BlackRock shuts down IBHD ETF, unveils nine new long-term bond funds by 2026
BlackRock has closed its iBonds Dec 2024 Term High Yield and Income ETF (IBHD) after its final payout to investors. The fund, which focused on short-term bonds, officially ended operations last December. Now, the firm is preparing to launch nine new iBonds products with longer maturity dates by April 2026.
IBHD was designed as a 'buy-and-hold' fund, holding U.S. dollar-denominated bonds until their maturity. Its portfolio included high-yield and BBB-rated securities, all set to expire between January and December 2024. Unlike traditional bond ETFs, it did not continuously trade securities but instead converted maturing bonds into cash.
The fund stopped trading on December 16, 2024, and was fully liquidated three days later. After distributing the remaining capital to shareholders, BlackRock terminated its operations.
To replace and expand its iBonds range, the company will introduce nine new funds before the end of April 2026. These include Treasury funds maturing in 2036, 2046, and 2056, alongside a 2036 TIPS fund and a 2036 corporate bond fund. A high-yield fund maturing in 2033 and three municipal bond funds—due in 2032, 2033, and 2034—will also be available.
The closure of IBHD marks the end of a fund that followed a strict maturity-based strategy. With its nine upcoming iBonds products, BlackRock is shifting focus to longer-term bond investments. These new offerings will provide options across Treasuries, TIPS, corporate bonds, and municipal securities, all with extended maturity dates.
