Schwab 5-10 Year Corporate Bond ETF (NYSEARCA:SCHI) Experiences Significant Price Drop

The Schwab 5-10 Year Corporate Bond ETF (NYSEARCA:SCHI) saw a notable decline when the market opened on Friday. The ETF was trading at a previous close of $45.43 but opened significantly lower at $22.96. During the trading session, the last recorded price was $22.72, with a total volume of 38,653 shares exchanged.

Price Movement and Averages

Despite the drastic drop, the ETF's stock experienced a minor increase of 0.1%. The current fifty-day moving average price is recorded at $45.31, while the 200-day moving average stands at $44.50, indicating a shift in market sentiment toward this investment.

Investor Activity and Changes in Holdings

Recent activities among institutional investors have raised interest in SCHI. For instance, EP Wealth Advisors LLC significantly increased its holdings by 99.1% in the fourth quarter, acquiring an additional 2,964 shares, bringing their total to 5,956 shares valued at approximately $268,000. Similarly, B. Riley Wealth Advisors Inc. raised its position by 6.6%, now owning 54,526 shares worth about $2.45 million after buying more shares during the previous quarter.

Other notable changes include Clearview Wealth Advisors LLC, which increased its stake by 30.6% during the first quarter, and Bank of New Hampshire, which saw a whopping 261.0% boost, adding 29,499 shares to its portfolio. Lastly, American National Bank also expanded its holdings by 279.0% in the same quarter.

Overview of SCHI

The Schwab 5-10 Year Corporate Bond ETF (SCHI) is designed to invest primarily in investment-grade fixed income securities. It tracks an index that includes USD-denominated corporate bonds with maturities between five to ten years. SCHI was established on October 10, 2019, and is managed by Charles Schwab, providing investors with a strategic option for bond investments.

Conclusion

The recent significant gap down in the SCHI's share price indicates potential volatility in the corporate bond market. Investors and analysts will be watching closely to see how the price stabilizes after this drop and what further impacts institutional trading activity might have on the ETF's performance.

Schwab, ETF, stocks