This PIMCO Bond Fund, Down 3.2%, Was Today’s Worst Performing ETF

The PIMCO Global Advantage Inflation-Linked Bond Exchange-Traded Fund (ILB) underperformed all other non-leveraged, non-inverse exchange traded products in the U.S. today on a percentage basis, producing a -3.18% one-day return and trailing the wider markets by a total of 3.17 percentage points.

Behind The Gains

ILB closed today at $40.80 per share, down $1.34 (-3.18%). Putting this move in context, the S&P 500 index — largely considered the most popular and useful benchmark for equity performance — closed down $0.02 (-0.01%) on the day.

ILB’s trading volume today was a total of 663 shares, which was a decrease of 57% versus its average daily trading volume of 1,528. Rising trading volume generally an indicator of increased demand for a particular security, and is typically associated with a specific news event or trend that draws investors into or out of specific asset classes, or sectors or subsectors within those classes.

Including any dividends as well as today’s losses, ILB has now fallen a total of -2.49% year-to-date, versus a +1.79% gain in the S&P 500 during the same timeframe.

A Look Under The Hood

PIMCO Global Advantage Inflation-Linked Bond Exchange-Traded Fund is a Fixed Income-focused product issued by PIMCO ETFs. Its expense ratio of 0.61% makes it the #14 cheapest ETF among 14 total funds in the Inflation-Protected Bond ETFs category.

ILB currently boasts $78.18M in assets under management (AUM), placing it #11 of 14 ETFs in its category, and #947 of 1922 total ETFs in the U.S. exchange traded universe.

The investment objective of the PIMCO Global Adv Inflation Linked Bond Strategy ETF seeks to invest under normal circumstances at least 80% of its assets in inflation-linked bonds that are economically tied to at least three developed and emerging market countries, which may be represented by forwards or derivatives such as options, futures contracts, or swap agreements.

Because this fund is linked to inflation, rather than protected against it, rising inflation has the propensity to cause big downturns like we saw today.

ILB SMART Grade

ILB currently has an ETF Daily News SMART Grade of B (Buy), and is ranked #14 of 14 funds in the Inflation-Protected Bond ETFs category.

For more information about this ETF, including full ratings, news, data, and more, please visit ILB’s ticker page.

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