(36BD) iShares Development Bank - Ratings and Ratios

The iShares $ Development Bank Bonds UCITS ETF (Acc) (XETRA:36BD) is designed to track the FTSE World Broad Investment-Grade USD Multilateral Development Bank Bond Capped Index, providing investors with a total return that encompasses both capital appreciation and income, mirroring the performance of the underlying index.

The funds currency-hedged share classes utilize foreign exchange contracts to mitigate the effects of currency fluctuations between the funds underlying portfolio currencies and the valuation currency of the hedged share class, thereby reducing the impact of exchange rate volatility on returns for investors in those share classes.

By investing in this ETF, investors gain exposure to a diversified portfolio of bonds issued by multilateral development banks, which are typically considered to be high-quality, low-risk investments. The funds underlying index is comprised of USD-denominated bonds issued by institutions such as the World Bank, International Finance Corporation, and other similar entities.

Analyzing the technical data, the ETFs recent price action indicates a relatively stable trend, with a current price of 4.71. The short-term moving averages (SMA20: 4.66, SMA50: 4.77) suggest a potential bullish crossover, while the longer-term SMA200 (4.81) indicates a slightly bearish longer-term trend. The Average True Range (ATR) of 0.04 (0.87%) implies a relatively low level of price volatility.

Combining the technical analysis with fundamental data, the funds Assets Under Management (AUM) stand at 167.24M EUR, indicating a moderate level of investor interest. Given the ETFs investment objective and the current market conditions, a forecast for the funds performance can be made. Based on the technical indicators and the fundamental data, it is likely that the ETF will continue to track the performance of its underlying index, with potential for slight deviations due to tracking errors or other market factors. In the short term, the ETF may experience a slight uptick, driven by the bullish crossover indicated by the short-term moving averages. However, the longer-term bearish trend suggested by the SMA200 may cap the upside potential.

Forecast: In the next 3-6 months, the ETF is expected to trade between 4.80 and 5.00, driven by the performance of the underlying index and the overall trend in USD-denominated bond markets. A break above 5.03 (52W High) could signal further upside potential, while a decline below 4.58 (52W Low) may indicate a more significant correction.