BSMQ vs IBMQ

BSMQCInvesco BulletShares 2026 Municipal Bond ETF

IBMQAiShares iBonds Dec 2028 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.

IBMQ A muni ladder rung in ETF form: thousands of investment-grade bonds that mature or get called by late 2028, then the fund winds up and pays out. AMT-free index, income paid monthly.

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.

IBMQ The fund seeks to track an index of investment-grade U.S. municipal bonds that are expected to mature or be redeemed before December 2, 2028.

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

• IBMQ Acts like a single bond with a known end date: it holds munis maturing or redeemed before December 2, 2028, then terminates and distributes net assets.ishares.com
• Spreads one ladder rung across thousands of investment-grade municipal bonds, far more than a retail buyer could assemble directly, and pays monthly.
• The tracked index is AMT-free, screening out bonds whose interest counts toward the alternative minimum tax.
• Costs 0.10% a year, in line with the typical target-maturity bond fund, and this 2028 rung has been running since 2019.

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%.

• IBMQ Callable-adjusted by design: munis can be redeemed early, so cash can come back ahead of schedule and the final wind-up payout is not a fixed number.
• Until it terminates it trades like any bond fund, with prices moving on rates, and volume is moderate rather than heavy.
• Same 0.10% as corporate rungs like IBDU and BSCT, while Treasury rungs such as IBTJ run cheaper at 0.07%; the muni tax treatment is the reason to pay it.

Full BSMQ profile⁠

Full IBMQ profile⁠