Long Term Treasuries are negatively correlated with equities during deep economic recessions and market panics when flight-to-safety capital flows occur. In other times long term treasures may be positively or negatively correlated with stocks but overall there is zero to slightly negative correlation to the overall stock market
TLT is the oldest fund but has a higher expense ratio. All funds are 99–100% correlated. SCHQ is relatively small so I would avoid it. GOVZ is a strips fund which acts like a leverged version of TLT, with a 1.5x multiplier.
HOLD IN IRA: Coupon payments and dividends are taxed as ordinary income.
| Fund | Symbol | Type | Expense Ratio | Market Cap / AUM | Live Price | Index / Benchmark / Notes |
|---|---|---|---|---|---|---|
| Vanguard Long-Term Treasury ETF | VGLT | ETF | 0.03% | $15.1B | $49.92 | Bloomberg Long U.S. Treasury Index 10-25 year maturity; Recommended |
| iShares 20+ Year Treasury Bond ETF | TLT | ETF | 0.15% | $47.2B | $77.48 | IDC US Treasury 20+ Year Index 20+ year maturity; Oldest & most liquid |
| Schwab Long-Term U.S. Treasury ETF | SCHQ | ETF | 0.03% | $940.5M | $28.32 | Bloomberg US Long Treasury Index 10+ year maturity; Small fund size |
| SPDR Portfolio Long Term Treasury ETF | SPTL | ETF | 0.03% | $10.9B | $23.75 | Bloomberg Long U.S. Treasury Index 10+ year maturity; Low cost option |
| iShares 25+ Year Zero Coupon U.S. Treasury STRIPS ETF | GOVZ | ETF | 0.15% | $307.1M | $30.70 | ICE 25+ Year Zero Coupon U.S. Treasury Index Zero-coupon STRIPS fund but distributes a taxable dividend; ~1.5x duration leverage multiplier vs TLT |