BSCQ is a defined-maturity product that bundles U.S. dollar-denominated investment-grade corporate bonds maturing in 2026 into a single ETF. Unlike a typical bond ETF, the fund is liquidated around December 15, 2026, returning principal and accumulated interest to investors.

It is well suited to investors who need a lump sum in 2026 and to conservative investors pursuing a bond ladder strategy.

Launched by Invesco in 2013, it is a passively managed ETF that tracks an index.

The fund pools investment-grade corporate bonds maturing in 2026 and returns principal and interest to investors in a lump sum at maturity, implementing a bond ladder strategy in ETF form. Its low expense ratio makes it cost-efficient.

• Automatic liquidation at maturity delivers predictable cash flow without having to select individual bonds
• Investment-grade credit quality centered on high-quality issuers such as Wells Fargo and Microsoft
• An expense ratio below the average of its peer category keeps operating costs to a minimum

Assets under management (AUM) stand at $3.0B, and the expense ratio is 0.10% per year.

BSCQ is the 2026 vintage of Invesco's BulletShares series, offering investment-grade corporate bonds with maturities concentrated in that year in a single product. While typical bond ETFs are continuously rebalanced and have no fixed maturity, BSCQ liquidates in December 2026 and distributes principal and final interest in a lump sum. The comparison funds LQD and USIG are open-ended investment-grade bond ETFs with no maturity date, aimed at long-term interest income rather than a bond ladder strategy. HYG, USHY and SPHY are in the high-yield space and therefore carry higher credit risk. BSCQ is a suitable tool for investors who need funds at a specific point in time and want to build a ladder alongside LQD and USIG.

In an environment of heightened short-term interest rate volatility, defined-maturity ETFs continue to attract demand from investors who want to limit interest rate risk and seek predictable returns. Interest linked to funding needs is rising in particular as the 2026 maturity approaches.

As the 2026 maturity draws closer, duration shortens and interest rate sensitivity declines. Investors tend to show interest in BSCQ as an alternative to short-term bonds, and demand for building bond ladder strategies continues to flow in.

BSCQ is a defined-maturity ETF that lets conservative investors who need principal repaid at a specific point in 2026 diversify across investment-grade corporate bonds without buying bonds directly.

Beyond BSCQ, the BulletShares series includes various vintages, such as BSCR maturing in 2027 and BSCS maturing in 2028, allowing you to build a bond ladder. The open-ended investment-grade ETFs LQD and USIG are alternatives if your goal is ongoing interest income. If you want exposure to the high-yield segment, you can compare USHY, HYG and SPHY.

BSCQ is a defined-maturity bond ETF for conservative investors who need principal repaid in 2026. If you are interested in a bond ladder strategy, review the items below first before deciding whether to invest.

If short-term interest rates rise, mark-to-market losses may occur before maturity, and there is the burden of having to decide where to reinvest after liquidation. Liquidity is better than that of individual bonds, but yields are lower than those of high-yield ETFs.

BSCQ is a practical vehicle for investors who need funds in 2026 and want to diversify across investment-grade corporate bonds without selecting individual bonds. It is useful for implementing a bond ladder strategy through an ETF, but it is advisable to prepare a reinvestment plan in advance for after liquidation.