Bank-loan portfolios primarily invest in floating-rate bank loans instead of bonds. In exchange for their credit risk, these loans offer high interest payments that typically float above a common short-term benchmark such as the London interbank offered rate, or LIBOR.
Abbreviation: BL
Broad Asset Class: Taxable Bond
Primary Index: Barclays Aggregate Bond
Secondary Index: Barclays 1-5 Year Govt/Credit Bond