| Investment Objective: |
iShares Broad USD Floating Rate Loan ETF seeks to track the investment results of an index composed of U.S. dollar- denominated leveraged loans. The Fund seeks to track the investment results of the Morningstar LSTA US Leveraged Loan Broad Select Index (the "Underlying Index"), which was developed by Morningstar, Inc. ("Morningstar" or the "Index Provider"). The Underlying Index is a market value- weighted index designed to measure the performance of a subset of the U.S. dollar-denominated, senior secured institutional floating rate loan market. Floating rate loans, which are also known as leveraged loans or bank loans, provide for periodic adjustment in the interest rate paid on the loan and are typically senior secured, below- investment grade instruments. These loans are characterized by higher interest rates due to the increased risk associated with lending to borrowers with higher debt levels. They are often used for refinancing debt, merger and acquisitions funding, or recapitalization. Such loans typically are secured by collateral such as borrowers' property, equipment or intellectual property. Borrowers of floating rate loans operate in various industries and geographic areas, including non-U.S. jurisdictions. |
