IBMO vs. TLT
IBMO (iShares iBonds Dec 2026 Term Muni Bond ETF) and TLT (iShares 20+ Year Treasury Bond ETF) are both exchange-traded funds - IBMO is a Municipal Bonds fund tracking the S&P AMT-Free Municipal Series Callable-Adjusted Dec 2026 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 5 years, IBMO returned 0.62%/yr vs -8.33%/yr for TLT. Their 0.41 correlation means their historical movements had little consistent relationship. IBMO charges 0.18%/yr vs 0.15%/yr for TLT.
Performance
IBMO vs. TLT - Performance Comparison
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Returns By Period
In the year-to-date period, IBMO achieves a 1.22% return, which is significantly higher than TLT's -3.18% return.
IBMO
- 1D
- -0.04%
- 1M
- 0.16%
- 6M
- 1.09%
- YTD
- 1.22%
- 1Y
- 2.34%
- 3Y*
- 3.01%
- 5Y*
- 0.62%
- 10Y*
- —
- ALL TIME*
- 1.84%
TLT
- 1D
- 0.33%
- 1M
- -3.49%
- 6M
- -2.86%
- YTD
- -3.18%
- 1Y
- -2.12%
- 3Y*
- -1.15%
- 5Y*
- -8.33%
- 10Y*
- -2.33%
- ALL TIME*
- 3.48%
Liquidity Comparison
| Position | Avg. Volume Value (2W) | Avg. Volume Value (1M) | Avg. Volume Value (3M) |
|---|---|---|---|
| $1.89M | $1.94M | $1.71M | |
| $2.39B | $2.06B | $2.20B |
IBMO vs. TLT - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|---|---|---|---|
IBMO iShares iBonds Dec 2026 Term Muni Bond ETF | 1.22% | 3.11% | 1.97% | 2.90% | -5.36% | -0.16% | 5.48% | 4.69% |
TLT iShares 20+ Year Treasury Bond ETF | -3.18% | 4.25% | -8.05% | 2.77% | -31.23% | -4.60% | 18.15% | 11.53% |
Correlation
The correlation between IBMO and TLT is 0.11, which is low. Their historical price movements had little consistent relationship.
| Correlation | |
|---|---|
Correlation (1Y) Focuses on recent behavior, but can change the most. | 0.11 |
Correlation (3Y) Balances recent behavior with more history. | 0.32 |
Correlation (5Y) Shows whether the relationship held over a longer period. | 0.41 |
Correlation (All Time) Calculated using the full available price history since Apr 4, 2019 | 0.41 |
Over the past year, the correlation between IBMO and TLT has dropped to 0.11 - well below their long-term average of 0.41, suggesting their price drivers have been diverging.
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Return for Risk
IBMO vs. TLT — Risk / Return Rank
IBMO
TLT
IBMO vs. TLT - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares iBonds Dec 2026 Term Muni Bond ETF (IBMO) 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.
| IBMO | TLT | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +2.29 | ||
| Sortino ratioReturn per unit of downside risk | +3.51 | ||
| Omega ratioGain probability vs. loss probability | 1.41 | 0.97 | +0.43 |
| Calmar ratioReturn relative to maximum drawdown | 6.22 | -0.28 | +6.49 |
| Martin ratioReturn relative to average drawdown | 18.35 | -0.59 | +18.95 |
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Drawdowns
IBMO vs. TLT - Drawdown Comparison
The maximum IBMO drawdown since its inception was -14.77%, smaller than the maximum TLT drawdown of -48.35%. Use the drawdown chart below to compare losses from any high point for IBMO and TLT.
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Drawdown Indicators
| IBMO | TLT | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -14.77% | -48.35% | +33.58% |
Max Drawdown (1Y)Largest decline over 1 year | -0.38% | -7.74% | +7.36% |
Max Drawdown (3Y)Largest decline over 3 years | -1.21% | -14.79% | +13.58% |
Max Drawdown (5Y)Largest decline over 5 years | -8.77% | -43.70% | +34.93% |
Max Drawdown (10Y)Largest decline over 10 years | — | -48.35% | — |
Current DrawdownCurrent decline from peak | -0.04% | -42.17% | +42.13% |
Average DrawdownAverage peak-to-trough decline | -2.27% | -14.00% | +11.73% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.13% | 3.60% | -3.47% |
Volatility
IBMO vs. TLT - Volatility Comparison
The current volatility for iShares iBonds Dec 2026 Term Muni Bond ETF (IBMO) is 0.36%, while iShares 20+ Year Treasury Bond ETF (TLT) has a volatility of 2.51%. This indicates that IBMO 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.
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Volatility by Period
| IBMO | TLT | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.36% | 2.51% | -2.15% |
Volatility (6M)Calculated over the trailing 6-month period | 0.72% | 6.84% | -6.12% |
Volatility (1Y)Calculated over the trailing 1-year period | 1.14% | 9.24% | -8.10% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 2.14% | 15.74% | -13.60% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 4.47% | 14.83% | -10.36% |
IBMO vs. TLT - Expense Ratio Comparison
IBMO has a 0.18% expense ratio, which is higher than TLT's 0.15% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.
Dividends
IBMO vs. TLT - Dividend Comparison
IBMO's dividend yield for the trailing twelve months is around 2.40%, less than TLT's 4.75% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IBMO iShares iBonds Dec 2026 Term Muni Bond ETF | 2.40% | 2.37% | 2.15% | 1.65% | 0.89% | 0.62% | 1.03% | 1.01% | 0.00% | 0.00% | 0.00% | 0.00% |
TLT iShares 20+ Year Treasury Bond ETF | 4.75% | 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
IBMO and TLT have a correlation of 0.11, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
TLT has higher volatility (2.51%) compared to IBMO (0.36%). In terms of maximum drawdown, IBMO dropped -14.77% vs TLT's -48.35%.
On 5-year performance, IBMO leads with 0.62% vs -8.33% for TLT. On fees, TLT is cheaper at 0.15% per year. On volatility, IBMO has been the lower-risk option at 0.36%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 5-year period, IBMO has performed better with a 0.62% return vs -8.33%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
TLT is cheaper with a 0.15% expense ratio, compared with 0.18% for IBMO.
TLT has the higher dividend yield at 4.75%, compared with 2.40% for IBMO.
IBMO is categorized as Municipal Bonds, while TLT is Government Bonds. IBMO tracks S&P AMT-Free Municipal Series Callable-Adjusted Dec 2026 Index, while TLT tracks ICE U.S. Treasury 20+ Year Bond Index. Their fees differ too: 0.18% for IBMO and 0.15% for TLT.
IBMO currently has the higher Sharpe Ratio (2.06 vs -0.23), 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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