Vanguard's VGLT or Schwab's SCHQ: Which Long-Term Treasury ETF Is the Better Buy?

1 hour ago 3

Sara Appino, The Motley Fool

Sat, August 15, 2026 astatine 6:19 PM CDT 4 min read

The Vanguard Long-Term Treasury ETF (NASDAQ:VGLT) and the Schwab Long-Term U.S. Treasury ETF (NYSEMKT:SCHQ) supply near-identical vulnerability to long-duration authorities indebtedness with matching disbursal ratios and show profiles.

Both the Vanguard money and the Schwab money people the agelong extremity of the U.S. Treasury curve, allowing investors to hedge against falling involvement rates oregon broader economical volatility. These funds absorption connected bonds with astatine slightest 10 years until maturity, which makes them highly delicate to involvement complaint shifts.

Snapshot (cost & size)

Beta measures terms volatility comparative to the S&P 500; beta is calculated from monthly returns implicit the disposable money past (up to 5 years). The 1-yr instrumentality represents full instrumentality implicit the trailing 12 months. Dividend output is the trailing-12-month organisation yield.

Both ETFs are highly efficient, sharing a debased 0.03% disbursal ratio. While they way akin portfolios, the Schwab money offers a somewhat higher output of 4.9% compared to 4.8% for the Vanguard fund, reflecting insignificant differences successful their circumstantial enslaved selections.

Performance & hazard examination

What's wrong

Vanguard Long-Term Treasury ETF targets important and dependable existent income by investing successful authorities indebtedness with maturities spanning 10 to 25 years. This attraction successful the agelong extremity of the output curve makes the money peculiarly delicate to involvement complaint changes. It presently holds 102 positions and was launched successful 2009. Vanguard Long-Term Treasury ETF has paid $2.52 per stock implicit the trailing 12 months, which connected its caller ~$53.05 stock terms works retired to a 4.8% yield.

Schwab Long-Term U.S. Treasury ETF focuses connected mirroring a benchmark scale that tracks the show of the long-duration conception of the U.S. Treasury enslaved market. The portfolio contains 100 holdings and consists of indebtedness backed by the afloat religion and recognition of the national government, often providing a hedge against equity marketplace downturns. It was launched successful 2019. Schwab Long-Term U.S. Treasury ETF has paid $1.47 per stock implicit the trailing 12 months, which connected its caller ~$30.10 stock terms works retired to a 4.9% yield.

For much guidance connected ETF investing, cheque retired the afloat usher astatine this link.

Read Entire Article