XTWO vs. XTRE

Last updated Jun 4, 2026

XTWO (BondBloxx Bloomberg Two Year Target Duration US Treasury ETF) and XTRE (BondBloxx Bloomberg Three Year Target Duration US Treasury ETF) are both Government Bonds funds from BondBloxx - XTWO tracks the Bloomberg US Treasury 2 Year Target Duration Index while XTRE tracks the Bloomberg US Treasury 3 Year Target Duration Index. Both are passively managed. Over the past 3 years, XTWO returned 4.12%/yr vs 3.89%/yr for XTRE. With a 0.96 correlation, they move nearly in lockstep. Both charge a 0.05% expense ratio.

Performance

XTWO vs. XTRE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in BondBloxx Bloomberg Two Year Target Duration US Treasury ETF (XTWO) and BondBloxx Bloomberg Three Year Target Duration US Treasury ETF (XTRE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XTWO achieves a 0.41% return, which is significantly higher than XTRE's -0.06% return.

XTWO

• 1D: -0.03%
• 1M: 0.08%
• YTD: 0.41%
• 6M: 0.67%
• 1Y: 3.42%
• 3Y*: 4.12%
• 5Y*: —
• 10Y*: —

XTRE

• 1D: -0.10%
• 1M: -0.07%
• YTD: -0.06%
• 6M: 0.07%
• 1Y: 3.25%
• 3Y*: 3.89%
• 5Y*: —
• 10Y*: —

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

XTWO vs. XTRE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
XTWO BondBloxx Bloomberg Two Year Target Duration US Treasury ETF	0.41%	5.17%	3.92%	4.27%	0.17%
XTRE BondBloxx Bloomberg Three Year Target Duration US Treasury ETF	-0.06%	6.05%	3.05%	4.44%	0.03%

Correlation

The correlation between XTWO and XTRE is 0.96 - 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	0.96
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 XTWO and XTRE has been stable across timeframes, ranging from 0.95 to 0.96 - a consistent structural relationship.

Return for Risk

XTWO vs. XTRE — Risk / Return Rank

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

XTWO

XTWO Risk / Return Rank: 80
XTWO Sharpe Ratio Rank: 78
XTWO Sortino Ratio Rank: 90
XTWO Omega Ratio Rank: 84
XTWO Calmar Ratio Rank: 75
XTWO Martin Ratio Rank: 72

XTRE

XTRE Risk / Return Rank: 44
XTRE Sharpe Ratio Rank: 44
XTRE Sortino Ratio Rank: 49
XTRE Omega Ratio Rank: 44
XTRE Calmar Ratio Rank: 44
XTRE Martin Ratio Rank: 40

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.

XTWO vs. XTRE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BondBloxx Bloomberg Two Year Target Duration US Treasury ETF (XTWO) and BondBloxx Bloomberg Three Year Target Duration US Treasury ETF (XTRE). 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.

	XTWO	XTRE	Difference
Sharpe ratio Return per unit of total volatility	2.52	1.52	+0.99
Sortino ratio Return per unit of downside risk	4.16	2.37	+1.79
Omega ratio Gain probability vs. loss probability	1.52	1.28	+0.24
Calmar ratio Return relative to maximum drawdown	3.78	2.14	+1.64
Martin ratio Return relative to average drawdown	13.59	6.25	+7.34
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XTWO vs. XTRE - Sharpe Ratio Comparison

The current XTWO Sharpe Ratio is 2.52, which is higher than the XTRE Sharpe Ratio of 1.52. The chart below compares the historical Sharpe Ratios of XTWO and XTRE, 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

	XTWO	XTRE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.52	1.52	+0.99
Sharpe Ratio (All Time) Calculated using the full available price history	1.74	1.10	+0.64

Drawdowns

XTWO vs. XTRE - Drawdown Comparison

The maximum XTWO drawdown since its inception was -1.73%, smaller than the maximum XTRE drawdown of -2.89%. Use the drawdown chart below to compare losses from any high point for XTWO and XTRE.

Drawdown Indicators

	XTWO	XTRE	Difference
Max Drawdown Largest peak-to-trough decline	-1.73%	-2.89%	+1.16%
Max Drawdown (1Y) Largest decline over 1 year	-0.91%	-1.53%	+0.62%
Max Drawdown (3Y) Largest decline over 3 years	-1.18%	-2.00%	+0.82%
Current Drawdown Current decline from peak	-0.38%	-1.13%	+0.75%
Average Drawdown Average peak-to-trough decline	-0.40%	-0.83%	+0.43%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.25%	0.52%	-0.27%

Volatility

XTWO vs. XTRE - Volatility Comparison

The current volatility for BondBloxx Bloomberg Two Year Target Duration US Treasury ETF (XTWO) is 0.36%, while BondBloxx Bloomberg Three Year Target Duration US Treasury ETF (XTRE) has a volatility of 0.63%. This indicates that XTWO experiences smaller price fluctuations and is considered to be less risky than XTRE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XTWO	XTRE	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.36%	0.63%	-0.27%
Volatility (6M) Calculated over the trailing 6-month period	0.95%	1.49%	-0.54%
Volatility (1Y) Calculated over the trailing 1-year period	1.37%	2.15%	-0.78%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.16%	3.32%	-1.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.16%	3.32%	-1.16%

XTWO vs. XTRE - Expense Ratio Comparison

Both XTWO and XTRE have an expense ratio of 0.05%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

XTWO vs. XTRE - Dividend Comparison

XTWO's dividend yield for the trailing twelve months is around 4.05%, which matches XTRE's 4.01% yield.

Position	TTM	2025	2024	2023	2022
XTRE BondBloxx Bloomberg Three Year Target Duration US Treasury ETF	4.01%	3.85%	4.19%	3.97%	1.16%
XTWO BondBloxx Bloomberg Two Year Target Duration US Treasury ETF	4.05%	4.24%	4.54%	4.07%	1.13%

Frequently Asked Questions

Can I hold both XTWO and XTRE in my portfolio?

With a correlation of 0.96, XTWO and XTRE 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, XTWO or XTRE?

XTRE has higher volatility (0.63%) compared to XTWO (0.36%). In terms of maximum drawdown, XTWO dropped -1.73% vs XTRE's -2.89%.

Which ETF is better, XTWO or XTRE?

On 3-year performance, XTWO leads with 4.12% vs 3.89% for XTRE. Both ETFs have the same 0.05% expense ratio. On volatility, XTWO has been the lower-risk option at 0.36%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XTWO or XTRE?

Over the 3-year period, XTWO has performed better with a 4.12% return vs 3.89%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XTWO or XTRE?

XTWO and XTRE have the same expense ratio: 0.05% per year.

Which ETF pays a higher dividend yield, XTWO or XTRE?

XTWO has the higher dividend yield at 4.05%, compared with 4.01% for XTRE.

What is the main difference between XTWO and XTRE?

XTWO tracks Bloomberg US Treasury 2 Year Target Duration Index, while XTRE tracks Bloomberg US Treasury 3 Year Target Duration Index.

Which has better risk-adjusted returns?

XTWO currently has the higher Sharpe Ratio (2.52 vs 1.52), 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.