LTPZ vs. ZROZ

Last updated Jun 4, 2026

LTPZ (PIMCO 15+ Year US TIPS Index ETF) and ZROZ (PIMCO 25+ Year Zero Coupon US Treasury Index Fund) are both exchange-traded funds - LTPZ is a Inflation-Protected Bonds fund tracking the ICE BofA US Inflation-Linked Treasury (15+ Y), while ZROZ is a Government Bonds fund tracking the ICE BofA Long U.S. Treasury Principal STRIPS Index. Both are passively managed. Over the past 10 years, LTPZ returned 0.75%/yr vs -4.15%/yr for ZROZ. Their correlation of 0.80 suggests significant overlap in exposure. LTPZ charges 0.20%/yr vs 0.15%/yr for ZROZ.

Performance

LTPZ vs. ZROZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in PIMCO 15+ Year US TIPS Index ETF (LTPZ) 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

In the year-to-date period, LTPZ achieves a 0.41% return, which is significantly higher than ZROZ's -1.07% return. Over the past 10 years, LTPZ has outperformed ZROZ with an annualized return of 0.75%, while ZROZ has yielded a comparatively lower -4.15% annualized return.

LTPZ

• 1D: -0.49%
• 1M: 1.02%
• YTD: 0.41%
• 6M: -1.15%
• 1Y: 4.72%
• 3Y*: -0.79%
• 5Y*: -5.24%
• 10Y*: 0.75%

ZROZ

• 1D: -0.48%
• 1M: 1.55%
• YTD: -1.07%
• 6M: -4.36%
• 1Y: 3.89%
• 3Y*: -7.39%
• 5Y*: -11.62%
• 10Y*: -4.15%

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

LTPZ vs. ZROZ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
LTPZ PIMCO 15+ Year US TIPS Index ETF	0.41%	4.00%	-4.80%	0.96%	-31.71%	7.02%	24.89%	17.47%	-7.22%	9.07%
ZROZ PIMCO 25+ Year Zero Coupon US Treasury Index Fund	-1.07%	-1.84%	-16.18%	1.19%	-41.28%	-5.22%	24.57%	21.22%	-5.43%	14.77%

Correlation

The correlation between LTPZ and ZROZ is 0.92, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.92
Correlation (3Y) Calculated over the trailing 3-year period	0.92
Correlation (5Y) Calculated over the trailing 5-year period	0.83
Correlation (10Y) Calculated over the trailing 10-year period	0.82
Correlation (All Time) Calculated using the full available price history since Nov 5, 2009	0.80

The correlation between LTPZ and ZROZ shifts across timeframes, from 0.80 (all time) to 0.92 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

LTPZ vs. ZROZ — Risk / Return Rank

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

LTPZ

LTPZ Risk / Return Rank: 16
LTPZ Sharpe Ratio Rank: 16
LTPZ Sortino Ratio Rank: 15
LTPZ Omega Ratio Rank: 15
LTPZ Calmar Ratio Rank: 17
LTPZ Martin Ratio Rank: 16

ZROZ

ZROZ Risk / Return Rank: 12
ZROZ Sharpe Ratio Rank: 12
ZROZ Sortino Ratio Rank: 12
ZROZ Omega Ratio Rank: 11
ZROZ Calmar Ratio Rank: 12
ZROZ Martin Ratio Rank: 12

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.

LTPZ vs. ZROZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for PIMCO 15+ Year US TIPS Index ETF (LTPZ) 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.

	LTPZ	ZROZ	Difference
Sharpe ratio Return per unit of total volatility	0.51	0.24	+0.27
Sortino ratio Return per unit of downside risk	0.78	0.47	+0.32
Omega ratio Gain probability vs. loss probability	1.09	1.05	+0.04
Calmar ratio Return relative to maximum drawdown	0.68	0.28	+0.40
Martin ratio Return relative to average drawdown	1.48	0.64	+0.84
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

LTPZ vs. ZROZ - Sharpe Ratio Comparison

The current LTPZ Sharpe Ratio is 0.51, which is higher than the ZROZ Sharpe Ratio of 0.24. The chart below compares the historical Sharpe Ratios of LTPZ and ZROZ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	LTPZ	ZROZ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.51	0.24	+0.27
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.33	-0.49	+0.16
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.05	-0.19	+0.24
Sharpe Ratio (All Time) Calculated using the full available price history	0.21	0.09	+0.12

Drawdowns

LTPZ vs. ZROZ - Drawdown Comparison

The maximum LTPZ drawdown since its inception was -40.99%, smaller than the maximum ZROZ drawdown of -62.93%. Use the drawdown chart below to compare losses from any high point for LTPZ and ZROZ.

