How the Largest Bond ETFs in Denmark Performed

Each month, we check in on the performance of the largest Europe-domiciled bond exchange-traded funds available for sale in Denmark.

When evaluating ETFs, investors should focus on long-term returns across multiple years and market cycles. However, short-term returns can provide valuable information about biases within strategies.

Out of the 10 largest Europe-domiciled bond ETFs, the top performer last month was the DKK 53.1 billion iShares € High Yield Corp Bond UCITS ETF IHYG, which gained 0.49%. The bottom performer was the DKK 69.5 billion iShares VII PLC - iShares VII PLC - iShares $ Treasury Bond 3-7yr UCITS ETF CSBGU7, which lost 0.82%.

Here’s more about the performance of the largest bond ETFs.

iShares $ Treasury Bond 0-1yr UCITS ETF IB01

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : USD Ultra Short-Term Bond

The DKK 178.7 billion iShares $ Treasury Bond 0-1yr UCITS ETF fell 0.66% in August. The loss on the fund was roughly in line with the 0.63% loss on the average fund in the USD ultra short-term bond category, underperforming 71% of its peers. Over the past 12 months, the iShares fund rose 4.74%, while the average fund in its category rose 4.73%. The fund, which launched in February 2019, has climbed 2.37% over the past three years annualized and gained 4.00% annualized over the past five years.

iShares Core € Corp Bond UCITS ETF IEAC

• Morningstar Medalist Rating
  : Bronze
• Morningstar Category
  : EUR Corporate Bond

In August, the iShares Core € Corp Bond UCITS ETF fell 0.08%, while the average EUR corporate bond fund lost 0.18%. The fund outperformed 78% of its peers. The DKK 99.9 billion fund has climbed 1.11% over the past 12 months, outperforming the average fund in its category, which rose 0.66%. The iShares fund, which launched in March 2009, has climbed 4.27% over the past three years annualized and lost 0.05% annualized over the past five years.

iShares Core Global Aggregate Bond UCITS ETF AGGG

• Morningstar Medalist Rating
  : Bronze
• Morningstar Category
  : Global Diversified Bond

In August, the iShares Core Global Aggregate Bond UCITS ETF fell 0.40%, while the average global diversified bond fund lost 0.52%. The fund outperformed 73% of its peers. The DKK 92 billion fund has climbed 1.49% over the past 12 months, outperforming the average fund in its category, which rose 1.00%. The iShares fund, which launched in November 2017, has climbed 1.36% over the past three years annualized and lost 1.36% annualized over the past five years.

iShares $ Treasury Bond 1-3yr UCITS ETF IBTS

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : USD Government Bond - Short Term

The DKK 82.2 billion iShares $ Treasury Bond 1-3yr UCITS ETF fell 0.73% in August. The loss on the fund was roughly in line with the 0.75% loss on the average fund in the USD government bond - short term category, underperforming 68% of its peers. Over the past 12 months, the iShares fund rose 3.44%, while the average fund in its category rose 3.34%. The fund, which launched in June 2006, has climbed 2.04% over the past three years annualized and gained 2.39% annualized over the past five years.

iShares VII PLC - iShares VII PLC - iShares $ Treasury Bond 3-7yr UCITS ETF CSBGU7

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : USD Government Bond

In August, the iShares VII PLC - iShares VII PLC - iShares $ Treasury Bond 3-7yr UCITS ETF fell 0.82%, while the average USD government bond fund lost 0.53%. The fund underperformed 83% of its peers. The DKK 69.5 billion fund has climbed 1.80% over the past 12 months, outperforming the average fund in its category, which rose 1.68%. The iShares fund, which launched in June 2009, has climbed 1.72% over the past three years annualized and gained 0.67% annualized over the past five years.

iShares $ Short Duration Corp Bond UCITS ETF SDIG

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : USD Corporate Bond - Short Term

The iShares $ Short Duration Corp Bond UCITS ETF lost 0.69% in August, falling further than the average fund in the USD corporate bond - short term category, which fell 0.62%. The DKK 58.3 billion fund has gained 3.81% over the past 12 months, while the average fund in its category is up 3.87%. The iShares fund, which launched in October 2013, has climbed 2.89% over the past three years annualized and gained 2.89% annualized over the past five years.

iShares $ Corp Bond UCITS ETF LQDE

• Morningstar Medalist Rating
  : Bronze
• Morningstar Category
  : USD Corporate Bond

The DKK 57.2 billion iShares $ Corp Bond UCITS ETF fell 0.32% in August. The loss on the fund edged out the 0.45% loss on the average fund in the USD corporate bond category, outperforming 75% of its peers. Over the past 12 months, the iShares fund rose 2.23%, while the average fund in its category rose 2.61%. The fund, which launched in March 2003, has climbed 2.36% over the past three years annualized and lost 0.48% annualized over the past five years.

iShares J.P. Morgan $ EM Bond UCITS ETF IEMB

• Morningstar Medalist Rating
  : Silver
• Morningstar Category
  : Global Emerging Markets Bond

In August, the iShares J.P. Morgan $ EM Bond UCITS ETF was roughly flat, while the average global emerging markets bond fund was unchanged. The fund outperformed 61% of its peers. The DKK 54.3 billion fund has climbed 7.51% over the past 12 months, performing roughly in line with the average fund in its category, which rose 7.90%. The iShares fund, which launched in February 2008, has climbed 6.53% over the past three years annualized and gained 1.46% annualized over the past five years.

iShares € High Yield Corp Bond UCITS ETF IHYG

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : EUR High Yield Bond

In August, the iShares € High Yield Corp Bond UCITS ETF rose 0.49%, while the average EUR high yield bond fund gained 0.38%. The fund outperformed 75% of its peers. The DKK 53.1 billion fund has climbed 3.16% over the past 12 months, outperforming the average fund in its category, which rose 2.86%. The iShares fund, which launched in September 2010, has climbed 6.35% over the past three years annualized and gained 2.79% annualized over the past five years.

iShares $ Treasury Bond 7-10yr UCITS ETF IDTM

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : USD Government Bond

The iShares $ Treasury Bond 7-10yr UCITS ETF lost 0.68% in August, falling further than the average fund in the USD government bond category, which fell 0.53%. The DKK 48.4 billion fund has gained 1.49% over the past 12 months, while the average fund in its category is up 1.68%. The iShares fund, which launched in December 2006, has climbed 0.98% over the past three years annualized and lost 1.11% annualized over the past five years.