iShares Core U.S. Aggregate Bond ETF
Broad exposure to U.S. investment-grade bonds, including Treasuries, corporate bonds, and mortgage-backed securities.
Why This Week?
AGG is the quintessential fixed-income allocation for a diversified portfolio. It tracks the entire U.S. investment-grade bond market, providing stability, capital preservation, and regular income. It acts as the 'ballast' to equity volatility in standard 60/40 portfolios.
Key Metrics
Top Holdings
3 holdings shown. Weights are approximate.
Pros & Cons
Strengths
- Core fixed-income building block.
- Very low expense ratio (0.03%).
- High credit quality (mostly AAA to A rated).
Risks & Weaknesses
- Interest rate risk (duration of ~6.2 years means prices drop when rates rise).
- Lower yields compared to high-yield (junk) bonds.
- Excludes inflation-protected bonds (TIPS).
Alternatives Comparison
| ETF | Name | TER |
|---|---|---|
| AGGThis Week | iShares Core U.S. Aggregate Bond ETF | 0.03% |
| BND | Vanguard Total Bond Market ETF | 0.03% |
| TLT | iShares 20+ Year Treasury Bond ETF | 0.15% |
💬 Frequently Asked Questions
Want to Explore Further?
AGG launched recently, so try backtesting SMH or SOXX as semiconductor proxies, or explore our ETF database for alternatives.
Disclaimer: ETF of the Week is educational content only. It is not investment advice, a recommendation to buy or sell, or an endorsement of any fund. Past performance does not guarantee future results. Always do your own research and consult a financial advisor before investing.