Top 10 Dividend and Distribution-Paying Bond Funds

The best bond funds for 2025 providing strong dividends and distributions

Quick Definition: Bond funds are investment vehicles, such as ETFs or mutual funds, that invest in bonds and distribute interest income as dividends or distributions to shareholders.

The top 10 dividend and distribution-paying bond funds for 2025 are selected for their high yields, low expense ratios, and consistent performance. These funds provide income-focused investors with stable cash flows and diversification across bond sectors like corporate, government, or high-yield bonds, though they carry risks such as interest rate fluctuations and credit risk.

# Ticker Name Yield (%)
1 TMAYX Thrivent High Yield Fund 11.67%
2 SPHY SPDR Portfolio High Yield Bond ETF 7.26%
3 FFRHX Fidelity Floating Rate High Income Fund 7.24%
4 JNK SPDR Bloomberg High Yield Bond ETF 6.61%
5 VWEHX Vanguard High-Yield Corporate Fund 6.30%
6 JPHY JPMorgan High Yield Research Enhanced ETF 6.15%
7 HYG iShares iBoxx High Yield Corporate Bond ETF 6.12%
8 EDV Vanguard Extended Duration Treasury ETF 4.65%
9 VGLT Vanguard Long-Term Treasury ETF 4.46%
10 TLT iShares 20+ Year Treasury Bond ETF 4.33%

Yields are subject to change and not guaranteed.