The vast majority (98 per cent) of iShares exchange traded funds (ETFs) will not pay capital gains distributions to investors this year, according to the BlackRock-owned ETF sponsor.

Of the company’s 280 ETFs just five will distribute capital gains for 2012 – the iShares Barclays GNMA Bond Fund, the iShares Financials Sector Bond Fund, the iShares Core Total US Bond Market ETF, the iShares Barclays MBS Bond Fund, and the iShares iBoxx $ Investment Grade Corporate Bond Fund.

Of those five, the iShares Core Total US Bond Market ETF is estimated to play the largest distribution, between 39 and 49 cent per share, while the iShares iBoxx $ Investment Grade Corporate Bond Fund will pay no more than one cent per share.