When the fund reaches its maturity date, investors receive the value (NAV) of their units, and the fund will be terminated. Investors will have the option to roll the proceeds into a new five-year Defined Income Bond ETF.

Betashares Defined Income ETFs can be used to:

• Generate stable income with predictable monthly payments.

• Plan for future cash flow needs with a clear maturity date.

• Diversify fixed income exposure across different maturities by building a bond ladder.

• Manage interest rate risk by selecting a maturity that aligns with your investment goals.

From April 2025, ASIC introduced a number of changes to ETF naming conventions. While these funds are not actively managed in the sense that they are buying and selling bonds to generate outperformance of a benchmark, they do not track an index like a traditional ETF. As such, these funds are labelled ‘active’.

You have the flexibility to sell your investment on the ASX at any time before the fund matures. The price you receive will depend on prevailing market conditions, and may be higher or lower than what you would receive if you held the ETF to maturity.

• Income focused investors looking for regular, stable cash flow

• Retirees or pre-retirees planning over a specific time horizon

• Advisers managing client income portfolios with predictability in mind

• Investors looking to complement or replace traditional term-based strategies