THIS JUNK BOND FUND IS A GEM

MANY bond strategists are cautious about high-yield debt these days. It's fully valued, they say, relative to other pockets of the fixed-income market.

- NELLIE S. HUANG

But Pimco 0-5 Year High Yield Corporate Bond has been a standout among exchange-traded bond funds in the Kiplinger ETF 20 in recent months. It has held up well since the start of the year, and its 8.8% return over the past 12 months outpaced 59% of its high-yield bond fund peers, as well as the Bloomberg U.S. Aggregate Bond index. (All returns are through April 30.) The ETF's tilt toward short-term debt and its robust 6.4% yield helped. Pimco 0-5 Year High Yield boasts a short, two-year duration (a measure of interest rate sensitivity). That has been a plus in recent