IBTE Profile
The iShares iBonds Dec 2024 Term Treasury ETF is designed to provide investors with exposure to U.S. Treasury securities that are set to mature within a specific time frame. The fund invests at least 80% of its assets in the component securities of its underlying index, focusing exclusively on U.S. Treasury bonds. Additionally, the fund allocates at least 90% of its assets to U.S. Treasury securities that are selected to align with the index’s performance, enhancing tracking precision.
The underlying index encompasses U.S. Treasury securities that are publicly issued and scheduled to mature between January 1, 2024, and December 15, 2024. This focused maturity range allows investors to target a specific segment of the Treasury market, providing predictable returns aligned with the maturity profile of the index. By concentrating on securities with similar maturity dates, the fund aims to offer a clear and stable investment horizon for those seeking short-term fixed-income exposure.
The ETF’s investment strategy is centered around maintaining a high degree of alignment with the underlying index by holding a concentrated portfolio of Treasury securities that meet the maturity criteria. This approach minimizes exposure to interest rate fluctuations beyond the fund’s target maturity, making it a suitable choice for investors looking for a defined investment horizon and lower volatility associated with U.S. government debt.
As a non-diversified fund, the iShares iBonds Dec 2024 Term Treasury ETF focuses solely on U.S. Treasury securities within its specified maturity range, without diversifying into other types of assets. This concentration strategy ensures that investors are fully exposed to the performance of U.S. Treasuries maturing in the near term, providing a straightforward and reliable option for those seeking to match their investment timelines with short-term government securities.
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