iShares US Treasury Bonds 1 – 3 Years

ETF description

This ETF focuses on U.S. Treasury bonds with maturities between 1 and 3 years. Treasury bonds are issued by the U.S. government and are considered low‑risk investments since they are backed by the government. The shorter maturity period means that these bonds are less sensitive to changes in interest rates compared to long‑term bonds. As a result, the price of the bonds held in this ETF is likely to fluctuate less, providing stability while still offering regular interest payments.

By focusing on shorter‑term Treasury bonds, the fund offers lower risk than stocks or corporate bonds, making it an option for investors seeking stability with a lower tolerance for risk. It could be suitable for those who want to preserve their capital in the short term or who are concerned about market volatility.

Issuer details

iShares ETFs are issued and managed by BlackRock, the world’s largest asset management company.

With 800+ products globally and over $2trn in assets (as at June 2024), iShares ETFs are a flexible, low‑cost way for investors to gain exposure to various market segments, including fixed income, emerging markets and broad‑based indexes.

Index details

The US Treasury Bonds 1 – 3 Years index provides investors with targeted exposure to short‑term U.S. government debt, focusing on Treasury bonds with maturities ranging from 1 to 3 years. By concentrating on this short‑duration segment of the Treasury market, the index offers a low‑risk investment option with reduced sensitivity to interest rate changes.