iShares® iBonds® ETFs: Build better bond ladders

Yield chart

Bond Ladders Just Got Easier to Manage

 

iBonds ETFs are investment grade bond portfolios that investors can use to build diversified, laddered bond portfolios more easily than they can with individual bonds.

  • Create scalable fixed income portfolios Track a few ETFs rather than multiple bonds, making it easier to build and monitor laddered portfolios.
  • Efficiently diversify fixed income holdings Get a mix of investment grade bonds in every iBonds ETF.
  • Access the bond market more easily iBonds ETFs trade on exchanges, like a stock, so you don’t have to deal with over-the-counter purchases and sales.

 

YearCorpMuni
2017 IBDJ IBMF
2018 IBDH IBMG
2019 IBDK IBMH
2020 IBDL IBMI
2021 IBDM IBMJ
2022 IBDN IBMK
2023 IBDO  
2024 IBDP  
2025 IBDQ  
2026 IBDR  

During the Life of an iBonds ETF

iBonds ETFs are designed to provide a yield-to-maturity profile comparable to that of the underlying bond portfolio and seek to preserve an investor’s anticipated yield-to-maturity through a combination of monthly distributions and a final end-date distribution.1

You can always see the current yield to maturity of an iBonds portfolio on the fund's product page.

Anticipated Investor YTM Driven by Monthly Income Distributions and End-Date Distributions

Yield to maturity chart

As the Fund Matures

Termination: iBonds ETFs terminate around December 31st of the year in the fund’s name, except for the 2017-2020 municipals which terminate on or around September 1st.

In the final months: As the bonds in the portfolio mature, the fund's holdings transition to cash and cash equivalents.

After all the bonds in the portfolio mature: The ETF is delisted from the exchange and shareholders are given a final distribution, which is similar to the principal repayment of an individual bond at maturity.

As Bonds Mature, the ETF Will Transition to Cash Equivalents

Bond maturity chart

ETF NameTickerMaturity DateFinal Net
Asset Value
iShares 2012 S&P AMT-Free Muni Term ETF MUAA 8/15/2012 $50.62
iShares 2013 S&P AMT-Free Muni Term ETF MUAB 8/15/2013 $50.50
iShares 2014 S&P AMT-Free Muni Term ETF MUAC 8/15/2014 $51.18
iBonds Sep 2015 AMT-Free Muni Bond ETF IBMD 9/1/2015 $52.57
iBonds Mar 2016 Corporate ex-Financials ETF IBCB 3/29/2016 $99.50
iBonds Mar 2016 Corporate ETF IBDA 3/29/2016 $100.82
iBonds Sep 2016 Term Muni Bond ETF IBME 9/1/2016 $26.46
iBonds Dec 2016 Term Corporate ETF IBDF 12/15/2016 $25.03

See the current iBonds yields.

1Proceeds are expected to be distributed to investors shortly after the underlying bonds have matured. During maturity transition period, some portion of the Fund’s assets will be in cash and cash equivalents, and is therefore subject to potential reinvestment risk.

How and Why to Use iBonds