Market Extra: The cracked benchmark? Why some investors want a new standard for bonds

Is one of the most important benchmarks on Wall Street in need of a serious upgrade?

The Bloomberg Barclays U.S. Aggregate Bond Index, the fixed-income index that is essentially synonymous with the U.S. bond market, much as the S&P 500 SPX, -0.04% is for equities, has drawn criticism from major investors and analysts, who view it as an insufficient gauge for measuring the entirety of the bond universe. It certainly has ardent defenders, and even critics of the AGG—as the index is informally known—recognize its centrality to the economy at large, as well as its adherence to its stated mission.

>>> Original Source <<<