iShares iBonds Dec 2027 Term Treasury ETF (IBTH US) - Portfolio Construction Methodology

Core Viewpoint - The iShares iBonds Dec 2027 Term Treasury ETF (IBTH US) is designed to provide exposure to a rules-based basket of U.S. Treasury securities maturing in 2027, focusing on fixed-rate, non-inflation-linked Treasuries while excluding other types of securities [1] Group 1: Portfolio Construction Methodology - The underlying index, ICE 2027 Maturity US Treasury Index, includes only USD-denominated, fixed-rate Treasuries, excluding TIPS, STRIPS, floaters, and perpetuals [1] - Constituents of the index are market-value weighted and are updated on a monthly basis, with new qualifying issues entering at month-end and maturities being removed at the same time [1] - Cash flows from coupons, redemptions, and calls are reinvested in short-dated U.S. Treasury bills until the next rebalance, with a focus on aligning cash-flow timing with the defined-maturity objective [1] - The index is set to terminate on December 31, 2027, to minimize off-benchmark drift as the maturity date approaches [1]