About Nuveen Enhanced Yield U.S. Aggregate Bond ETF (NUAG)

The Nuveen Enhanced Yield U.S. Aggregate Bond ETF (NUAG) is an exchange-traded fund that seeks to provide investors with enhanced yield potential compared to traditional fixed-income strategies. NUAG aims to achieve this by employing a fundamentally driven, research-intensive security selection process. The ETF invests primarily in U.S. Treasuries, government agencies, mortgage-backed securities, and investment-grade corporate bonds. A unique feature of NUAG is its exposure to the high-yield bond market through short positions in credit default swaps (CDS). By utilizing these derivatives, the fund can access higher-yielding bonds while managing credit risk.

NUAG's investment approach is designed to provide attractive income potential without sacrificing risk management. The fund's portfolio managers apply rigorous analysis to identify investment opportunities that may offer superior risk-adjusted returns. This includes evaluating issuer creditworthiness, market conditions, and macroeconomic factors. NUAG's active management approach allows for flexibility in adjusting the portfolio's duration and credit exposure based on market conditions. This adaptability enables the fund to navigate changing interest rate environments and potentially enhance yield.