Vanguard Intermediate-Term Bond ETF (BIV)

Profile

Vanguard Intermediate-Term Bond ETF is an exchange-traded fund that seeks to track the performance of the Bloomberg U.S. 5-10 Year Government/Credit Float Adjusted Index. This index comprises medium and larger issues of U.S. government bonds, investment-grade corporate bonds, and investment-grade international dollar-denominated bonds with maturities between 5 and 10 years that are publicly issued. The ETF employs a sampling process to select its investments, ensuring at least 80% of its assets are invested in bonds included in the index. Its portfolio features significant holdings in U.S. Treasury Notes, alongside corporate debt and agency securities, while avoiding high-risk junk bonds or floating-rate debt. With an average credit quality rated A and a duration of approximately 6.1 years, the fund offers moderate sensitivity to interest rate changes, making it suitable for investors seeking intermediate-term fixed income exposure. Vanguard Intermediate-Term Bond ETF plays a key role in providing cost-effective, diversified access to high-quality bond markets for portfolio diversification and income generation.