Barclays Global Launches Two Bond ETFs

The iShares Barclays Agency Bond Fund (AGZ) is designed to track the Barclays Capital U.S. Agency Index, which measures the performance of the agency sector of the U.S. government bond market. The ETF is composed of investment-grade U.S. dollar-denominated debentures issued by government and government-related agencies, including Fannie Mae, includes both callable and non-callable agency securities that are publicly-issued by U.S. government agencies, quasi-federal corporations, and corporate and foreign debt guaranteed by the U.S. government. Its expense ratio is 0.20%. Each bond within the index must have a rating of at least BBB- by S&P’s, Baa3 by Moody’s, or BBB- by Fitch.