iShares, the exchange-traded funds business of the US asset management giant BlackRock, has launched a short-dated sterling-denominated corporate bond ETF, in what it calls a “world first.”

The iShares Markit iBoxx £ Corporate Bond 1-5 is designed to track the Markit iBoxx GBP Corporate 1-5 Index, giving investors exposure to investment grade, sterling-denominated corporate bonds with a maturity of between one and five years. Through this type of ETF investors can decrease the overall duration of their fixed income portfolio in a rising yield environment, as shorter maturity corporate bonds are generally less sensitive to changes in yields, the firm said in a statement.

“It [the new ETF] complements our existing iShares Markit iBoxx £ Corporate Bond ex-Financials and iShares Markit iBoxx £ Corporate Bond funds, and means we can offer investors a choice of exposures when they look at investing in sterling corporate bonds,” said Axel Lomholt, head of product development for iShares EMEA.

iShares said it has been busily expanding its European fixed income range of late in response to heightened client demand for more nuanced and specific exposure the asset class. This part of the firm’s range currently numbers 42 vehicles.