BLV vs. TLT
Compare and contrast key facts about Vanguard Long-Term Bond ETF (BLV) and iShares 20+ Year Treasury Bond ETF (TLT).
BLV and TLT are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. BLV is a passively managed fund by Vanguard that tracks the performance of the Barclays U.S. Long Government/Credit Float Adjusted Index. It was launched on Apr 3, 2007. TLT is a passively managed fund by iShares that tracks the performance of the Barclays Capital U.S. 20+ Year Treasury Bond Index. It was launched on Jul 26, 2002. Both BLV and TLT are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: BLV or TLT.
Key characteristics
| BLV | TLT | |
|---|---|---|
| YTD Return | 4.53% | 4.90% |
| 1Y Return | -5.71% | -8.73% |
| 5Y Return (Ann) | 0.64% | -0.97% |
| 10Y Return (Ann) | 2.35% | 1.32% |
| Sharpe Ratio | -0.36 | -0.44 |
| Daily Std Dev | 16.53% | 19.96% |
| Max Drawdown | -37.23% | -44.14% |
Correlation
The correlation between BLV and TLT is 0.92, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
BLV vs. TLT - Performance Comparison
In the year-to-date period, BLV achieves a 4.53% return, which is significantly lower than TLT's 4.90% return. Over the past 10 years, BLV has outperformed TLT with an annualized return of 2.35%, while TLT has yielded a comparatively lower 1.32% annualized return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
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BLV vs. TLT - Dividend Comparison
BLV's dividend yield for the trailing twelve months is around 5.70%, more than TLT's 3.87% yield.
| TTM | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
BLV Vanguard Long-Term Bond ETF | 5.70% | 4.24% | 3.55% | 6.37% | 4.13% | 4.89% | 4.54% | 5.40% | 5.90% | 5.49% | 7.12% | 8.15% |
TLT iShares 20+ Year Treasury Bond ETF | 3.87% | 2.70% | 1.55% | 1.58% | 2.42% | 2.88% | 2.73% | 3.00% | 3.08% | 3.23% | 4.05% | 3.44% |
BLV vs. TLT - Expense Ratio Comparison
BLV vs. TLT - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Long-Term Bond ETF (BLV) 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.
| Sharpe ratio | Sortino ratio | Omega ratio | Calmar ratio | Ulcer Index | |
|---|---|---|---|---|---|
BLV Vanguard Long-Term Bond ETF | -0.36 | ||||
TLT iShares 20+ Year Treasury Bond ETF | -0.44 |
BLV vs. TLT - Drawdown Comparison
The maximum BLV drawdown for the period was -31.28%, roughly equal to the maximum TLT drawdown of -39.37%. The drawdown chart below compares losses from any high point along the way for BLV and TLT
BLV vs. TLT - Volatility Comparison
The current volatility for Vanguard Long-Term Bond ETF (BLV) is 3.00%, while iShares 20+ Year Treasury Bond ETF (TLT) has a volatility of 3.48%. This indicates that BLV 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.