Capital ICE 1-5 Year US Corporate ETF (00860B)

Overview

The Capital ICE 1-5 Year US Corporate ETF is a strategic investment solution designed to provide investors with a tailored approach to the U.S. corporate bond market, specifically targeting the short-duration segment. By focusing on high-quality, investment-grade bonds with maturities of one to five years, the ETF offers a balanced path for investors seeking to optimize their yield potential while minimizing exposure to interest rate risks. This ETF operates as a bridge for those requiring liquidity and cost efficiency, with a diversified portfolio across major sectors, hence accommodating a wide range of investment goals, from risk management to enhancing returns over cash equivalents.

Products and Services

Capital ICE 1-5 Year US Corporate ETF provides a comprehensive suite of benefits and features tailored to the needs of both institutional and individual investors:

• Exposure to U.S. Corporate Bonds

The ETF specifically targets the short-duration, investment-grade segment of the U.S. corporate bond market, offering investors access to a curated selection of bonds. These are USD-denominated corporate bonds with maturities ranging from one to five years, issued by financially robust U.S. and multinational corporations. This strategy effectively balances the pursuit of moderate yields with the need for lower interest rate sensitivity.

• Diversified Investment Portfolio

Investments are spread across a broad spectrum of sectors including financials, industrials, and consumer corporations, thus providing a diversified and risk-managed portfolio. This diversification helps in mitigating sector-specific risks, thereby stabilizing portfolio performance over different market cycles.

• Short Duration Profile

The ETF’s focus on bonds with shorter maturities positions it as an ideal tool for managing interest rate risk. Its compact duration also makes it suitable for investors seeking an investment with liquidity that surpasses that of longer-term bonds, yet offers a return potential that is incrementally higher than cash or cash equivalents.

• Efficient Market Access

Capital ICE 1-5 Year US Corporate ETF plays a vital role by offering efficient and transparent access to a broad basket of high-quality corporate debt securities. This access is especially important for investors looking to allocate part of their portfolio to fixed income securities without having to individually select and manage an array of bonds. The ETF’s structure provides a blend of liquidity, transparency, and cost efficiency, making it an attractive option for a wide range of investment objectives.