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GOVT vs. FTSM
Performance
Return for Risk
Drawdowns
Volatility
Dividends

Performance

GOVT vs. FTSM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Treasury Bond ETF (GOVT) and First Trust Enhanced Short Maturity ETF (FTSM). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, GOVT achieves a -0.11% return, which is significantly lower than FTSM's 1.43% return. Over the past 10 years, GOVT has underperformed FTSM with an annualized return of 0.87%, while FTSM has yielded a comparatively higher 2.54% 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%

FTSM

1D
-0.05%
1M
0.33%
YTD
1.43%
6M
1.77%
1Y
4.16%
3Y*
4.84%
5Y*
3.45%
10Y*
2.54%
*Multi-year figures are annualized to reflect compound growth (CAGR)

GOVT vs. FTSM - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
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%
FTSM
First Trust Enhanced Short Maturity ETF
1.43%4.66%5.22%5.12%1.02%-0.01%1.12%2.82%1.94%1.57%

Correlation

The correlation between GOVT and FTSM is 0.59, 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

0.59

Correlation (3Y)
Calculated over the trailing 3-year period

0.58

Correlation (5Y)
Calculated over the trailing 5-year period

0.49

Correlation (10Y)
Calculated over the trailing 10-year period

0.31

Correlation (All Time)
Calculated using the full available price history since Aug 7, 2014

0.27

Over the past year, GOVT and FTSM have become more correlated (0.59) than their long-term average of 0.27, meaning their price movements have been converging.

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Return for Risk

GOVT vs. FTSM — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

GOVT
GOVT Risk / Return Rank: 2828
Overall Rank
GOVT Sharpe Ratio Rank: 2929
Sharpe Ratio Rank
GOVT Sortino Ratio Rank: 2929
Sortino Ratio Rank
GOVT Omega Ratio Rank: 2727
Omega Ratio Rank
GOVT Calmar Ratio Rank: 2828
Calmar Ratio Rank
GOVT Martin Ratio Rank: 2828
Martin Ratio Rank

FTSM
FTSM Risk / Return Rank: 9999
Overall Rank
FTSM Sharpe Ratio Rank: 9999
Sharpe Ratio Rank
FTSM Sortino Ratio Rank: 9999
Sortino Ratio Rank
FTSM Omega Ratio Rank: 9999
Omega Ratio Rank
FTSM Calmar Ratio Rank: 9999
Calmar Ratio Rank
FTSM Martin Ratio Rank: 9999
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

GOVT vs. FTSM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Treasury Bond ETF (GOVT) and First Trust Enhanced Short Maturity ETF (FTSM). 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.


GOVTFTSMDifference
Sharpe ratioReturn per unit of total volatility

-7.70

Sortino ratioReturn per unit of downside risk

-19.06

Omega ratioGain probability vs. loss probability

1.18

4.37

-3.19

Calmar ratioReturn relative to maximum drawdown

1.36

35.73

-34.37

Martin ratioReturn relative to average drawdown

4.01

177.67

-173.66

GOVT vs. FTSM - Sharpe Ratio Comparison

The current GOVT Sharpe Ratio is 1.07, which is lower than the FTSM Sharpe Ratio of 8.78. The chart below compares the historical Sharpe Ratios of GOVT and FTSM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.


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Sharpe Ratios by Period


GOVTFTSMDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

1.07

8.78

-7.70

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

-0.08

7.02

-7.10

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.17

2.89

-2.72

Sharpe Ratio (All Time)

Calculated using the full available price history

0.26

1.96

-1.70

Drawdowns

GOVT vs. FTSM - Drawdown Comparison

The maximum GOVT drawdown since its inception was -19.07%, which is greater than FTSM's maximum drawdown of -4.12%. Use the drawdown chart below to compare losses from any high point for GOVT and FTSM.


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Drawdown Indicators


GOVTFTSMDifference

Max Drawdown

Largest peak-to-trough decline

-19.07%

-4.12%

-14.95%

Max Drawdown (1Y)

Largest decline over 1 year

-2.85%

-0.12%

-2.73%

Max Drawdown (3Y)

Largest decline over 3 years

-5.43%

-0.15%

-5.28%

Max Drawdown (5Y)

Largest decline over 5 years

-16.60%

-0.65%

-15.95%

Max Drawdown (10Y)

Largest decline over 10 years

-19.07%

-4.12%

-14.95%

Current Drawdown

Current decline from peak

-7.17%

-0.05%

-7.12%

Average Drawdown

Average peak-to-trough decline

-5.25%

-0.22%

-5.03%

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.97%

0.02%

+0.95%

Volatility

GOVT vs. FTSM - Volatility Comparison

iShares U.S. Treasury Bond ETF (GOVT) has a higher volatility of 1.09% compared to First Trust Enhanced Short Maturity ETF (FTSM) at 0.16%. This indicates that GOVT's price experiences larger fluctuations and is considered to be riskier than FTSM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


GOVTFTSMDifference

Volatility (1M)

Calculated over the trailing 1-month period

1.09%

0.16%

+0.93%

Volatility (6M)

Calculated over the trailing 6-month period

2.51%

0.35%

+2.16%

Volatility (1Y)

Calculated over the trailing 1-year period

3.63%

0.48%

+3.15%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

6.04%

0.49%

+5.55%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

5.22%

0.88%

+4.34%

GOVT vs. FTSM - Expense Ratio Comparison

GOVT has a 0.05% expense ratio, which is lower than FTSM's 0.44% expense ratio.


Dividends

GOVT vs. FTSM - Dividend Comparison

GOVT's dividend yield for the trailing twelve months is around 3.59%, less than FTSM's 4.16% yield.


PositionTTM20252024202320222021202020192018201720162015
FTSM
First Trust Enhanced Short Maturity ETF
4.16%4.28%4.91%4.62%1.62%0.39%1.20%2.38%2.14%1.49%1.03%0.48%
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 FTSM have a correlation of 0.59, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

GOVT has higher volatility (1.09%) compared to FTSM (0.16%). In terms of maximum drawdown, GOVT dropped -19.07% vs FTSM's -4.12%.

On 10-year performance, FTSM leads with 2.54% vs 0.87% for GOVT. On fees, GOVT is cheaper at 0.05% per year. On volatility, FTSM has been the lower-risk option at 0.16%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, FTSM has performed better with a 2.54% 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 0.44% for FTSM.

FTSM has the higher dividend yield at 4.16%, compared with 3.59% for GOVT.

GOVT is categorized as Government Bonds, while FTSM is Ultrashort Bond. They also come from different issuers: iShares and First Trust. Their fees differ too: 0.05% for GOVT and 0.44% for FTSM.

FTSM currently has the higher Sharpe Ratio (8.78 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.

Portfolio Optimizer

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