The iShares Investment Grade Systematic Bond ETF offers a systematic strategy for selecting investment-grade corporate bonds, focusing on credit quality and risk-adjusted yields. IGEB has a lower duration than LQD, resulting in less volatility and better performance when interest rates rise, but takes on more credit risk. Despite IGEB's marginal outperformance, current macro conditions with historically tight IG spreads make it an unattractive buy at this time.
| BATS Exchange | US Country |
The company operates as an investment fund aimed at clients seeking exposure to U.S. dollar-denominated, investment-grade corporate bonds. It is designed to closely track the performance of its underlying index, which is composed of high-quality, fixed income corporate securities. By allocating at least 80% of its assets to securities that are components of the index and investing a minimum of 90% of its assets in specific types of fixed income securities included in the index, the fund seeks to provide investors with a stable and reliable investment option that mirrors the index's performance.
The fund dedicates at least 80% of its assets towards investing in the component securities of its underlying index. This strategic asset allocation aims to closely emulate the index's performance, offering investors a diversified investment in investment-grade corporate bonds.
A minimum of 90% of the fund's assets are invested in fixed income securities of the types included in the underlying index. These securities are selected based on the advisor's analysis, which aims to ensure the fund's performance closely aligns with that of the index. The focus on U.S. dollar-denominated, investment-grade corporate bonds is intended to provide investors with a stable and relatively low-risk investment option.