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IEF vs. TLT
Performance
Return for Risk
Drawdowns
Volatility
Dividends

Performance

IEF vs. TLT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares 7-10 Year Treasury Bond ETF (IEF) and iShares 20+ Year Treasury Bond ETF (TLT). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, IEF achieves a -1.44% return, which is significantly higher than TLT's -3.49% return. Over the past 10 years, IEF has outperformed TLT with an annualized return of 0.40%, while TLT has yielded a comparatively lower -2.38% annualized return.


IEF

1D
-0.28%
1M
-1.24%
6M
-1.22%
YTD
-1.44%
1Y
0.62%
3Y*
2.88%
5Y*
-1.80%
10Y*
0.40%
ALL TIME*
3.34%

TLT

1D
-0.66%
1M
-3.81%
6M
-3.46%
YTD
-3.49%
1Y
-2.45%
3Y*
-1.80%
5Y*
-8.18%
10Y*
-2.38%
ALL TIME*
3.47%
*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison


PositionAvg. Volume Value (2W)Avg. Volume Value (1M)Avg. Volume Value (3M)
$422.02M$484.34M$621.73M
$2.33B$2.02B$2.19B

IEF vs. TLT - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
IEF
iShares 7-10 Year Treasury Bond ETF
-1.44%8.03%-0.63%3.64%-15.15%-3.33%10.01%8.03%0.99%2.55%
TLT
iShares 20+ Year Treasury Bond ETF
-3.49%4.25%-8.05%2.77%-31.23%-4.60%18.15%14.12%-1.61%9.18%

Correlation

The correlation between IEF and TLT is 0.90, meaning they have usually moved in the same direction, including during past declines.


Correlation
Correlation (1Y)
Focuses on recent behavior, but can change the most.

0.90

Correlation (3Y)
Balances recent behavior with more history.

0.93

Correlation (5Y)
Shows whether the relationship held over a longer period.

0.92

Correlation (10Y)
Provides a long-term view across more market conditions.

0.92

Correlation (All Time)
Calculated using the full available price history since Jul 26, 2002

0.92

The correlation between IEF and TLT has been stable across timeframes, ranging from 0.90 to 0.93 - a consistent structural relationship.

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Return for Risk

IEF vs. TLT — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

IEF
IEF Risk / Return Rank: 1818
Overall Rank
IEF Sharpe Ratio Rank: 2020
Sharpe Ratio Rank
IEF Sortino Ratio Rank: 1818
Sortino Ratio Rank
IEF Omega Ratio Rank: 1717
Omega Ratio Rank
IEF Calmar Ratio Rank: 1818
Calmar Ratio Rank
IEF Martin Ratio Rank: 1818
Martin Ratio Rank

TLT
TLT Risk / Return Rank: 99
Overall Rank
TLT Sharpe Ratio Rank: 99
Sharpe Ratio Rank
TLT Sortino Ratio Rank: 88
Sortino Ratio Rank
TLT Omega Ratio Rank: 88
Omega Ratio Rank
TLT Calmar Ratio Rank: 99
Calmar Ratio Rank
TLT Martin Ratio Rank: 99
Martin Ratio Rank
The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

IEF vs. TLT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares 7-10 Year Treasury Bond ETF (IEF) 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.


IEFTLTDifference
Sharpe ratioReturn per unit of total volatility

+0.50

Sortino ratioReturn per unit of downside risk

+0.68

Omega ratioGain probability vs. loss probability

1.07

0.99

+0.08

Calmar ratioReturn relative to maximum drawdown

0.44

-0.14

+0.58

Martin ratioReturn relative to average drawdown

1.01

-0.30

+1.31

IEF vs. TLT - Sharpe Ratio Comparison

The current IEF Sharpe Ratio is 0.38, which is higher than the TLT Sharpe Ratio of -0.11. The chart below compares the historical Sharpe Ratios of IEF and TLT, 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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Drawdowns

IEF vs. TLT - Drawdown Comparison

The maximum IEF drawdown since its inception was -23.93%, smaller than the maximum TLT drawdown of -48.35%. Use the drawdown chart below to compare losses from any high point for IEF and TLT.


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Drawdown Indicators


IEFTLTDifference

Max Drawdown

Largest peak-to-trough decline

-23.93%

-48.35%

+24.42%

Max Drawdown (1Y)

Largest decline over 1 year

-4.07%

-7.74%

+3.67%

Max Drawdown (3Y)

Largest decline over 3 years

-6.89%

-14.79%

+7.90%

Max Drawdown (5Y)

Largest decline over 5 years

-21.40%

-43.70%

+22.30%

Max Drawdown (10Y)

Largest decline over 10 years

-23.93%

-48.35%

+24.42%

Current Drawdown

Current decline from peak

-12.05%

-42.36%

+30.31%

Average Drawdown

Average peak-to-trough decline

-5.38%

-13.99%

+8.61%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.75%

3.57%

-1.82%

Volatility

IEF vs. TLT - Volatility Comparison

The current volatility for iShares 7-10 Year Treasury Bond ETF (IEF) is 1.18%, while iShares 20+ Year Treasury Bond ETF (TLT) has a volatility of 2.46%. This indicates that IEF 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


IEFTLTDifference

Volatility (1M)

Calculated over the trailing 1-month period

1.18%

2.46%

-1.28%

Volatility (6M)

Calculated over the trailing 6-month period

3.64%

6.85%

-3.21%

Volatility (1Y)

Calculated over the trailing 1-year period

4.67%

9.32%

-4.65%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

7.70%

15.74%

-8.04%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

6.61%

14.83%

-8.22%

IEF vs. TLT - Expense Ratio Comparison

Both IEF and TLT have an expense ratio of 0.15%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.


Dividends

IEF vs. TLT - Dividend Comparison

IEF's dividend yield for the trailing twelve months is around 3.95%, less than TLT's 4.75% yield.


PositionTTM20252024202320222021202020192018201720162015
IEF
iShares 7-10 Year Treasury Bond ETF
3.62%3.77%3.62%2.91%1.96%0.83%1.08%2.08%2.24%1.82%1.81%1.90%
TLT
iShares 20+ Year Treasury Bond ETF
4.34%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


IEF and TLT have a correlation of 0.90, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

TLT has higher volatility (2.46%) compared to IEF (1.18%). In terms of maximum drawdown, IEF dropped -23.93% vs TLT's -48.35%.

On 10-year performance, IEF leads with 0.40% vs -2.38% for TLT. Both ETFs have the same 0.15% expense ratio. On volatility, IEF has been the lower-risk option at 1.18%. 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 0.40% return vs -2.38%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

IEF and TLT have the same expense ratio: 0.15% per year.

TLT has the higher dividend yield at 4.34%, compared with 3.62% for IEF.

IEF tracks ICE U.S. Treasury 7-10 Year Bond Index, while TLT tracks ICE U.S. Treasury 20+ Year Bond Index.

IEF currently has the higher Sharpe Ratio (0.38 vs -0.11), 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

Find the right allocation for IEF and TLT

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