IShares Edge U.S. Fixed Income Balanced Risk ETF FIBR is a decent fund employing a novel process, but it is unlikely to provide attractive risk-adjusted performance relative to the Bloomberg Barclays U.S. Universal Bond Index, the intermediate core-plus bond Morningstar Category benchmark. Its pursuit of a balanced amount of exposure to interest-rate and credit risk engenders greater exposure to credit risk, making it more vulnerable to large drawdowns and more likely to exhibit higher amounts of volatility. The fund earns a Morningstar Analyst Rating of Neutral.
Will FIBR outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable FIBR’s performance objective and investment process is for both security selection and portfolio construction.
The People Pillar is our evaluation of the FIBR management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
The Parent Pillar is our rating of FIBR’s parent organization’s priorities and whether they’re in line with investors’ interests.