Simplify fixed income investing with BulletShares® ETFs

Create income potential when you need it with our defined maturity ETFs

Simplify fixed income investing with Bulletshares corporate bond and high yield corporate bond portfolios.

Simplify fixed income investing with BulletShares ETFs

Create income potential when you need it with our defined maturity ETFs

What are BulletShares ETFs?

A suite of defined maturity bond ETFs that can provide cash flow, the flexibility to customize maturities and the transparency to know what you own. Each BulletShares ETF matures in the stated year of the fund and returns its net assets to shareholders.

BulletShares High Yield Corporate Bond Portfolios

Total Expense Ratio: 0.42%

BulletShares Emerging Markets Debt Portfolios

Total Expense Ratio: 0.29%

BulletShares vs. Fixed Income Funds vs. Bonds

The BulletShares ETF suite combines the precision of individual bonds with the flexibility and cost efficiency of ETFs.

  BulletShares ETFs Traditional Fixed Income ETFs Traditional Fixed Income Mutual Funds Individual Bonds
Final Distribution at Maturity
Exchange-Traded Liquidity & Transparency
Precise Maturity Profile
Access/Ease of Use
Professional Portfolio Management
BulletShares ETFs
Final Distribution at Maturity
Exhanged-Traded Liquidity & Transparency
Precise Maturity Profile
Access/Ease of Use
Professional Portfolio Management
Traditional Fixed-Income ETFs
Exhanged-Traded Liquidity & Transparency
Access/Ease of Use
Professional Portfolio Management
Traditional Fixed-Income Mutual Funds
Access/Ease of Use
Professional Portfolio Management
Individual Bonds
Final Distribution at Maturity
Precise Maturity Profile

Professional portfolio management includes active and passively managed funds and ETFs. Actively managed funds and ETFs can make daily trades based on the decisions of portfolio managers, whereas passively managed funds monitor holdings and generally rebalance on a pre-determined frequency (i.e., on a monthly, quarterly, semi-annual or annual basis), as dictated by their underlying index or market segment. The characteristics described above represent general attributes of typical investments of the types indicated. Specific investments may have different characteristics. Please consult a prospectus.

Bonds generally present less short-term risk and volatility than stocks, the bond market is volatile and investing in bonds involves interest rate risk; as interest rates rise, bond prices usually fall, and vice versa. Bonds also entail issuer and counterparty credit risk, and the risk of default. Additionally, bonds generally involve greater inflation risk than stocks. Unlike individual bonds, bond funds have fees and expenses and most bond funds do not have a maturity date, so holding them until maturity to avoid losses caused by price volatility is not possible. Investors should talk with their advisors regarding their situation before investing.

BulletShares fixed income ETFs offer diversification and a high degree of flexibility, creating a convenient way to tailor fixed income allocations.

See how BulletShares impact fixed income scenarios

Simply select an ETF bond ladder scenario and adjust the weighting to view the effects on effective duration, yield to maturity and SEC yield when including BulletShares ETFs in a standard fixed income portfolio.

Choose your scenario:
Adjust ladder weight to compare with a standard fixed income portfolio:
as of 3/1/2019
Effective Duration
as of 3/1/2019 BulletShares SFI Portfolio   Change
BulletShares Standard fixed income portfolioSFI Portfolio Change
Effective Duration 5.81
Weighted Avg. Yield to Maturity
BulletShares Standard fixed income portfolioSFI Portfolio Change
Weighted Avg.
    Yield to Maturity
SEC 30-Day Yield
BulletShares Standard fixed income portfolioSFI Portfolio
SEC 30-Day Yield NA
Use our ETF Bond Ladder tool to build a customized ladder for your clients
Important Scenario Information

SEC 30-Day yield only includes the BulletShares ETFs in the portfolio scenario and does not include the Bloomberg Barclays US Aggregate Index.

Effective Duration and Weighted Average Yield to Maturity are the weighted average of data represented in the portfolio scenario, which includes BulletShares ETFs and Bloomberg Barclay US Aggregate Index.

Source: Bloomberg and Barclays

The information illustrated in the scenarios above are hypothetical in nature, do not reflect actual investment results and are not guarantees of future results. These scenarios are for illustrative purposes only. The proposed scenarios were chosen because they are believed to be the most typical based on historical maturing bond ETF sales flows.

Barclay’s U.S. Aggregate Index is an unmanaged index considered representative of the US investment-grade, fixed-rate bond market. Index returns do not represent Fund returns. An investor cannot invest directly in an index. Index returns do not reflect any fees, expenses or sales charges.

View standardized performance. Performance quoted is past performance. Past performance is not a guarantee of future results; current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost. View to find the most recent month-end performance numbers. Market returns are based on the midpoint of the bid/ask spread at 4 p.m. ET and do not represent the returns an investor would receive if shares were traded at other times. Fund performance reflects fee waivers, absent which, performance data quoted would have been lower.

