Atlanta-based Cahaba Wealth Management increased its holding in the iShares Core 1-5 Year USD Bond ETF (ISTB) by 66,931 shares in the fourth quarter, totaling 1.06 million shares valued at $51.90 million post-transaction. The fund reported a $3.27 million trade value based on quarterly average pricing. ISTB represents 3.61% of Cahaba’s reportable AUM, alongside top holdings like IVV, UBND, and IXUS. The ETF, with a price of $48.79, offers exposure to short-term U.S. investment-grade bonds, providing a competitive yield and low-cost structure for investors seeking income and capital preservation.

Cahaba’s strategic move to add more exposure to short-duration bonds within its portfolio indicates a risk-rebalancing effort without sacrificing flexibility. ISTB, with nearly 7,000 investment-grade bonds, an effective duration of 2.6 years, and a 30-day SEC yield of about 3.95%, serves as a reliable option for investors looking to earn returns while limiting interest-rate risk. This deliberate adjustment signifies a focus on stability rather than chasing high-flying stocks, positioning ISTB as a ballast in the portfolio.

Read more at Nasdaq.: Why a $3 Million Bond ETF Buy Signals a Shift Toward Short Duration Safety