The iShares 1-5 Year Investment Grade Corporate Bond ETF (IGSB) is an exchange-traded fund designed to track the performance of short-term investment-grade corporate bonds issued by U.S. companies. The ETF is managed by BlackRock through its iShares platform and trades under the ticker IGSB on the Nasdaq.

Classified as a fixed-income ETF, the fund provides exposure to high-credit-quality corporate bonds with maturities ranging from one to five years. This approach seeks to balance income generation with lower interest-rate sensitivity than longer-duration bond strategies.

The ETF follows a passive management approach and seeks to replicate the performance of the ICE 1-5 Year US Corporate Index, a benchmark composed of U.S. dollar-denominated investment-grade corporate bonds.

Diversification and sector exposure

IGSB provides exposure primarily associated with:

• Investment-grade corporate bonds.

• U.S. corporate credit.

• High-credit-quality issuers.

• Financial services.

• Industrials.

• Healthcare.

• Consumer sectors.

• Short-term fixed income.

The portfolio includes hundreds of corporate bond issues across multiple industries, helping diversify issuer-specific credit risk while providing broad exposure to the investment-grade corporate bond market.

The ETF’s performance is closely tied to conditions in the U.S. corporate credit market, including interest-rate movements, credit-spread trends, and expectations for economic growth.

Structure and costs

IGSB shares trade on the secondary market on the Nasdaq during regular trading hours. Share creation and redemption occur through authorized participants, a mechanism intended to help align the ETF’s market price with its net asset value (NAV).

The fund carries a relatively low expense ratio, consistent with many iShares fixed-income products, and does not apply a performance fee. Interest payments generated by the underlying bond holdings may be distributed periodically to shareholders according to the fund’s distribution policy.

History and evolution of the ETF

The iShares 1-5 Year Investment Grade Corporate Bond ETF was launched in 2007 with the objective of providing efficient access to the U.S. short-term investment-grade corporate bond market.

Since inception, the fund has served as a vehicle for investors seeking corporate-credit exposure while maintaining lower sensitivity to interest-rate fluctuations than longer-duration bond funds.

In recent years, the ETF has reflected changing monetary-policy cycles and economic conditions in the United States, tracking developments in corporate-bond yields, credit markets, and expectations for U.S. economic growth.

Additional Information

iShares 1-5 Year Investment Grade Corporate Bond ETF (United States) is an exchange-traded fund (ETF), with assets under management totaling $22.17 billion.

Over the past 12 months, iShares 1-5 Year Investment Grade Corporate Bond ETF recorded a return of 4.01%, with its price trading between $52.04 and $53.23 during the same period.

The ETF is traded under the ticker IGSB.