Capital ICE BofAML 0-1 Year US Treasury Exchange Traded Fund (00859B)

Overview

The Capital ICE BofAML 0-1 Year US Treasury Exchange Traded Fund stands out as a specialized bond-focused exchange-traded fund (ETF) tailored to track the performance of the ICE BofA 0-1 Year US Treasury Index. This fund is meticulously designed to cater to investors looking for exposure to ultra-short-term, investment grade US Treasury securities, particularly those with maturities of less than one year. Priority is placed on capital preservation and liquidity, positioning this ETF as an ideal option for investors seeking stability and regular interest income in their portfolios. The fund is known for its low expense ratio, showcasing an efficient pathway for investors to access high-quality government debt while mitigating interest rate sensitivity in varying rate environments.

Products and Services

• Exposure to Ultra-Short-Term, Investment Grade US Treasury Securities

This product is at the core of The Capital ICE BofAML 0-1 Year US Treasury Exchange Traded Fund, providing investors with direct access to ultra-short-term US Treasury securities that feature maturities of less than one year. Ideal for those prioritizing capital preservation and liquidity, these securities are globally recognized for their low credit risk, offering a stable and dependable investment choice.

• Diversified Portfolio of US Treasury Bonds

The ETF holds a diversified collection of US Treasury bonds, ensuring a broad spectrum of high-quality government debt that underpins its strategy. This diversification not only spreads risk but also contributes to the stability and reliability of the fund, reinforcing its value proposition for conservative investors.

• Quarterly Dividend Distribution Policy

With a commitment to returning value to investors, the fund upholds a quarterly dividend distribution policy. This approach allows for regular interest income, appealing to investors who are in search of consistent earnings alongside capital preservation.

• Passive Management Strategy

The fund is passively managed, with an aim to closely replicate the movements of the ICE BofA 0-1 Year US Treasury Index. By holding securities in proportions similar to those of the underlying index, the fund strives for efficiency and accuracy in tracking, making it an optimal choice for investors favoring a hands-off investment approach.

• Low Expense Ratio

Noteworthy for its cost-effectiveness, The Capital ICE BofAML 0-1 Year US Treasury ETF boasts a low expense ratio. This efficiency makes it an attractive option for investors seeking to access high-quality government debt without incurring high management fees, enhancing overall investment returns.