Drawdown Indicators

	LTPZ	ZROZ	Difference
Max Drawdown Largest peak-to-trough decline	-40.99%	-62.93%	+21.94%
Max Drawdown (1Y) Largest decline over 1 year	-7.00%	-14.02%	+7.02%
Max Drawdown (3Y) Largest decline over 3 years	-16.27%	-28.62%	+12.35%
Max Drawdown (5Y) Largest decline over 5 years	-40.99%	-57.98%	+16.99%
Max Drawdown (10Y) Largest decline over 10 years	-40.99%	-62.93%	+21.94%
Current Drawdown Current decline from peak	-32.74%	-59.93%	+27.19%
Average Drawdown Average peak-to-trough decline	-12.41%	-24.04%	+11.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.20%	6.12%	-2.92%

Volatility

LTPZ vs. ZROZ - Volatility Comparison

The current volatility for PIMCO 15+ Year US TIPS Index ETF (LTPZ) is 2.32%, while PIMCO 25+ Year Zero Coupon US Treasury Index Fund (ZROZ) has a volatility of 4.46%. This indicates that LTPZ experiences smaller price fluctuations and is considered to be less risky than ZROZ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	LTPZ	ZROZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.32%	4.46%	-2.14%
Volatility (6M) Calculated over the trailing 6-month period	6.41%	10.54%	-4.13%
Volatility (1Y) Calculated over the trailing 1-year period	9.26%	16.25%	-6.99%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.89%	23.90%	-8.01%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.07%	22.06%	-6.99%

LTPZ vs. ZROZ - Expense Ratio Comparison

LTPZ has a 0.20% expense ratio, which is higher than ZROZ'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

LTPZ vs. ZROZ - Dividend Comparison

LTPZ's dividend yield for the trailing twelve months is around 5.23%, more than ZROZ's 5.15% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
LTPZ PIMCO 15+ Year US TIPS Index ETF	5.23%	4.64%	3.71%	3.71%	8.38%	3.56%	1.42%	1.74%	3.05%	2.25%	2.32%	0.71%
ZROZ PIMCO 25+ Year Zero Coupon US Treasury Index Fund	5.15%	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 LTPZ and ZROZ in my portfolio?

With a correlation of 0.92, LTPZ and ZROZ move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, LTPZ or ZROZ?

ZROZ has higher volatility (4.46%) compared to LTPZ (2.32%). In terms of maximum drawdown, LTPZ dropped -40.99% vs ZROZ's -62.93%.

Which ETF is better, LTPZ or ZROZ?

On 10-year performance, LTPZ leads with 0.75% vs -4.15% for ZROZ. On fees, ZROZ is cheaper at 0.15% per year. On volatility, LTPZ has been the lower-risk option at 2.32%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, LTPZ or ZROZ?

Over the 10-year period, LTPZ has performed better with a 0.75% return vs -4.15%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, LTPZ or ZROZ?

ZROZ is cheaper with a 0.15% expense ratio, compared with 0.20% for LTPZ.

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

LTPZ has the higher dividend yield at 5.23%, compared with 5.15% for ZROZ.

What is the main difference between LTPZ and ZROZ?

LTPZ is categorized as Inflation-Protected Bonds, while ZROZ is Government Bonds. LTPZ tracks ICE BofA US Inflation-Linked Treasury (15+ Y), while ZROZ tracks ICE BofA Long U.S. Treasury Principal STRIPS Index. Their fees differ too: 0.20% for LTPZ and 0.15% for ZROZ.

Which has better risk-adjusted returns?

LTPZ currently has the higher Sharpe Ratio (0.51 vs 0.24), 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.