ProShares High Yield-Interest Rate Hedged ETF will be the company's third junk bond fund. According to Index Universe, the filings "amount to a sign fund sponsors want to address anxiety that already-paltry bond yields could morph into a disastrous rout if bond investors have to ride out a selloff as interest rates head higher going forward."
The company said in a statement: "By taking such short positions, the Index is designed to mitigate any losses the high yield bonds would otherwise experience in a generally rising Treasury interest rate environment (and conversely, will limit any gains the high yield bonds would experience in a falling Treasury interest rate environment)."