TFLO vs. GUSTX

Last updated Jun 5, 2026

TFLO (iShares Treasury Floating Rate Bond ETF) and GUSTX (GMO U.S. Treasury Fund) are both Government Bonds funds. Over the past 10 years, TFLO returned 2.36%/yr vs -13.74%/yr for GUSTX. At a 0.02 correlation, their price movements are largely independent. TFLO charges 0.15%/yr vs 0.01%/yr for GUSTX.

Performance

TFLO vs. GUSTX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Treasury Floating Rate Bond ETF (TFLO) and GMO U.S. Treasury Fund (GUSTX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TFLO achieves a 1.59% return, which is significantly higher than GUSTX's 1.46% return. Over the past 10 years, TFLO has outperformed GUSTX with an annualized return of 2.36%, while GUSTX has yielded a comparatively lower -13.74% annualized return.

TFLO

• 1D: 0.00%
• 1M: 0.29%
• YTD: 1.59%
• 6M: 1.92%
• 1Y: 3.97%
• 3Y*: 4.74%
• 5Y*: 3.63%
• 10Y*: 2.36%

GUSTX

• 1D: 0.00%
• 1M: 0.34%
• YTD: 1.46%
• 6M: 1.79%
• 1Y: 3.90%
• 3Y*: 3.18%
• 5Y*: 1.95%
• 10Y*: -13.74%

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

TFLO vs. GUSTX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TFLO iShares Treasury Floating Rate Bond ETF	1.59%	4.22%	5.34%	5.12%	1.99%	-0.02%	0.43%	2.04%	1.76%	1.01%
GUSTX GMO U.S. Treasury Fund	1.46%	4.45%	2.21%	2.52%	-0.73%	-0.06%	0.89%	0.14%	-79.59%	0.43%

Correlation

The correlation between TFLO and GUSTX is 0.04, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.04
Correlation (3Y) Calculated over the trailing 3-year period	0.01
Correlation (5Y) Calculated over the trailing 5-year period	0.04
Correlation (10Y) Calculated over the trailing 10-year period	0.03
Correlation (All Time) Calculated using the full available price history since Feb 5, 2014	0.02

Return for Risk

TFLO vs. GUSTX — Risk / Return Rank

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

TFLO

TFLO Risk / Return Rank: 100
TFLO Sharpe Ratio Rank: 100
TFLO Sortino Ratio Rank: 100
TFLO Omega Ratio Rank: 100
TFLO Calmar Ratio Rank: 100
TFLO Martin Ratio Rank: 100

GUSTX

GUSTX Risk / Return Rank: 99
GUSTX Sharpe Ratio Rank: 95
GUSTX Sortino Ratio Rank: 100
GUSTX Omega Ratio Rank: 100
GUSTX Calmar Ratio Rank: 100
GUSTX Martin Ratio Rank: 99

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.

TFLO vs. GUSTX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Treasury Floating Rate Bond ETF (TFLO) and GMO U.S. Treasury Fund (GUSTX). 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.

	TFLO	GUSTX	Difference
Sharpe ratio: Return per unit of total volatility	14.09	3.34	+10.75
Sortino ratio: Return per unit of downside risk	50.86	11.33	+39.53
Omega ratio: Gain probability vs. loss probability	13.94	7.41	+6.53
Calmar ratio: Return relative to maximum drawdown	201.22	20.36	+180.86
Martin ratio: Return relative to average drawdown	823.26	57.94	+765.32
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TFLO vs. GUSTX - Sharpe Ratio Comparison

The current TFLO Sharpe Ratio is 14.09, which is higher than the GUSTX Sharpe Ratio of 3.34. The chart below compares the historical Sharpe Ratios of TFLO and GUSTX, 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

	TFLO	GUSTX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	14.09	3.34	+10.75
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	10.30	1.14	+9.16
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	5.20	-0.54	+5.74
Sharpe Ratio (All Time) Calculated using the full available price history	0.99	-0.44	+1.42

Drawdowns

TFLO vs. GUSTX - Drawdown Comparison

The maximum TFLO drawdown since its inception was -5.01%, smaller than the maximum GUSTX drawdown of -79.98%. Use the drawdown chart below to compare losses from any high point for TFLO and GUSTX.

Drawdown Indicators

	TFLO	GUSTX	Difference
Max Drawdown Largest peak-to-trough decline	-5.01%	-79.98%	+74.97%
Max Drawdown (1Y) Largest decline over 1 year	-0.02%	-0.20%	+0.18%
Max Drawdown (3Y) Largest decline over 3 years	-0.04%	-1.19%	+1.15%
Max Drawdown (5Y) Largest decline over 5 years	-0.13%	-1.19%	+1.06%
Max Drawdown (10Y) Largest decline over 10 years	-0.16%	-79.98%	+79.82%
Current Drawdown Current decline from peak	0.00%	-77.68%	+77.68%
Average Drawdown Average peak-to-trough decline	-0.10%	-36.05%	+35.95%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.00%	0.07%	-0.07%

Volatility

TFLO vs. GUSTX - Volatility Comparison

The current volatility for iShares Treasury Floating Rate Bond ETF (TFLO) is 0.07%, while GMO U.S. Treasury Fund (GUSTX) has a volatility of 0.34%. This indicates that TFLO experiences smaller price fluctuations and is considered to be less risky than GUSTX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TFLO	GUSTX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.07%	0.34%	-0.27%
Volatility (6M) Calculated over the trailing 6-month period	0.20%	0.87%	-0.67%
Volatility (1Y) Calculated over the trailing 1-year period	0.28%	1.22%	-0.94%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	0.35%	1.75%	-1.40%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	0.46%	25.45%	-24.99%

TFLO vs. GUSTX - Expense Ratio Comparison

TFLO has a 0.15% expense ratio, which is higher than GUSTX's 0.01% 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

TFLO vs. GUSTX - Dividend Comparison

TFLO's dividend yield for the trailing twelve months is around 3.90%, more than GUSTX's 3.82% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
GUSTX GMO U.S. Treasury Fund	3.82%	4.15%	1.98%	2.28%	0.26%	0.14%	0.09%	0.14%	8.96%	0.50%	0.05%	0.04%
TFLO iShares Treasury Floating Rate Bond ETF	3.90%	4.16%	5.21%	4.88%	1.68%	0.00%	0.36%	2.08%	1.65%	0.86%	0.31%	0.15%

Frequently Asked Questions

Can I hold both TFLO and GUSTX in my portfolio?

TFLO and GUSTX have a correlation of 0.04, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TFLO or GUSTX?

GUSTX has higher volatility (0.34%) compared to TFLO (0.07%). In terms of maximum drawdown, TFLO dropped -5.01% vs GUSTX's -79.98%.

Which has better risk-adjusted returns?

TFLO currently has the higher Sharpe Ratio (14.09 vs 3.34), 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.