BWZ vs. IEF
BWZ (SPDR Bloomberg Barclays Short Term International Treasury Bond ETF) and IEF (iShares 7-10 Year Treasury Bond ETF) are both exchange-traded funds - BWZ is a International Government Bonds fund tracking the Bloomberg Global Treasury (1-3 Y) Customized, while IEF is a Government Bonds fund tracking the ICE U.S. Treasury 7-10 Year Bond Index. Both are passively managed. Over the past 10 years, BWZ returned -0.60%/yr vs 0.53%/yr for IEF. At a 0.20 correlation, their price movements are largely independent. BWZ charges 0.35%/yr vs 0.15%/yr for IEF.
Performance
BWZ vs. IEF - Performance Comparison
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Returns By Period
In the year-to-date period, BWZ achieves a -1.98% return, which is significantly lower than IEF's -0.53% return. Over the past 10 years, BWZ has underperformed IEF with an annualized return of -0.60%, while IEF has yielded a comparatively higher 0.53% annualized return.
BWZ
- 1D
- -0.34%
- 1M
- -1.45%
- YTD
- -1.98%
- 6M
- -1.95%
- 1Y
- -1.90%
- 3Y*
- 2.03%
- 5Y*
- -1.91%
- 10Y*
- -0.60%
IEF
- 1D
- 0.13%
- 1M
- 0.59%
- YTD
- -0.53%
- 6M
- -0.47%
- 1Y
- 3.01%
- 3Y*
- 2.59%
- 5Y*
- -1.17%
- 10Y*
- 0.53%
BWZ vs. IEF - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
BWZ SPDR Bloomberg Barclays Short Term International Treasury Bond ETF | -1.98% | 10.47% | -5.31% | 2.97% | -10.56% | -6.85% | 6.47% | 0.99% | -3.36% | 10.18% |
IEF iShares 7-10 Year Treasury Bond ETF | -0.53% | 8.03% | -0.63% | 3.64% | -15.15% | -3.33% | 10.01% | 8.03% | 0.99% | 2.55% |
Correlation
The correlation between BWZ and IEF is 0.50, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.50 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.45 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.42 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.34 |
Correlation (All Time) Calculated using the full available price history since Jan 30, 2009 | 0.20 |
Over the past year, BWZ and IEF have become more correlated (0.50) than their long-term average of 0.20, meaning their price movements have been converging.
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Return for Risk
BWZ vs. IEF — Risk / Return Rank
BWZ
IEF
BWZ vs. IEF - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for SPDR Bloomberg Barclays Short Term International Treasury Bond ETF (BWZ) and iShares 7-10 Year Treasury Bond ETF (IEF). 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.
| BWZ | IEF | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.92 | ||
| Sortino ratioReturn per unit of downside risk | -1.33 | ||
| Omega ratioGain probability vs. loss probability | 0.96 | 1.11 | -0.15 |
| Calmar ratioReturn relative to maximum drawdown | -0.37 | 0.74 | -1.11 |
| Martin ratioReturn relative to average drawdown | -0.78 | 2.01 | -2.79 |
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Drawdowns
BWZ vs. IEF - Drawdown Comparison
The maximum BWZ drawdown since its inception was -34.23%, which is greater than IEF's maximum drawdown of -23.93%. Use the drawdown chart below to compare losses from any high point for BWZ and IEF.
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Drawdown Indicators
| BWZ | IEF | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -34.23% | -23.93% | -10.30% |
Max Drawdown (1Y)Largest decline over 1 year | -5.15% | -4.07% | -1.08% |
Max Drawdown (3Y)Largest decline over 3 years | -8.60% | -7.74% | -0.86% |
Max Drawdown (5Y)Largest decline over 5 years | -22.15% | -21.40% | -0.75% |
Max Drawdown (10Y)Largest decline over 10 years | -24.90% | -23.93% | -0.97% |
Current DrawdownCurrent decline from peak | -23.46% | -11.23% | -12.23% |
Average DrawdownAverage peak-to-trough decline | -16.12% | -5.36% | -10.76% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 2.42% | 1.50% | +0.92% |
Volatility
BWZ vs. IEF - Volatility Comparison
SPDR Bloomberg Barclays Short Term International Treasury Bond ETF (BWZ) has a higher volatility of 1.78% compared to iShares 7-10 Year Treasury Bond ETF (IEF) at 1.41%. This indicates that BWZ's price experiences larger fluctuations and is considered to be riskier than IEF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| BWZ | IEF | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.78% | 1.41% | +0.37% |
Volatility (6M)Calculated over the trailing 6-month period | 5.11% | 3.48% | +1.63% |
Volatility (1Y)Calculated over the trailing 1-year period | 6.86% | 4.72% | +2.14% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 7.60% | 7.71% | -0.11% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 6.95% | 6.62% | +0.33% |
BWZ vs. IEF - Expense Ratio Comparison
BWZ has a 0.35% expense ratio, which is higher than IEF's 0.15% expense ratio.
Dividends
BWZ vs. IEF - Dividend Comparison
BWZ's dividend yield for the trailing twelve months is around 2.12%, less than IEF's 3.90% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
BWZ SPDR Bloomberg Barclays Short Term International Treasury Bond ETF | 2.12% | 2.05% | 2.47% | 1.63% | 0.44% | 0.60% | 0.13% | 0.43% | 1.10% | 0.40% | 0.13% | 0.06% |
IEF iShares 7-10 Year Treasury Bond ETF | 3.90% | 3.77% | 3.62% | 2.91% | 1.96% | 0.83% | 1.08% | 2.08% | 2.24% | 1.82% | 1.81% | 1.90% |
Frequently Asked Questions
BWZ and IEF have a correlation of 0.50, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
BWZ has higher volatility (1.78%) compared to IEF (1.41%). In terms of maximum drawdown, BWZ dropped -34.23% vs IEF's -23.93%.
On 10-year performance, IEF leads with 0.53% vs -0.60% for BWZ. On fees, IEF is cheaper at 0.15% per year. On volatility, IEF has been the lower-risk option at 1.41%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, IEF has performed better with a 0.53% return vs -0.60%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
IEF is cheaper with a 0.15% expense ratio, compared with 0.35% for BWZ.
IEF has the higher dividend yield at 3.90%, compared with 2.12% for BWZ.
BWZ is categorized as International Government Bonds, while IEF is Government Bonds. BWZ tracks Bloomberg Global Treasury (1-3 Y) Customized, while IEF tracks ICE U.S. Treasury 7-10 Year Bond Index. They also come from different issuers: State Street and iShares. Their fees differ too: 0.35% for BWZ and 0.15% for IEF.
IEF currently has the higher Sharpe Ratio (0.64 vs -0.28), 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.
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