IBHH vs IBHI

IBHHAiShares iBonds 2028 Term High Yield and Income ETF

IBHIAiShares iBonds 2029 Term High Yield and Income ETF

In short

IBHH Bond ladders usually get built from investment-grade rungs. This is the high yield rung: junk and BBB corporates all maturing in 2028, with the fund itself winding up on or about December 15, 2028 and paying out what is left.

IBHI Bond ladders are usually an investment-grade game. IBHI takes the iBonds defined-maturity wrapper down into high yield: a basket of dollar-denominated junk and other income bonds that all mature in 2029, then the fund winds down and pays out.

Stated mandate

IBHH The fund seeks to track an index of high-yield and income-generating corporate bonds maturing in 2028. It is designed to provide income, support bond-ladder construction, and manage interest-rate risk through a defined maturity.

IBHI The fund seeks to track an index of U.S.-dollar-denominated, high-yield and other income-generating corporate bonds maturing in 2029.

Why people hold it

• IBHH Behaves like a bond more than a bond fund: it terminates on or about December 15, 2028 and distributes its remaining net assets, so the rung has a real end date.sec.gov
• Credit risk is spread over a couple hundred corporate bonds, and the index pulls from BBB-rated issuers as well as high yield, so it is not all deep junk.sec.gov
• Pays monthly, and every iBonds fund terminates in the year in its name, so stacking or rolling ladder rungs comes down to picking dates.ishares.com

• IBHI A maturity date on junk bonds: it tracks an index of U.S.-dollar high-yield and other income-generating corporates maturing in 2029, then terminates and distributes at term.ishares.com
• Roughly 400 bonds behind it, so one issuer stumbling is a dent rather than a hole in a corner of the market where stumbles are part of the deal.
• Sits on the same 2029 rung as investment-grade IBDU and Treasury IBTJ, so you can move credit risk up or down without touching the maturity date.
• Coupons land monthly rather than quarterly, which matters if the point of the ladder is spending the income.

Worth knowing

• IBHH Charges 0.35% a year against roughly 0.10% for the typical target-maturity bond ETF. Credit work costs more to run, but it is a standing drag.
• High yield carries genuine downgrade and default risk. The fund targets no predetermined amount at maturity, and losses are possible including near the termination date.sec.govishares.com
• In its final months the bonds mature into cash and cash-like instruments, and the fund's yield tends to move toward prevailing money market rates.ishares.com

• IBHI The credit risk is the point, and it cuts both ways: high-yield issuers can default, so the 2029 date sets the schedule, not what comes back.ishares.com
• 0.35% a year is above the typical target-maturity bond fund; the investment-grade neighbors IBDU and BSCT run 0.10%.
• Late in life it stops looking like a high-yield fund: as bonds mature, proceeds park in cash-like instruments until the fund closes and pays out.ishares.com

Full IBHH profile⁠

Full IBHI profile⁠