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1: iShares ETFs are unique investment vehicles with distinct benefits

An iShares Exchange Traded Fund (ETF) is an investment vehicle which is constructed like a mutual fund but trades like an individual security on a stock exchange. ETFs provide investors with a variety of benefits including:

  • Low expenses: iShares expenses range from 9 to 75 basis points.
  • Tax efficiency: iShares ETFs typically have lower portfolio turnover and strive to minimize capital gains distributions so investors are only taxed when they initiate a trade.
  • Transparency: iShares ETFs disclose on a daily basis the exact holdings of the funds so you always understand precisely what you own and what you are paying for**.

2: iShares provide an innovative approach to building portfolios

Most ETFs are designed to track specific indexes. Indexes can be as broad as the Russell 3000 or as narrow as the FTSE/Xinhua China 25 and can represent a variety of exposures including fixed income, market capitalization, styles, global sectors, and countries. Building a portfolio using iShares ETFs can be made easier using the resources, strategies and tools available on iShares.com.

3: iShares Funds can be bought and sold through any broker and most trading platforms

iShares Funds are listed on the American Stock Exchange, NASDAQ, the Chicago Board Options Exchange, and NYSE ArcaSM, the same way as shares of a publicly held company. iShares ETFs can be traded anytime during normal trading hours, using all the trading strategies associated with stocks such as market orders, limit orders, stop orders, short sales and margin buying*.

If you want to learn more, go to Track 2: Understanding iShares ETFs

* With short sales, you risk paying more for a security than you received from its sale. There are special risks associated with margin investing. As with stocks, you may be called upon to deposit additional cash or securities if your account equity, including that which is attributable to iShares Funds, declines.

** Due to MSCI license restrictions holdings for MSCI benchmarked funds are updated monthly.

Carefully consider the funds' investment objectives, risk factors, and charges and expenses before investing. This and other information can be found in the funds' prospectuses, which may be obtained by calling 1-800-iShares or click here to view or download a prospectus. Read the prospectus carefully before investing.

Investing involves risk, including possible loss of principal.

Shares of the iShares Funds may be sold throughout the day on the exchange through any brokerage account. However, shares may only be redeemed directly from a Fund by Authorized Participants, in very large creation/redemption units.

Transactions in shares of the iShares Funds will result in brokerage commissions and will generate tax consequences. iShares Funds are obliged to distribute portfolio gains to shareholders.

The iShares Funds ("Funds") are distributed by SEI Investments Distribution Co. (SEI). Barclays Global Fund Advisors (BGFA) serves as the investment advisor to the Funds. BGFA is a subsidiary of Barclays Global Investors, N.A., a majority-owned subsidiary of Barclays Bank PLC, none of which is affiliated with SEI.

The iShares Funds are not sponsored, endorsed, issued, sold or promoted by Cohen & Steers Capital Management, Inc., Dow Jones & Company, Inc., European Public Real Estate Association ("EPRA®"), FTSE International Limited ("FTSE"), FTSE/Xinhua Index Limited ("FXI"), iBoxx®, J.P. Morgan Securities Inc., MSCI Inc., Morningstar Inc., The NASDAQ OMX Group, Inc., National Association of Real Estate Investment Trusts ("NAREIT"), New York Stock Exchange, Inc., Frank Russell Company, or Standard & Poor's, nor are they sponsored or endorsed by Barclays Capital. None of these companies make any representation regarding the advisability of investing in the Funds. Neither SEI nor Barclays Global Investors, nor any of their affiliates, are affiliated with the companies listed above except Barclays Capital, which is an affiliate of Barclays Global Investors.

FXI does not make any warranty regarding the FTSE/Xinhua Index. All rights in the FTSE/Xinhua index vest in FXI. Neither FTSE nor NAREIT makes any warranty regarding the FTSE NAREIT Real Estate 50/Residential/Retail/Mortgage REITs or Industrial/Office Index; all rights vest in NAREIT. Neither FTSE nor NAREIT makes any warranty regarding the FTSE EPRA/NAREIT Global Real Estate ex-US/North America/Europe/Asia Index; all rights vest in FTSE, NAREIT, and EPRA. All rights in the FTSE Developed Small Cap ex-North America Index vest in FTSE. "FTSE" is a trade- and servicemark of London Stock Exchange and The Financial Times Limited; "NAREIT®" is a trademark of NAREIT; "EPRA®" is a trademark of EPRA. "Xinhua" is a trade- and servicemark of Xinhua Financial Network Limited.


©2009 Barclays Global Investors, N.A. All rights reserved. iShares® is a registered trademark of Barclays Global Investors, N.A. All other trademarks, service marks or registered trademarks are the property of their respective owners.