UTWO vs. XTWO
UTWO (US Treasury 2 Year Note ETF) and XTWO (BondBloxx Bloomberg Two Year Target Duration US Treasury ETF) are both Government Bonds funds - UTWO tracks the ICE BofA Current 2 Year US Treasury Index - Benchmark TR Gross while XTWO tracks the Bloomberg US Treasury 2 Year Target Duration Index. Both are passively managed. Over the past 3 years, UTWO returned 3.78%/yr vs 4.12%/yr for XTWO. With a 0.96 correlation, they move nearly in lockstep. UTWO charges 0.15%/yr vs 0.05%/yr for XTWO.
Performance
UTWO vs. XTWO - Performance Comparison
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Returns By Period
In the year-to-date period, UTWO achieves a 0.33% return, which is significantly lower than XTWO's 0.41% return.
UTWO
- 1D
- -0.04%
- 1M
- 0.07%
- YTD
- 0.33%
- 6M
- 0.63%
- 1Y
- 3.13%
- 3Y*
- 3.78%
- 5Y*
- —
- 10Y*
- —
XTWO
- 1D
- -0.03%
- 1M
- 0.08%
- YTD
- 0.41%
- 6M
- 0.67%
- 1Y
- 3.42%
- 3Y*
- 4.12%
- 5Y*
- —
- 10Y*
- —
UTWO vs. XTWO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
UTWO US Treasury 2 Year Note ETF | 0.33% | 4.79% | 3.71% | 3.45% | -0.06% |
XTWO BondBloxx Bloomberg Two Year Target Duration US Treasury ETF | 0.41% | 5.17% | 3.92% | 4.27% | 0.17% |
Correlation
The correlation between UTWO and XTWO is 0.95 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.95 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.95 |
Correlation (All Time) Calculated using the full available price history since Sep 16, 2022 | 0.96 |
The correlation between UTWO and XTWO has been stable across timeframes, ranging from 0.95 to 0.96 - a consistent structural relationship.
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Return for Risk
UTWO vs. XTWO — Risk / Return Rank
UTWO
XTWO
UTWO vs. XTWO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for US Treasury 2 Year Note ETF (UTWO) and BondBloxx Bloomberg Two Year Target Duration US Treasury ETF (XTWO). 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.
| UTWO | XTWO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.18 | ||
| Sortino ratioReturn per unit of downside risk | -0.32 | ||
| Omega ratioGain probability vs. loss probability | 1.47 | 1.52 | -0.04 |
| Calmar ratioReturn relative to maximum drawdown | 3.50 | 3.78 | -0.28 |
| Martin ratioReturn relative to average drawdown | 12.89 | 13.59 | -0.70 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| UTWO | XTWO | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 2.33 | 2.52 | -0.18 |
Sharpe Ratio (All Time)Calculated using the full available price history | 1.45 | 1.74 | -0.29 |
Drawdowns
UTWO vs. XTWO - Drawdown Comparison
The maximum UTWO drawdown since its inception was -2.04%, which is greater than XTWO's maximum drawdown of -1.73%. Use the drawdown chart below to compare losses from any high point for UTWO and XTWO.
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Drawdown Indicators
| UTWO | XTWO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -2.04% | -1.73% | -0.31% |
Max Drawdown (1Y)Largest decline over 1 year | -0.90% | -0.91% | +0.01% |
Max Drawdown (3Y)Largest decline over 3 years | -1.08% | -1.18% | +0.10% |
Current DrawdownCurrent decline from peak | -0.38% | -0.38% | 0.00% |
Average DrawdownAverage peak-to-trough decline | -0.49% | -0.40% | -0.09% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.24% | 0.25% | -0.01% |
Volatility
UTWO vs. XTWO - Volatility Comparison
US Treasury 2 Year Note ETF (UTWO) and BondBloxx Bloomberg Two Year Target Duration US Treasury ETF (XTWO) have volatilities of 0.36% and 0.36%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| UTWO | XTWO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.36% | 0.36% | 0.00% |
Volatility (6M)Calculated over the trailing 6-month period | 0.92% | 0.95% | -0.03% |
Volatility (1Y)Calculated over the trailing 1-year period | 1.35% | 1.37% | -0.02% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 2.07% | 2.16% | -0.09% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 2.07% | 2.16% | -0.09% |
UTWO vs. XTWO - Expense Ratio Comparison
UTWO has a 0.15% expense ratio, which is higher than XTWO's 0.05% 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
UTWO vs. XTWO - Dividend Comparison
UTWO's dividend yield for the trailing twelve months is around 3.50%, less than XTWO's 4.05% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
UTWO US Treasury 2 Year Note ETF | 3.50% | 3.63% | 4.22% | 4.39% | 1.22% |
XTWO BondBloxx Bloomberg Two Year Target Duration US Treasury ETF | 4.05% | 4.24% | 4.54% | 4.07% | 1.13% |
Frequently Asked Questions
With a correlation of 0.95, UTWO and XTWO 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.
XTWO has higher volatility (0.36%) compared to UTWO (0.36%). In terms of maximum drawdown, UTWO dropped -2.04% vs XTWO's -1.73%.
On 3-year performance, XTWO leads with 4.12% vs 3.78% for UTWO. On fees, XTWO is cheaper at 0.05% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 3-year period, XTWO has performed better with a 4.12% return vs 3.78%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
XTWO is cheaper with a 0.05% expense ratio, compared with 0.15% for UTWO.
XTWO has the higher dividend yield at 4.05%, compared with 3.50% for UTWO.
UTWO tracks ICE BofA Current 2 Year US Treasury Index - Benchmark TR Gross, while XTWO tracks Bloomberg US Treasury 2 Year Target Duration Index. They also come from different issuers: US Benchmark Series and BondBloxx. Their fees differ too: 0.15% for UTWO and 0.05% for XTWO.
XTWO currently has the higher Sharpe Ratio (2.52 vs 2.33), 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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