SGOV vs TFLO

Quick Verdict

SGOV has a lower expense ratio. TFLO delivered stronger 1-year returns. SGOV offers more diversification with 23 holdings.

Lower Fees: SGOVHigher Returns: TFLOMore Diversified: SGOV

Side-by-Side Comparison

MetricSGOVTFLOWinner
Expense Ratio0.09%0.15%
AUM$99.7B$6.6B
Dividend Yield3.85%3.89%
Holdings2310
YTD Return+1.90%+2.00%
1Y Return+3.52%+3.58%
3Y Return (annualized)+4.51%+4.53%
5Y Return (annualized)+3.62%+3.73%
Volatility (annualized)0.7%0.7%
Max Drawdown-0.3%-5.0%
Fund FamilyiShares by BlackRock (US)iShares by BlackRock (US)
CategoryFixed IncomeFixed Income
InceptionMay 26, 2020Feb 4, 2014

SGOV vs TFLO Performance

iShares 0-3 Month Treasury Bond ETF (SGOV) is a ETF from iShares by BlackRock (US) and iShares Treasury Floating Rate Bond ETF (TFLO) is a ETF from iShares by BlackRock (US). Over the past year SGOV returned +3.52% while TFLO returned +3.58%. Year to date, SGOV is up 1.90% versus a gain of 2.00% for TFLO.

Over three years, SGOV compounded at +4.51% per year against +4.53% for TFLO; over five years the annualized figures are +3.62% and +3.73% respectively. Across the full 6-year window we track, SGOV has the edge at +2.91% annualized vs +1.50%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SGOV has been the more volatile fund, with annualized monthly volatility of 0.7% compared with 0.7% for TFLO. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -0.3% for SGOV and -5.0% for TFLO. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.88. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SGOV charges 0.09% per year while TFLO charges 0.15%. On a $10,000 position that is $9 vs $15 annually, a gap of $6 per year that compounds over a long holding period. On income, SGOV currently yields 3.85% against 3.89% for TFLO.

Holdings Overlap

0.0%overlap

SGOV and TFLO share 0 holdings out of 6 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, SGOV or TFLO?

SGOV has an expense ratio of 0.09% while TFLO charges 0.15%. SGOV is the cheaper option. On a $10,000 investment, that is $6 per year of difference.

Which performed better, SGOV or TFLO?

Over the past year SGOV returned +3.52% vs +3.58% for TFLO, so TFLO leads on 1-year performance. Over the longest common window we track (6 years), SGOV annualized +2.91% vs +1.50% for TFLO. Past performance does not guarantee future results.

Which is riskier, SGOV or TFLO?

SGOV has been the more volatile fund at 0.7% annualized versus 0.7% for TFLO. Worst drawdown: SGOV -0.3% vs TFLO -5.0%.

Should I hold both SGOV and TFLO?

SGOV and TFLO have a monthly-return correlation of 0.88, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SGOV and TFLO?

SGOV and TFLO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 6 unique securities.

Which pays a higher dividend, SGOV or TFLO?

SGOV yields 3.85% while TFLO yields 3.89%, so TFLO currently pays the higher dividend yield.

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