The iShares Global Defense ETF (BDEF11) is a Brazilian exchange-traded fund designed to provide exposure to leading companies operating in the global defense, aerospace, and security industries. Managed by BlackRock through its iShares platform, the ETF trades on the B3 and gives Brazilian investors indirect access to an international portfolio of companies involved in defense technologies and national security.

Classified as an international thematic equity ETF, BDEF11 follows a passive management strategy. Rather than investing directly in individual stocks, the fund primarily invests in shares of an underlying international ETF that tracks a global defense-related index.

The underlying portfolio consists of companies engaged in defense equipment manufacturing, aerospace systems, military technologies, cybersecurity, intelligence, and other security-related activities. Constituents are selected and weighted according to the methodology of the benchmark index, with periodic rebalancing to maintain accurate representation of the sector.

Composition / Exposure Profile

BDEF11 provides exposure primarily to:

• Global aerospace and defense companies.

• Defense equipment manufacturers.

• Military technology providers.

• Security and intelligence businesses.

• Aerospace engineering companies.

• International thematic equity markets.

The ETF seeks to capture the performance of companies that play a strategic role in global defense and security. Holdings typically include businesses involved in military aircraft, naval systems, missile technology, communications, surveillance, cybersecurity, and other advanced defense solutions.

Because of its sector-specific focus, the fund's performance is influenced by geopolitical developments, government defense spending, military modernization programs, aerospace demand, technological innovation, and broader conditions across global equity markets.

Structure and Costs

BDEF11 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 fees and operating expenses associated with the underlying international ETF in which it invests.

BDEF11 does not charge a performance fee and does not make recurring income distributions. Dividends and other proceeds generated by the underlying investments are automatically reinvested into the fund. The ETF has an indefinite term.

History and Evolution of the ETF

The iShares Global Defense ETF was launched to provide Brazilian investors with convenient access to the global defense and aerospace industry through the Brazilian stock exchange using an international ETF structure.

Since its inception, BDEF11 has expanded the range of thematic international ETFs available on the B3, reflecting growing investor interest in sectors associated with national security, defense innovation, and geopolitical developments. 

Over time, the fund's performance has mirrored the global defense industry, influenced by government procurement programs, international security policies, military spending trends, technological advancements, and macroeconomic conditions affecting global financial markets.

Additional Information

iShares Global Defense ETF (Brazil) is an exchange-traded fund (ETF), with assets under management totaling $133.41 million.

Over the past 12 months, iShares Global Defense ETF recorded a return of 15.34%, with its price trading between $138.94 and $188.12 during the same period.

The ETF is traded under the ticker BDEF11.