Bonds

Fixed-income ETFs — for the most part — passed their first big test, but it was a roller-coaster ride along the way.

The central bank said it “will generally not purchase shares of an ETF that are trading at a premium” of 1% above its net asset value.

The manager may collect over $4 million per year for managing a separate portfolio of commercial mortgage-backed securities issued by government agencies.

Asset managers may need to reassess the assumption that’s become widely held in recent years: that inflation is dead.

The iShares fund saw the second-biggest inflow in its 18-year history after the central bank said it would begin buying corporate bonds and credit ETFs.

After becoming unmoored in recent weeks as bond market liquidity dried up, funds that stand to benefit from the central bank’s buying are now rallying.

Bear markets come with checklists of savvy moves to make for investment portfolios.

The funds are trading at staggering discounts to their net asset values in what some have dubbed an “illiquidity doom loop.”

Five of the top seven performers this year carry AA ratings.

The fund paid out about $150 billion in redemptions Thursday, all in cash.