GBF Profile
The iShares Government/Credit Bond ETF is designed to offer investors a diversified portfolio focused on U.S. dollar-denominated fixed income securities. The fund tracks an index that measures the performance of U.S. Treasury bonds, government-related bonds, and investment-grade U.S. corporate bonds with remaining maturities of one year or more. This broad coverage provides exposure to a range of high-quality debt instruments, aiming to offer stability and income potential through investments in the most creditworthy sectors of the bond market.
The fund’s investment strategy involves allocating at least 80% of its assets to the securities that make up the underlying index. This commitment ensures that the fund’s performance closely mirrors that of the index, providing investors with a reliable benchmark for assessing the fund’s returns. By focusing on U.S. government and investment-grade corporate bonds, the ETF aims to deliver consistent income while maintaining a lower risk profile compared to other types of bonds.
In addition to investing in the securities of the index, the fund will allocate at least 90% of its assets to fixed income securities that are included in the underlying index or deemed by the advisor to closely track the index. This approach helps to maintain alignment with the index’s performance while managing potential deviations. The fund’s selection process involves careful evaluation of credit quality and market conditions to ensure that the investments contribute effectively to achieving the fund's objectives.
The iShares Government/Credit Bond ETF provides a strategic option for investors seeking exposure to a diversified mix of government and high-grade corporate bonds. By focusing on securities with high credit ratings and significant market liquidity, the fund aims to offer a stable income stream and capital preservation. The ETF's approach to tracking a broad, investment-grade index allows it to cater to conservative investors looking for a reliable fixed income solution within the U.S. bond market.
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