Average Daily Volume
13.69M
Fund Overview
The iShares U.S. Treasury Bond ETF (GOVT) is designed to provide investors with exposure to U.S. Treasury securities across all maturities. This ETF tracks the ICE U.S. Treasury Core Bond Index, which includes Treasury bonds, notes, and bills issued by the U.S. government. GOVT offers a low-cost way to invest in a diversified portfolio of government debt, which is considered one of the safest fixed-income investments due to the full faith and credit of the U.S. government. The fund is ideal for investors seeking capital preservation, income, and a hedge against equity market volatility.
- Asset Class
-
Bond
- Industry
-
Treasury Bonds
- Annual Dividend Rate
-
- Smart Beta
-
No
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 4.15 %
- Currency Hedged
-
No
- Portfolio Turnover
-
18 %
- Dividend Date
-
Why Invest in the GOVT ETF?
Potential Benefits
- Provides exposure to U.S. Treasury securities, which are backed by the full faith and credit of the U.S. government.
- Offers diversification across various maturities, from short-term bills to long-term bonds.
- Low expense ratio compared to actively managed bond funds.
- Highly liquid, with tight bid-ask spreads due to the underlying assets' liquidity.
- Acts as a safe-haven asset during periods of market volatility or economic uncertainty.
Potential Risks
- Interest rate risk: Rising rates can lead to declining bond prices, especially for longer-duration bonds.
- Inflation risk: Fixed coupon payments may lose purchasing power over time if inflation rises.
- Lower yield compared to corporate or high-yield bonds, potentially reducing income potential.
- Opportunity cost: In strong equity markets, Treasury returns may lag behind riskier assets.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+0.1%
|
+1.7%
|
-1.7%
|
-0.1%
|
+0.1%
|
+0.3%
|
-1.2%
|
+0.3%
|
-2.2%
|
0.0%
|
-
|
-
|
| 2025 |
-1.7%
|
+2.2%
|
+0.2%
|
+0.7%
|
-1.1%
|
+1.3%
|
-0.4%
|
+1.0%
|
+0.9%
|
+0.6%
|
+0.6%
|
-0.5%
|
| 2024 |
-0.2%
|
-1.3%
|
+0.8%
|
-2.4%
|
+1.4%
|
+1.0%
|
+2.2%
|
+1.3%
|
+1.2%
|
-2.4%
|
+0.8%
|
+0.7%
|
| 2023 |
+2.7%
|
-2.3%
|
+2.9%
|
+0.4%
|
-1.1%
|
-0.8%
|
-0.1%
|
-0.5%
|
-2.2%
|
-1.2%
|
+3.5%
|
+3.2%
|
| 2022 |
-2.6%
|
-0.8%
|
-3.2%
|
-2.9%
|
0.0%
|
-0.8%
|
+1.6%
|
-2.6%
|
-3.4%
|
-1.3%
|
+2.7%
|
-0.7%
|
| 2021 |
-0.4%
|
-1.8%
|
-1.5%
|
+0.7%
|
+0.2%
|
+0.9%
|
+1.2%
|
-0.1%
|
-1.1%
|
-0.1%
|
+0.6%
|
+0.4%
|
| 2020 |
+2.5%
|
+2.5%
|
+3.1%
|
+0.3%
|
-0.2%
|
+0.2%
|
+1.1%
|
-1.2%
|
+0.3%
|
-1.1%
|
+0.5%
|
-0.8%
|
| 2019 |
+1.0%
|
-0.3%
|
+2.0%
|
-0.4%
|
+2.4%
|
+0.8%
|
0.0%
|
+3.4%
|
-0.9%
|
0.0%
|
-0.3%
|
-0.5%
|
| 2018 |
-1.3%
|
-0.7%
|
+0.8%
|
-0.8%
|
+0.8%
|
+0.3%
|
-0.5%
|
+0.7%
|
-0.9%
|
-0.4%
|
+0.9%
|
+1.5%
|
| 2017 |
+0.3%
|
+0.4%
|
0.0%
|
+0.7%
|
+0.6%
|
-0.1%
|
+0.2%
|
+1.0%
|
-0.9%
|
-0.3%
|
-0.1%
|
+0.2%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
No holdings data available.
Related ETFs: GOVT vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
The iShares U.S. Treasury Bond ETF (GOVT) seeks to track the performance of the ICE U.S. Treasury Core Bond Index, which includes U.S. Treasury bonds, notes, and bills across all maturities. The index is market-cap weighted, meaning longer-duration bonds have a larger impact on performance. The fund holds physical Treasury securities, providing direct exposure to the U.S. government debt market. It is passively managed and rebalanced periodically to align with the index composition. The fund's holdings are typically adjusted as new Treasury securities are issued or older ones mature.
Frequently Asked Questions
What types of Treasury securities does GOVT hold?
GOVT holds a mix of U.S. Treasury bonds, notes, and bills across all maturities, providing broad exposure to the Treasury market.
How does GOVT differ from a money market fund?
GOVT includes longer-duration Treasury securities, which are more sensitive to interest rate changes but typically offer higher yields than the short-term instruments held by money market funds.
Is GOVT a good hedge against stock market downturns?
Yes, U.S. Treasuries often perform well during equity market stress, making GOVT a potential hedge in diversified portfolios.
How often does GOVT pay dividends?
GOVT distributes income monthly, reflecting the coupon payments from its underlying Treasury holdings.
Industry Overview
The iShares U.S. Treasury Bond ETF (GOVT) provides exposure to the U.S. Treasury market, which is one of the largest and most liquid bond markets in the world. U.S. Treasuries are widely regarded as a benchmark for risk-free assets and are commonly used by investors for capital preservation, income generation, and portfolio diversification. Investing in GOVT allows investors to gain broad exposure to U.S. government debt without the need to purchase individual bonds. The fund is particularly relevant for conservative investors, retirees, and those looking to balance equity-heavy portfolios with lower-risk fixed-income assets.
Alternative Comparison
Compared to its peers, GOVT offers a broad exposure to the entire U.S. Treasury yield curve, unlike funds like TLT (focused on long-dated bonds) or SHY (focused on short-dated bills). GOVT's expense ratio is competitive with similar Treasury ETFs such as VGIT (Vanguard Intermediate-Term Treasury ETF) and SCHR (Schwab Intermediate-Term U.S. Treasury ETF). Unlike some actively managed bond funds, GOVT provides a transparent, rules-based approach to Treasury investing with lower fees. It also differs from Treasury Inflation-Protected Securities (TIPS) ETFs, as GOVT does not provide explicit inflation protection.
Issuer Overview
iShares, a subsidiary of BlackRock, is the largest ETF provider globally, known for its broad range of index-tracking funds. The firm is recognized for its low-cost, transparent, and liquid ETFs, making it a trusted choice for both individual and institutional investors. iShares' fixed-income ETFs, including GOVT, are designed to provide efficient access to various segments of the bond market.
Conclusion
The iShares U.S. Treasury Bond ETF (GOVT) is a cost-effective and liquid way to gain exposure to U.S. Treasury securities. It serves as a core holding for conservative investors, a diversification tool for balanced portfolios, and a safe-haven asset during market turbulence. While it carries interest rate and inflation risks, its backing by the U.S. government makes it one of the lowest-credit-risk fixed-income investments available.
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