BSMO Profile
The Invesco BulletShares 2024 Municipal Bond ETF is designed to offer investors focused exposure to a portfolio of U.S. dollar-denominated investment-grade municipal bonds, specifically those maturing in the year 2024. Under normal market conditions, the fund invests at least 80% of its total assets in the securities that comprise its underlying index. This index tracks the performance of municipal bonds with maturities or effective maturities set for the year 2024, collectively referred to as 2024 Bonds.
Municipal bonds included in this ETF are issued by state and local governments, providing tax-exempt income to investors. These bonds are selected based on their investment-grade ratings, ensuring a high level of credit quality and reduced default risk. The focus on bonds maturing in 2024 allows the fund to cater to investors seeking a predictable income stream and principal return at a specified future date, offering a degree of stability and planning for those with a specific investment horizon.
As a non-diversified fund, the Invesco BulletShares 2024 Municipal Bond ETF holds a concentrated portfolio of municipal bonds maturing in 2024. This concentrated strategy aligns with its objective to provide a clear maturity profile, making it a suitable choice for investors looking to match their investment timeline with the bond maturity date. However, this focus on a single maturity date also means that the fund may be subject to specific risks associated with the performance of bonds due in 2024.
Overall, the Invesco BulletShares 2024 Municipal Bond ETF provides a targeted investment solution for those seeking exposure to municipal bonds with a defined maturity. By investing in high-quality, tax-exempt municipal securities maturing in 2024, the fund aims to offer stability, predictable income, and a clear timeline for bond investors. Its approach facilitates tax-efficient income generation while aligning with an investment horizon that coincides with the maturity of the underlying bonds.
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