BSMQ vs IBMP

BSMQCInvesco BulletShares 2026 Municipal Bond ETF

IBMPAiShares iBonds Dec 2027 Term Muni Bond ETF

In short

BSMQ One rung of a muni ladder in a single ticker: roughly 1,200 investment-grade municipal bonds, monthly distributions, and a built-in end date, with the fund set to terminate on or about Dec. 15, 2026 and pay out its net assets in cash.

IBMP A single rung of a muni ladder in one ticker: investment-grade bonds that all mature in 2027, tax-exempt income paid monthly along the way, and a defined end date instead of a fund that rolls on forever.

Stated mandate

BSMQ The fund seeks to track the Invesco BulletShares Municipal Bond 2026 Index by investing at least 80% of total assets in its municipal bonds. The portfolio is designed to mature in 2026 and terminate around December 15, 2026.

IBMP The fund seeks to track an index of investment-grade municipal bonds maturing in 2027. It is designed to provide tax-exempt income, support bond-ladder construction, and manage interest-rate risk through a defined maturity.

Why people hold it

• BSMQ It finishes like a bond. Invesco designed the portfolio to mature in 2026 and terminate on or about Dec. 15, 2026, paying shareholders a cash distribution of net assets.invesco.cominvesco.com 2
• Wide net for a dated rung: roughly 1,200 municipal bonds, sampled from the index rather than bought one by one, with fund and index rebalanced monthly.invesco.com
• The index holds investment-grade municipal debt whose interest is generally exempt from federal income tax, and BulletShares funds typically distribute monthly.invesco.cometfstrategy.com
• Duration falls as the termination date nears, so rate moves push the price around less late in the fund's life than early on.invesco.com

• IBMP Built to act like a bond, not a bond fund: the portfolio matures in 2027 and the whole design points at that date, which is what makes ladder-building possible with one trade.ishares.com
• 0.10% a year, right at the typical target-maturity bond fund, and it tracks an AMT-free index, so the tax-exempt income isn't pulled back in by the alternative minimum tax.
• Roughly 1,800 municipal bonds, so no single issuer carries the fund. That spread is hard to replicate buying individual munis one CUSIP at a time.
• Income lands monthly, and this 2027 rung has been running since 2019, so it isn't a fresh launch built for the moment.

Worth knowing

• BSMQ No set payout at the end. Invesco states the funds do not seek to return any predetermined amount at maturity, so the final cash distribution is whatever net assets are worth then.invesco.com
• In the last six months of the maturity year, bonds are expected to mature or be called and proceeds sit in cash or T-bills, so the muni profile fades before termination.invesco.com
• Fee is 0.18%, level with the target-maturity muni median, while the iShares iBonds muni rungs (IBMO, IBMP) list at 0.10%.

• IBMP The 0.10% fee is the category median, not a discount. Treasury and corporate rungs like IBTJ (0.07%) and VBCB (0.08%) cost less, though neither pays tax-exempt muni income.
• The tax exemption is the entire pitch, and it does no work inside an IRA or 401(k), where the income is already sheltered.
• Trading is moderate rather than heavy, so order size and timing matter more here than in the most heavily traded bond ETFs.

Full BSMQ profile⁠

Full IBMP profile⁠