iShares iBonds 2027 Term High Yield and Income ETF

IBHG

Market cap $500M

IBHG offers a 6% yield and is designed for bond ladder strategies, not as a long-term standalone investment. The ETF holds diversified high-yield corporate bonds maturing in 2027, reducing individual company risk. IBHG outperformed broad high-yield ETFs since its inception, with lower volatility.

iShares® iBonds® 2027 Term High Yield and Income ETF stands out by holding bonds maturing in 2027, minimizing interest-rate risk at termination—unlike many so-called 'term' funds. The IBHG ETF offers a 6.76% yield, focusing on high yield and BBB-rated bonds, with most holdings below BB, reflecting elevated credit risk. Compared to investment-grade and Treasury iBonds, IBHG delivers higher yield and positive alpha, but investors must weigh default risk, especially in economic downturns.