Vanguard to launch low-cost high-yield bond ETF VCHY in June, challenging HYG and JNK.

Vanguard plans to enter the high-yield bond ETF market with its new US High-Yield Corporate Bond Index ETF (VCHY), set to launch in June. The fund will track Bloomberg's US High Yield $250MM 2% Issuer Capped Index, expanding Vanguard's fixed-income offerings. Vanguard aims to undercut competitors like iShares HYG and SPDR JNK on fees, continuing its low-cost strategy. This launch comes amid strong recent performance in the high-yield bond market and a broader strategic focus on fixed income by Vanguard.