BAI vs. TLT

Last updated Aug 1, 2026

BAI (iShares A.I. Innovation and Tech Active ETF) and TLT (iShares 20+ Year Treasury Bond ETF) are both exchange-traded funds - BAI is a Technology Equities fund actively managed by iShares, while TLT is a Government Bonds fund tracking the ICE U.S. Treasury 20+ Year Bond Index. BAI is actively managed, while TLT is passively managed. Over the past year, BAI returned 38.36% vs -2.45% for TLT. Their 0.09 correlation means their historical movements had little consistent relationship. BAI charges 0.55%/yr vs 0.15%/yr for TLT.

Performance

BAI vs. TLT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares A.I. Innovation and Tech Active ETF (BAI) and iShares 20+ Year Treasury Bond ETF (TLT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BAI achieves a 24.14% return, which is significantly higher than TLT's -3.49% return.

BAI

• 1D: 0.63%
• 1M: -12.04%
• 6M: 19.93%
• YTD: 24.14%
• 1Y: 38.36%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 34.60%

TLT

• 1D: -0.66%
• 1M: -3.81%
• 6M: -3.46%
• YTD: -3.49%
• 1Y: -2.45%
• 3Y*: -1.80%
• 5Y*: -8.18%
• 10Y*: -2.38%
• ALL TIME*: 3.47%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
BAI iShares A.I. Innovation and Tech Active ETF	$167.58M	$166.96M	$208.62M
TLT iShares 20+ Year Treasury Bond ETF	$2.33B	$2.02B	$2.19B

BAI vs. TLT - Yearly Performance Comparison

	2026 (YTD)	2025	2024
BAI iShares A.I. Innovation and Tech Active ETF	24.14%	25.22%	8.89%
TLT iShares 20+ Year Treasury Bond ETF	-3.49%	4.25%	-4.29%

Correlation

The correlation between BAI and TLT is 0.14, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.14
Correlation (All Time) Calculated using the full available price history since Oct 22, 2024	0.09

Return for Risk

BAI vs. TLT — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

BAI

BAI Risk / Return Rank: 35
BAI Sharpe Ratio Rank: 33
BAI Sortino Ratio Rank: 34
BAI Omega Ratio Rank: 35
BAI Calmar Ratio Rank: 34
BAI Martin Ratio Rank: 39

TLT

TLT Risk / Return Rank: 9
TLT Sharpe Ratio Rank: 9
TLT Sortino Ratio Rank: 8
TLT Omega Ratio Rank: 8
TLT Calmar Ratio Rank: 9
TLT Martin Ratio Rank: 9

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

BAI vs. TLT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares A.I. Innovation and Tech Active ETF (BAI) and iShares 20+ Year Treasury Bond ETF (TLT). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	BAI	TLT	Difference
Sharpe ratio: Return per unit of total volatility	0.82	-0.11	+0.93
Sortino ratio: Return per unit of downside risk	1.30	-0.10	+1.39
Omega ratio: Gain probability vs. loss probability	1.17	0.99	+0.18
Calmar ratio: Return relative to maximum drawdown	1.13	-0.14	+1.27
Martin ratio: Return relative to average drawdown	4.19	-0.30	+4.49

BAI vs. TLT - Sharpe Ratio Comparison

The current BAI Sharpe Ratio is 0.82, which is higher than the TLT Sharpe Ratio of -0.11. The chart below compares the historical Sharpe Ratios of BAI and TLT, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

BAI vs. TLT - Drawdown Comparison

The maximum BAI drawdown since its inception was -34.09%, smaller than the maximum TLT drawdown of -48.35%. Use the drawdown chart below to compare losses from any high point for BAI and TLT.

Drawdown Indicators

	BAI	TLT	Difference
Max Drawdown Largest peak-to-trough decline	-34.09%	-48.35%	+14.26%
Max Drawdown (1Y) Largest decline over 1 year	-30.85%	-7.74%	-23.11%
Max Drawdown (3Y) Largest decline over 3 years	—	-14.79%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-43.70%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-48.35%	—
Current Drawdown Current decline from peak	-23.77%	-42.36%	+18.59%
Average Drawdown Average peak-to-trough decline	-7.42%	-13.99%	+6.57%
Ulcer Index Depth and duration of drawdowns from previous peaks	8.33%	3.57%	+4.76%

Volatility

BAI vs. TLT - Volatility Comparison

iShares A.I. Innovation and Tech Active ETF (BAI) has a higher volatility of 19.15% compared to iShares 20+ Year Treasury Bond ETF (TLT) at 2.46%. This indicates that BAI's price experiences larger fluctuations and is considered to be riskier than TLT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BAI	TLT	Difference
Volatility (1M) Calculated over the trailing 1-month period	19.15%	2.46%	+16.69%
Volatility (6M) Calculated over the trailing 6-month period	37.57%	6.85%	+30.72%
Volatility (1Y) Calculated over the trailing 1-year period	42.83%	9.32%	+33.51%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	39.75%	15.74%	+24.01%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	39.75%	14.83%	+24.92%

BAI vs. TLT - Expense Ratio Comparison

BAI has a 0.55% expense ratio, which is higher than TLT's 0.15% expense ratio.

Dividends

BAI vs. TLT - Dividend Comparison

BAI's dividend yield for the trailing twelve months is around 1.44%, less than TLT's 4.75% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BAI iShares A.I. Innovation and Tech Active ETF	1.44%	1.80%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
TLT iShares 20+ Year Treasury Bond ETF	4.34%	4.43%	4.30%	3.38%	2.67%	1.50%	1.50%	2.27%	2.63%	2.43%	2.60%	2.61%

Frequently Asked Questions

Can I hold both BAI and TLT in my portfolio?

BAI and TLT have a correlation of 0.14, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BAI or TLT?

BAI has higher volatility (19.15%) compared to TLT (2.46%). In terms of maximum drawdown, BAI dropped -34.09% vs TLT's -48.35%.

Which ETF is better, BAI or TLT?

On 1-year performance, BAI leads with 38.36% vs -2.45% for TLT. On fees, TLT is cheaper at 0.15% per year. On volatility, TLT has been the lower-risk option at 2.46%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BAI or TLT?

Over the 1-year period, BAI has performed better with a 38.36% return vs -2.45%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BAI or TLT?

TLT is cheaper with a 0.15% expense ratio, compared with 0.55% for BAI.

Which ETF pays a higher dividend yield, BAI or TLT?

TLT has the higher dividend yield at 4.34%, compared with 1.44% for BAI.

What is the main difference between BAI and TLT?

BAI is categorized as Technology Equities, while TLT is Government Bonds. Their fees differ too: 0.55% for BAI and 0.15% for TLT.

Which has better risk-adjusted returns?

BAI currently has the higher Sharpe Ratio (0.82 vs -0.11), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.