MBB

📎 Investment Objective

The iShares MBS ETF (MBB) seeks to track the investment results of an index composed of investment-grade mortgage-backed pass-through securities issued and/or guaranteed by U.S. government agencies.

✨ Key Features

• Provides broad exposure to the U.S. agency mortgage-backed securities market
• Tracks the Bloomberg U.S. MBS Index, which includes agency mortgage-backed pass-through securities
• Low expense ratio of 0.00%
• Suitable for investors seeking exposure to the U.S. agency mortgage-backed securities market

⚠️ Primary Risks

• Interest rate risk: The value of the ETF's holdings may decline due to increases in interest rates
• Prepayment risk: Mortgage-backed securities are subject to prepayment risk, which can reduce the potential for price appreciation
• Credit risk: The ETF is exposed to the credit risk of the U.S. government agencies that issue or guarantee the mortgage-backed securities
• Liquidity risk: The ETF may experience lower liquidity in the mortgage-backed securities market

👤 Best For

The iShares MBS ETF may be suitable for investors seeking exposure to the U.S. agency mortgage-backed securities market as part of a diversified fixed-income portfolio. It may be particularly attractive for investors with a moderate risk tolerance who are looking for a low-cost, passively managed option for this asset class.