Why Invest in IUSB?

1. Diversification: One of the key benefits of investing in IUSB is diversification. It holds a wide variety of bonds across different sectors, which can help mitigate the risks associated with investing in a single bond or a narrow group of bonds.


2. Stable Income Generation: Bonds generally offer a predictable income stream through interest payments. As IUSB invests in a mix of bonds with varying yields, it can provide investors with a steady flow of income.


3. Lower Volatility: Compared to stocks, bonds tend to be less volatile, making IUSB an attractive option for conservative investors or those seeking to balance risk within their portfolios.


4. Accessibility and Liquidity: As an ETF, IUSB offers the flexibility of buying and selling on the stock market, just like individual stocks. This liquidity ensures that investors can enter or exit positions easily.

Risks to Consider

1. Interest Rate Risk: As with all bond investments, IUSB is subject to interest rate risk. If interest rates rise, the value of existing bonds may fall, which could impact the ETF’s performance.


2. Credit Risk: Although IUSB invests primarily in investment-grade bonds, there is still a level of credit risk. If the issuers of these bonds default, it can affect the ETF's returns.


3. Inflation Risk: Bonds can be sensitive to inflation. If inflation rises significantly, the real value of the interest payments and principal repayment could diminish.

Conclusion