IBTR vs. ZROZ

Last updated Jul 12, 2026

IBTR (iShares iBonds Dec 2036 Term Treasury ETF) and ZROZ (PIMCO 25+ Year Zero Coupon US Treasury Index Fund) are both Government Bonds funds - IBTR tracks the ICE 2036 Maturity US Treasury Index while ZROZ tracks the ICE BofA Long U.S. Treasury Principal STRIPS Index. Both are passively managed. A 0.79 correlation means they provide meaningful diversification when combined. IBTR charges 0.07%/yr vs 0.15%/yr for ZROZ.

Performance

IBTR vs. ZROZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares iBonds Dec 2036 Term Treasury ETF (IBTR) and PIMCO 25+ Year Zero Coupon US Treasury Index Fund (ZROZ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

IBTR

• 1D: -0.12%
• 1M: -0.45%
• 6M: —
• YTD: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

ZROZ

• 1D: 0.02%
• 1M: -2.48%
• 6M: -3.43%
• YTD: -2.28%
• 1Y: 1.16%
• 3Y*: -7.12%
• 5Y*: -13.08%
• 10Y*: -5.05%

*Multi-year figures are annualized to reflect compound growth (CAGR)

IBTR vs. ZROZ - Yearly Performance Comparison

	2026 (YTD)
IBTR iShares iBonds Dec 2036 Term Treasury ETF	-0.16%
ZROZ PIMCO 25+ Year Zero Coupon US Treasury Index Fund	-2.70%

Correlation

The correlation between IBTR and ZROZ is 0.79, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Mar 26, 2026	0.79

Return for Risk

IBTR vs. ZROZ — Risk / Return Rank

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

IBTR

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

ZROZ

ZROZ Risk / Return Rank: 8
ZROZ Sharpe Ratio Rank: 9
ZROZ Sortino Ratio Rank: 8
ZROZ Omega Ratio Rank: 8
ZROZ Calmar Ratio Rank: 9
ZROZ Martin Ratio Rank: 8

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.

IBTR vs. ZROZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares iBonds Dec 2036 Term Treasury ETF (IBTR) and PIMCO 25+ Year Zero Coupon US Treasury Index Fund (ZROZ). 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.

	IBTR	ZROZ	Difference
Sharpe ratio: Return per unit of total volatility	—	-0.08	—
Sortino ratio: Return per unit of downside risk	—	-0.00	—
Omega ratio: Gain probability vs. loss probability	—	1.00	—
Calmar ratio: Return relative to maximum drawdown	—	-0.09	—
Martin ratio: Return relative to average drawdown	—	-0.19	—

Drawdowns

IBTR vs. ZROZ - Drawdown Comparison

The maximum IBTR drawdown since its inception was -2.88%, smaller than the maximum ZROZ drawdown of -62.93%. Use the drawdown chart below to compare losses from any high point for IBTR and ZROZ.

Drawdown Indicators

	IBTR	ZROZ	Difference
Max Drawdown Largest peak-to-trough decline	-2.88%	-62.93%	+60.05%
Max Drawdown (1Y) Largest decline over 1 year	—	-14.02%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-28.21%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-57.98%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-62.93%	—
Current Drawdown Current decline from peak	-1.41%	-60.42%	+59.01%
Average Drawdown Average peak-to-trough decline	-0.92%	-24.25%	+23.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	6.57%	—

Volatility

Volatility by Period

	IBTR	ZROZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	4.74%	—
Volatility (6M) Calculated over the trailing 6-month period	—	11.10%	—
Volatility (1Y) Calculated over the trailing 1-year period	5.42%	15.67%	-10.25%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.42%	23.81%	-18.39%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.42%	21.98%	-16.56%

IBTR vs. ZROZ - Expense Ratio Comparison

IBTR has a 0.07% expense ratio, which is lower than ZROZ's 0.15% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

IBTR vs. ZROZ - Dividend Comparison

IBTR's dividend yield for the trailing twelve months is around 1.00%, less than ZROZ's 5.31% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IBTR iShares iBonds Dec 2036 Term Treasury ETF	1.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ZROZ PIMCO 25+ Year Zero Coupon US Treasury Index Fund	5.31%	4.96%	4.58%	3.52%	2.76%	1.60%	1.68%	2.22%	2.06%	2.53%	3.00%	2.98%

Frequently Asked Questions

Can I hold both IBTR and ZROZ in my portfolio?

IBTR and ZROZ have a correlation of 0.79, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, IBTR or ZROZ?

On fees, IBTR is cheaper at 0.07% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, IBTR or ZROZ?

IBTR is cheaper with a 0.07% expense ratio, compared with 0.15% for ZROZ.

Which ETF pays a higher dividend yield, IBTR or ZROZ?

ZROZ has the higher dividend yield at 5.31%, compared with 1.00% for IBTR.

What is the main difference between IBTR and ZROZ?

IBTR tracks ICE 2036 Maturity US Treasury Index, while ZROZ tracks ICE BofA Long U.S. Treasury Principal STRIPS Index. They also come from different issuers: iShares and PIMCO. Their fees differ too: 0.07% for IBTR and 0.15% for ZROZ.