ETF Shareholders to Receive Payout in December
BlackRock (NYSE:BLK) announced today that iShares® iBonds® Dec 2018 Term
Corporate ETF (NYSE: IBDH) will, by design, cease trading at the close
of U.S. market hours on December 17, 2018. Leading up to the final
distribution date, the individual bonds in the ETF mature and the fund
transitions into short-term, tax-exempt instruments and cash. Remaining
shareholders can expect to receive the entire amount of their proceeds
in cash on or after December 20, 2018, subject to their brokerage
The iShares iBonds Dec 2018 Term Corporate ETF will be the seventh
iShares Corporate ETF to have its underlying holdings mature. The first
in the series, the iShares iBonds Mar 2016 Corporate ex-Financials ETF,
closed in March 2016. There are fourteen additional iShares Corporate
ETFs in the series with end dates ranging from 2019 to 2028.
iShares iBonds Term Corporate Bond ETFs are designed to offer investors
exposure to investment results of an index composed of U.S.
dollar-denominated, investment-grade corporate bonds. Like a bond, each
fund has periodic distributions of income and a predetermined date when
the fund will close and distribute all proceeds out to shareholders.
BlackRock helps investors build better financial futures. As a fiduciary
to our clients, we provide the investment and technology solutions they
need when planning for their most important goals. As of June 30, 2018,
the firm managed approximately $6.3 trillion in assets on behalf of
iShares unlocks opportunity across markets to meet the evolving needs of
investors. With more than twenty years of experience, a global line-up
of 800+ exchange traded funds (ETFs) and $1.8 trillion in assets under
management as of June 30, 2018. iShares continues to drive progress for
the financial industry. iShares funds are powered by the expert
portfolio and risk management of BlackRock, trusted to manage more money
than any other investment firm1.
1 Based on $6.3 trillion in AUM as of 6/30/18
Investing involves risk, including possible loss of principal.
The iShares Funds are distributed by BlackRock Investments, LLC
(together with its affiliates, “BlackRock”).
Fixed income risks include interest-rate and credit risk. Typically,
when interest rates rise, there is a corresponding decline in bond
values. Credit risk refers to the possibility that the bond issuer will
not be able to make principal and interest payments.
Shares of ETFs trade at market price, which may be greater or less than
net asset value. The iShares® iBonds® ETFs (“Funds”) will terminate
within the month and year in each Fund’s name. An investment in the
Fund(s) is not guaranteed, and an investor may experience losses and/or
tax consequences, including near or at the termination date. In the
final months of each Fund’s operation, its portfolio will transition to
cash and cash-like instruments. As a result, its yield will tend to move
toward prevailing money market rates, and may be lower than the yields
of the bonds previously held by the Fund and lower than prevailing
yields in the bond market.
The iShares Funds are not sponsored, endorsed, issued, sold or promoted
by Barclays or Bloomberg Finance L.P., nor do these companies make any
representation regarding the advisability of investing in the Funds.
BlackRock is not affiliated with the companies listed above.
This article provided by NewsEdge.