The Bradesco IMA-B 5 ETF (B5MB11) is a Brazilian exchange-traded fund designed to track the performance of the IMA-B 5 Index, a Brazilian fixed-income benchmark that measures a portfolio of inflation-linked federal government bonds (Tesouro IPCA+, formerly known as NTN-Bs) with remaining maturities of up to five years. Managed by Banco Bradesco S.A., the ETF trades on the B3 and provides investors with efficient access to Brazil's inflation-linked sovereign bond market.

Classified as a fixed-income ETF, B5MB11 follows a passive management strategy. The fund seeks to replicate the performance of the IMA-B 5 Index by investing primarily in Brazilian Treasury securities indexed to the IPCA, Brazil's official inflation index.

The underlying index is maintained by ANBIMA and consists of inflation-linked government bonds with shorter durations than the broader IMA-B Index, making the ETF generally less sensitive to interest-rate fluctuations while still providing inflation protection.

Composition / Exposure Profile

B5MB11 provides exposure primarily to:

• Brazilian inflation-linked government bonds (Tesouro IPCA+ / NTN-Bs).

• Securities with remaining maturities of up to five years.

• Brazilian sovereign fixed-income securities.

• Inflation-protected investments.

• The domestic government bond market.

The ETF is designed to provide investors with exposure to short- and medium-term inflation-linked bonds issued by the Brazilian National Treasury. Compared with longer-duration inflation-linked bond portfolios, the underlying index generally exhibits lower interest-rate sensitivity while maintaining exposure to changes in Brazil's inflation environment.

As a result, the fund's performance is primarily influenced by movements in real interest rates, inflation expectations, monetary policy decisions, and broader conditions in Brazil's sovereign fixed-income market.

Structure and Costs

B5MB11 shares trade on the secondary market on the B3 during regular trading hours. Share creation and redemption are carried out by authorized participants, helping to keep the ETF's market price aligned with its net asset value (NAV).

The fund charges a management fee, in addition to the operational expenses associated with maintaining and replicating the underlying index.

B5MB11 does not charge a performance fee and does not make recurring income distributions. Interest income and other proceeds generated by the portfolio are automatically reflected in the fund's net asset value. The ETF has an indefinite term.

History and Evolution of the ETF

The Bradesco IMA-B 5 ETF was launched to provide Brazilian investors with convenient access to a diversified portfolio of short- and medium-term inflation-linked government bonds through the Brazilian stock exchange.

Since its inception, B5MB11 has become part of the expanding range of fixed-income ETFs available on the B3, reflecting growing demand for exchange-traded solutions that combine inflation protection with relatively lower duration risk. 

Over time, the fund's performance has closely tracked the Brazilian inflation-linked bond market, primarily influenced by changes in real interest rates, inflation expectations, monetary policy, and the broader macroeconomic environment.

Additional Information

Bradesco IMA-B 5 ETF (Brazil) is an exchange-traded fund (ETF), with assets under management totaling $849.79 million.

Over the past 12 months, Bradesco IMA-B 5 ETF recorded a return of 10.57%, with its price trading between $119.89 and $134.39 during the same period.

The ETF is traded under the ticker B5MB11.