With many on Wall Street expecting the Federal Reserve to keep interest rates steady at a higher for longer level, many have turned to high-yield bond ETFs to hedge their bets against the current rate environment.

VettaFi Head of Research Todd Rosenbluth joins Wealth! to give insight into high-yield bond ETFs and what investors need to know when investing in these bond ETFs.

Rosenbluth explains how these bond ETFs can offer diversification for investors' portfolios:

"In an individual issuer that is speculative grade that's rated double b (BB) or single b (B) rated could easily get further down and default, whereas with an ETF you get the benefits of diversification. Hundreds of issuers spread across the credit spectrum and it trades on an exchange the same way a stock does. So ETFS like SJNK, SHYG, and BKLN are great ways to get 8% yield in a diversified portfolio."

For more expert insight and the latest market action, click here to watch this full episode of Wealth!

This post was written by Nicholas Jacobino