total duration exposure of approximately zero years (e.g.,if the average duration of bonds in the Long Basket is approximately two years, the Short Basket will seek an average duration of approximatelytwo years among its short holdings of U.S. Treasuries, with an aggregate targeted Index duration of approximately zero years). Durationis a measure used to determine the sensitivity of a portfolio to changes in interest rates with a longer duration portfolio being moresensitive to changes in interest rates. The Fund may also short U.S. Treasuries. The Index weights the short exposure to U.S. Treasuries of differingmaturities in an attempt to offset the sensitivity of the long exposure to overall moves in interest rates across the yield curve. TheLong Basket and Short Basket of the Index are rebalanced on a monthly basis. During the intra-rebalance period, the Index may includeconstituents that no longer meet the Index’s eligibility criteria as described above. Under certain circumstances, such as in responseto a change in a bond’s credit rating that causes it to no longer meet the Index eligibility criteria, the Index Provider may removeconstituents from the Index intra-rebalance but on a delayed-basis. The Index is designed to have greater returns than an equivalent non-interestrate hedged investment when U.S. Treasury rates are rising significantly. Conversely, the Index is designed to have lower returns thanan equivalent non-interest rate hedged investment when U.S. Treasury rates are falling significantly. Tothe extent the Index is concentrated in the securities of companies assigned to a particular industry or group of industries, the Fundwill seek to concentrate its investments (i.e., invest more than 25% of its assets) in such industry or group of industries toapproximately the same extent as the Index.
HYZD News
- Why (HYZD) Price Action Is Critical for Tactical Trading
- Discipline and Rules-Based Execution in HYZD Response
- Behavioral Patterns of HYZD and Institutional Flows
- (HYZD) Movement Within Algorithmic Entry Frameworks
- (HYZD) Movement Within Algorithmic Entry Frameworks
- How (HYZD) Movements Inform Risk Allocation Models
- Trading Systems Reacting to (HYZD) Volatility
Data for HYZD is aggregated from third-party providers (Tiingo, Nasdaq, Finnhub) and SEC filings, may be delayed at least 20 minutes, and may be incomplete or contain errors. Nothing here is investment advice. Verify with the official prospectus before investing.