GOVT vs. ACWI
GOVT (iShares U.S. Treasury Bond ETF) and ACWI (iShares MSCI ACWI ETF) are both exchange-traded funds - GOVT is a Government Bonds fund tracking the ICE U.S. Treasury Core Bond Index, while ACWI is a Global Equities fund tracking the MSCI All Country World Index. Both are passively managed. Over the past 10 years, GOVT returned 0.87%/yr vs 12.85%/yr for ACWI. At a correlation of -0.14, they often move in opposite directions. GOVT charges 0.05%/yr vs 0.32%/yr for ACWI.
Performance
GOVT vs. ACWI - Performance Comparison
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Returns By Period
In the year-to-date period, GOVT achieves a -0.11% return, which is significantly lower than ACWI's 12.13% return. Over the past 10 years, GOVT has underperformed ACWI with an annualized return of 0.87%, while ACWI has yielded a comparatively higher 12.85% annualized return.
GOVT
- 1D
- -0.18%
- 1M
- 0.11%
- YTD
- -0.11%
- 6M
- -0.34%
- 1Y
- 3.87%
- 3Y*
- 2.83%
- 5Y*
- -0.45%
- 10Y*
- 0.87%
ACWI
- 1D
- -0.83%
- 1M
- 5.28%
- YTD
- 12.13%
- 6M
- 12.96%
- 1Y
- 29.18%
- 3Y*
- 21.15%
- 5Y*
- 11.28%
- 10Y*
- 12.85%
GOVT vs. ACWI - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
GOVT iShares U.S. Treasury Bond ETF | -0.11% | 3.77% | 2.95% | 4.17% | -13.39% | -1.11% | 7.28% | 7.36% | 0.26% | 2.19% |
ACWI iShares MSCI ACWI ETF | 12.13% | 22.41% | 17.45% | 22.27% | -18.39% | 18.66% | 16.34% | 26.59% | -9.19% | 24.33% |
Correlation
The correlation between GOVT and ACWI is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.26 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.21 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.10 |
Correlation (10Y) Calculated over the trailing 10-year period | -0.07 |
Correlation (All Time) Calculated using the full available price history since Feb 27, 2012 | -0.14 |
The correlation between GOVT and ACWI shifts across timeframes, from -0.14 (all time) to 0.26 (1 year), reflecting how their relationship changes across market environments.
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Return for Risk
GOVT vs. ACWI — Risk / Return Rank
GOVT
ACWI
GOVT vs. ACWI - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Treasury Bond ETF (GOVT) and iShares MSCI ACWI ETF (ACWI). 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.
| GOVT | ACWI | Difference | |
|---|---|---|---|
Sharpe ratioReturn per unit of total volatility | 1.07 | 2.29 | -1.22 |
Sortino ratioReturn per unit of downside risk | 1.62 | 3.17 | -1.55 |
Omega ratioGain probability vs. loss probability | 1.18 | 1.41 | -0.23 |
Calmar ratioReturn relative to maximum drawdown | 1.36 | 3.01 | -1.65 |
Martin ratioReturn relative to average drawdown | 4.01 | 13.53 | -9.52 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| GOVT | ACWI | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 1.07 | 2.29 | -1.22 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | -0.08 | 0.71 | -0.78 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.17 | 0.75 | -0.59 |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.26 | 0.43 | -0.17 |
Drawdowns
GOVT vs. ACWI - Drawdown Comparison
The maximum GOVT drawdown since its inception was -19.07%, smaller than the maximum ACWI drawdown of -56.00%. Use the drawdown chart below to compare losses from any high point for GOVT and ACWI.
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Drawdown Indicators
| GOVT | ACWI | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -19.07% | -56.00% | +36.93% |
Max Drawdown (1Y)Largest decline over 1 year | -2.85% | -9.73% | +6.88% |
Max Drawdown (3Y)Largest decline over 3 years | -5.43% | -16.55% | +11.12% |
Max Drawdown (5Y)Largest decline over 5 years | -16.60% | -26.42% | +9.82% |
Max Drawdown (10Y)Largest decline over 10 years | -19.07% | -33.53% | +14.46% |
Current DrawdownCurrent decline from peak | -7.17% | -0.83% | -6.34% |
Average DrawdownAverage peak-to-trough decline | -5.25% | -8.61% | +3.36% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.97% | 2.16% | -1.19% |
Volatility
GOVT vs. ACWI - Volatility Comparison
The current volatility for iShares U.S. Treasury Bond ETF (GOVT) is 1.09%, while iShares MSCI ACWI ETF (ACWI) has a volatility of 3.93%. This indicates that GOVT experiences smaller price fluctuations and is considered to be less risky than ACWI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| GOVT | ACWI | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.09% | 3.93% | -2.84% |
Volatility (6M)Calculated over the trailing 6-month period | 2.51% | 10.29% | -7.78% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.63% | 12.78% | -9.15% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 6.04% | 16.05% | -10.01% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 5.22% | 17.11% | -11.89% |
GOVT vs. ACWI - Expense Ratio Comparison
GOVT has a 0.05% expense ratio, which is lower than ACWI's 0.32% expense ratio.
Dividends
GOVT vs. ACWI - Dividend Comparison
GOVT's dividend yield for the trailing twelve months is around 3.59%, more than ACWI's 1.38% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
ACWI iShares MSCI ACWI ETF | 1.38% | 1.55% | 1.70% | 1.88% | 1.79% | 1.71% | 1.43% | 2.33% | 2.18% | 1.94% | 2.19% | 2.56% |
GOVT iShares U.S. Treasury Bond ETF | 3.59% | 3.49% | 3.14% | 2.65% | 1.77% | 0.96% | 2.17% | 1.98% | 1.97% | 1.57% | 1.40% | 1.25% |
Frequently Asked Questions
GOVT and ACWI have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
ACWI has higher volatility (3.93%) compared to GOVT (1.09%). In terms of maximum drawdown, GOVT dropped -19.07% vs ACWI's -56.00%.
On 10-year performance, ACWI leads with 12.85% vs 0.87% for GOVT. On fees, GOVT is cheaper at 0.05% per year. On volatility, GOVT has been the lower-risk option at 1.09%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, ACWI has performed better with a 12.85% return vs 0.87%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
GOVT is cheaper with a 0.05% expense ratio, compared with 0.32% for ACWI.
GOVT has the higher dividend yield at 3.59%, compared with 1.38% for ACWI.
GOVT is categorized as Government Bonds, while ACWI is Global Equities. GOVT tracks ICE U.S. Treasury Core Bond Index, while ACWI tracks MSCI All Country World Index. Their fees differ too: 0.05% for GOVT and 0.32% for ACWI.
ACWI currently has the higher Sharpe Ratio (2.29 vs 1.07), 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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