What is the Barclays Capital Aggregate Bond Index?
This index is commonly used to track the performance of bond funds in the US. It tracks a wide range of fixed-income investments with maturity dates of more than a year. The index is a good gauge of the overall health of the fixed-income investments market.
Where have you heard about the Barclays Capital Aggregate Bond Index?
The index was once known as the Lehman Brothers aggregate bond index, and we all know what happened there. Everyone is familiar with the Barclays brand, which acquired the now deceased investment bank in September 2008.
What you need to know about the Barclays Capital Aggregate Bond Index.
Government and corporate bonds, mortgage-backed securities and asset-backed securities are among the types of investment represented by the index.
To be included, bonds must have a credit rating of at least BBB issued by Standard and Poor’s, or Baa3 by Moody’s. The majority have an AAA rating though.
The bonds represented by the index have a medium term maturity, with most maturing in less than 5 years.
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