BCLO vs. TLT

Last updated Aug 2, 2026

BCLO (iShares BBB-B CLO Active ETF) and TLT (iShares 20+ Year Treasury Bond ETF) are both exchange-traded funds - BCLO is a CLO fund tracking the JP Morgan CLOIE High Quality Mezzanine Index, while TLT is a Government Bonds fund tracking the ICE U.S. Treasury 20+ Year Bond Index. Both are passively managed. Over the past year, BCLO returned 5.97% vs -2.45% for TLT. Their 0.01 correlation means their historical movements had little consistent relationship. BCLO charges 0.45%/yr vs 0.15%/yr for TLT.

Performance

BCLO vs. TLT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares BBB-B CLO Active ETF (BCLO) 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, BCLO achieves a 3.10% return, which is significantly higher than TLT's -3.49% return.

BCLO

• 1D: 0.09%
• 1M: 0.06%
• 6M: 2.26%
• YTD: 3.10%
• 1Y: 5.97%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 5.72%

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)
BCLO iShares BBB-B CLO Active ETF	$627.81K	$426.45K	$315.81K
TLT iShares 20+ Year Treasury Bond ETF	$2.33B	$2.02B	$2.19B

BCLO vs. TLT - Yearly Performance Comparison

	2026 (YTD)	2025
BCLO iShares BBB-B CLO Active ETF	3.10%	5.41%
TLT iShares 20+ Year Treasury Bond ETF	-3.49%	3.44%

Correlation

The correlation between BCLO and TLT is -0.01, meaning there was essentially no consistent relationship between their historical price movements. Each responded to its own set of market drivers.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	-0.01
Correlation (All Time) Calculated using the full available price history since Jan 30, 2025	0.01

Return for Risk

BCLO vs. TLT — Risk / Return Rank

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

BCLO

BCLO Risk / Return Rank: 91
BCLO Sharpe Ratio Rank: 96
BCLO Sortino Ratio Rank: 96
BCLO Omega Ratio Rank: 97
BCLO Calmar Ratio Rank: 83
BCLO Martin Ratio Rank: 83

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.

BCLO vs. TLT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares BBB-B CLO Active ETF (BCLO) 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.

	BCLO	TLT	Difference
Sharpe ratio: Return per unit of total volatility	2.89	-0.11	+3.00
Sortino ratio: Return per unit of downside risk	4.56	-0.10	+4.66
Omega ratio: Gain probability vs. loss probability	1.72	0.99	+0.73
Calmar ratio: Return relative to maximum drawdown	3.06	-0.14	+3.20
Martin ratio: Return relative to average drawdown	11.27	-0.30	+11.57

BCLO vs. TLT - Sharpe Ratio Comparison

The current BCLO Sharpe Ratio is 2.89, which is higher than the TLT Sharpe Ratio of -0.11. The chart below compares the historical Sharpe Ratios of BCLO 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

BCLO vs. TLT - Drawdown Comparison

The maximum BCLO drawdown since its inception was -4.45%, smaller than the maximum TLT drawdown of -48.35%. Use the drawdown chart below to compare losses from any high point for BCLO and TLT.

Drawdown Indicators

	BCLO	TLT	Difference
Max Drawdown Largest peak-to-trough decline	-4.45%	-48.35%	+43.90%
Max Drawdown (1Y) Largest decline over 1 year	-1.92%	-7.74%	+5.82%
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	-0.11%	-42.36%	+42.25%
Average Drawdown Average peak-to-trough decline	-0.37%	-13.99%	+13.62%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.52%	3.57%	-3.05%

Volatility

BCLO vs. TLT - Volatility Comparison

The current volatility for iShares BBB-B CLO Active ETF (BCLO) is 0.31%, while iShares 20+ Year Treasury Bond ETF (TLT) has a volatility of 2.46%. This indicates that BCLO experiences smaller price fluctuations and is considered to be less risky than TLT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BCLO	TLT	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.31%	2.46%	-2.15%
Volatility (6M) Calculated over the trailing 6-month period	1.63%	6.85%	-5.22%
Volatility (1Y) Calculated over the trailing 1-year period	2.03%	9.32%	-7.29%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.16%	15.74%	-11.58%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.16%	14.83%	-10.67%

BCLO vs. TLT - Expense Ratio Comparison

BCLO has a 0.45% expense ratio, which is higher than TLT's 0.15% expense ratio.

Dividends

BCLO vs. TLT - Dividend Comparison

BCLO's dividend yield for the trailing twelve months is around 6.57%, more than TLT's 4.75% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BCLO iShares BBB-B CLO Active ETF	5.97%	6.45%	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 BCLO and TLT in my portfolio?

BCLO and TLT have a correlation of -0.01, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BCLO or TLT?

TLT has higher volatility (2.46%) compared to BCLO (0.31%). In terms of maximum drawdown, BCLO dropped -4.45% vs TLT's -48.35%.

Which ETF is better, BCLO or TLT?

On 1-year performance, BCLO leads with 5.97% vs -2.45% for TLT. On fees, TLT is cheaper at 0.15% per year. On volatility, BCLO has been the lower-risk option at 0.31%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BCLO or TLT?

Over the 1-year period, BCLO has performed better with a 5.97% return vs -2.45%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BCLO or TLT?

TLT is cheaper with a 0.15% expense ratio, compared with 0.45% for BCLO.

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

BCLO has the higher dividend yield at 5.97%, compared with 4.34% for TLT.

What is the main difference between BCLO and TLT?

BCLO is categorized as CLO, while TLT is Government Bonds. BCLO tracks JP Morgan CLOIE High Quality Mezzanine Index, while TLT tracks ICE U.S. Treasury 20+ Year Bond Index. Their fees differ too: 0.45% for BCLO and 0.15% for TLT.

Which has better risk-adjusted returns?

BCLO currently has the higher Sharpe Ratio (2.89 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.