Create a Report

Bonds are selected according to credit quality and maturity date. Simplify fixed income with Invesco BulletShares

Review a more detailed report on the BulletShares component of this portfolio including YTW and holdings (#).

Please note: the report covers the selected scenario with a 100% allocation to BulletShares and does not include any allocation for standard fixed income.

Thank you for downloading this report. Call 877-855-8745 for more information.

Risk & Other Disclosures

ETFs disclose their full portfolio holdings daily.

Since ordinary brokerage commissions apply for each buy and sell transaction, frequent trading activity may increase the cost of ETFs.

Diversification does not guarantee a profit or eliminate the risk of loss.

Duration is a measure of the sensitivity of the price -- the value of principal -- of a fixed-income investment to a change in interest rates. Duration is expressed as a number of years.

The funds do not seek any predetermined amount at maturity, and the amount an investor receives may be worth more or less than the original investment. In contrast, when an individual bond matures, an investor typically receives the bond’s par (or face value).

About Risk:
BulletShares ETFs

There are risks involved with investing in ETFs, including possible loss of money. Shares are not actively managed and are subject to risks similar to those of stocks, including those regarding short selling and margin maintenance requirements. Ordinary brokerage commissions apply. The funds’ return may not match the return of the underlying index. The funds are subject to certain other risks. Please see the current prospectus for more information regarding the risk associated with an investment in the funds.

Investments focused in a particular sector are subject to greater risk, and are more greatly impacted by market volatility, than more diversified investments.

The funds are non-diversified and may experience greater volatility than a more diversified investment.

Interest rate risk refers to the risk that bond prices generally fall as interest rates rise and vice versa.

During the final year of the funds’ operations, as the bonds mature and the portfolio transitions to cash and cash equivalents, the funds’ yield will generally tend to move toward the yield of cash and cash equivalents and thus may be lower than the yields of the bonds previously held by the funds and/or bonds in the market.

An issuer may be unable or unwilling to meet interest and/or principal payments, thereby causing its instruments to decrease in value and lowering the issuer’s credit rating.

The risks of investing in securities of foreign issuers can include fluctuations in foreign currencies, political and economic instability, and foreign taxation issues.

Income generated from the funds is based primarily on prevailing interest rates, which can vary widely over the short- and long-term. If interest rates drop, the funds’ income may drop as well. During periods of rising interest rates, an issuer may exercise its right to pay principal on an obligation later than expected, resulting in a decrease in the value of the obligation and in a decline in the funds’ income.

An issuer’s ability to prepay principal prior to maturity can limit the funds’ potential gains. Prepayments may require the funds to replace the loan or debt security with a lower yielding security, adversely affecting the funds’ yield.

The funds currently intend to effect creations and redemptions principally for cash, rather than principally in-kind because of the nature of the funds’ investments. As such, investments in the funds may be less tax efficient than investments in ETFs that create and redeem in-kind.

Unlike a direct investment in bonds, the funds’ income distributions will vary over time and the breakdown of returns between fund distributions and liquidation proceeds are not predictable at the time of investment. For example, at times the funds may make distributions at a greater (or lesser) rate than the coupon payments received, which will result in the funds returning a lesser (or greater) amount on liquidation than would otherwise be the case. The rate of fund distribution payments may affect the tax characterization of returns, and the amount received as liquidation proceeds upon fund termination may result in a gain or loss for tax purposes.

During periods of reduced market liquidity or in the absence of readily available market quotations for the holdings of the fund, the ability of the fund to value its holdings becomes more difficult and the judgment of the sub-adviser may play a greater role in the valuation of the fund’s holdings due to reduced availability of reliable objective pricing data.

The funds’ use of a representative sampling approach will result in its holding a smaller number of securities than are in the underlying Index, and may be subject to greater volatility.

BulletShares High Yield ETFs

The values of junk bonds fluctuate more than those of high quality bonds and can decline significantly over short time periods.

BulletShares Emerging Markets ETFs

Non-investment grade securities may be subject to greater price volatility due to specific corporate developments, interest-rate sensitivity, negative perceptions of the market, adverse economic and competitive industry conditions and decreased market liquidity.

The funds may invest in privately issued securities, including 144A securities which are restricted (i.e. not publicly traded). The liquidity market for Rule 144A securities may vary, as a result, delay or difficulty in selling such securities may result in a loss to the fund.

The funds may hold illiquid securities that it may be unable to sell at the preferred time or price and could lose its entire investment in such securities.

Government obligors in emerging market countries are among the world’s largest debtors to commercial banks, other governments, international financial organizations and other financial instruments. Issuers of sovereign debt or the governmental authorities that control repayment may be unable or unwilling to repay principal or interest when due, and the fund may have limited recourse in the event of default. Without debt holder approval, some governmental debtors may be able to reschedule or restructure their debt payments or declare moratoria on payments.

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