Strategy. The Fund seeks to achieve its investment objective by investing, under normal circumstances, at least 80% of its net assets in a portfolio of U.S. dollar-denominated investment-grade fixed-income securities. The Fund's reference benchmark is the Bloomberg U.S. 1-3 Year Government/Credit Bond Index, which measures the performance of U.S. dollar-denominated, government, government-related and corporate securities with remaining maturity between one and three years. The Fund primarily invests in investment-grade fixed-income securities that are rated BBB- or higher by S&P Global Ratings and/or Fitch Ratings, Inc. ( Fitch ), or Baa3 or higher by Moodys Investors Service, Inc. ( Moody's ), or, if unrated, determined by the Fund's management team to be of equivalent quality. The Fund primarily invests in fixed- and … Show more… The Fund seeks to achieve its investment objective by investing, under normal circumstances, at least 80% of its net assets in a portfolio of U.S. dollar-denominated investment-grade fixed-income securities. The Fund's reference benchmark is the Bloomberg U.S. 1-3 Year Government/Credit Bond Index, which measures the performance of U.S. dollar-denominated, government, government-related and corporate securities with remaining maturity between one and three years. The Fund primarily invests in investment-grade fixed-income securities that are rated BBB- or higher by S&P Global Ratings and/or Fitch Ratings, Inc. ( Fitch ), or Baa3 or higher by Moodys Investors Service, Inc. ( Moody's ), or, if unrated, determined by the Fund's management team to be of equivalent quality. The Fund primarily invests in fixed- and floating-rate securities of varying maturities, such as corporate and government bonds, agency securities, instruments of non-U.S. issuers, privately issued securities, asset-backed securities ( ABS ) and mortgage-backed securities ( MBS ), structured securities, municipal bonds, repurchase agreements, money market instruments and investment companies. The Fund invests in securities issued by financial institutions such as banks, broker-dealers and insurance companies. The Fund may enter into to-be-announced transactions ( TBA transactions ) on a regular basis with respect to the percentage of the portfolio (if any) that consists of mortgage-backed pass-through securities. BFA or its affiliates may advise the money market funds and investment companies in which the Fund may invest. Under normal circumstances, the effective duration of the Funds portfolio is expected to be three years or less, as calculated by the Funds management team. Effective duration is a measure of the Funds price sensitivity to changes in yields or interest rates; however, investors should be aware that effective duration is not an exact measurement and may not reliably predict a particular securitys price sensitivity to changes in yield or interest rates. The Fund may buy or sell options or futures on a security or an index of securities, or enter into credit default swaps and interest rate or foreign currency transactions, including swaps (collectively, commonly known as derivatives). The Fund may use derivatives to hedge its investments or to seek to enhance returns. The Fund is an actively managed exchange-traded fund ( ETF ) that does not seek to replicate the performance of a specified index. The Fund may have a higher degree of portfolio turnover than funds that seek to replicate the performance of an index. The Fund is not a money market fund and does not seek to maintain a stable net asset value of $1.00 per share. Please see the Funds Statement of Additional Information ( SAI ) for further information. The Fund may lend securities representing up to one-third of the value of the Fund's total assets (including the value of the collateral received). Show less