Schwab US Aggregate Bond ETF (SCHZ)

FINANCE: GENERAL FINANCE

Schwab U.S. Aggregate Bond ETF is an exchange-traded Index Fund or Index ETF which is a separate investment portfolio of the Schwab Strategic Trust. an open-end investment management company. The Schwab U.S. Aggregate Bond ETF seeks investment results that track, as closely as possible, before fees and expenses, the total return of the Barclays Capital U.S. Aggregate Bond Index. The Barclays Capital U.S. Aggregate Bond Index is a broad based benchmark measuring the performance of the U.S. investment grade, taxable bond market, including U.S. Treasuries, government-related and corporate bonds, mortgage pass-through securities, commercial mortgage-backed securities and asset-backed securities that are publicly available for sale in the United States. To be eligible for inclusion in the Index, securities must be fixed rate, non-convertible, U.S. dollar denominated with at least $250 million or more of outstanding face value and have one or more years remaining to maturity. The Index excludes certain types of securities, including state and local government series bonds, structured notes embedded with swaps or other special features, private placements, floating rate securities, inflation linked bonds and Eurobonds. The Index is market capitalization weighted and the securities in the Index are updated on the last business day of each month. As of June 1, 2011, there were approximately 8,000 securities in the Index.