The iShares 20+ Year Treasury Bond ETF (TLT +0.92%) and the State Street SPDR Portfolio Long Term Corporate Bond ETF (SPLB +0.80%) differ most in underlying bond exposure, with TLT focused on U.S. Treasuries and SPLB targeting long-duration investment-grade corporate bonds, while also contrasting on cost and recent performance.
Both TLT and SPLB aim to give investors targeted exposure to long maturity bonds, but their portfolios diverge. TLT is a pure-play on U.S. government debt, while SPLB holds a broad basket of long-term corporate bonds. This comparison highlights how their distinct approaches play out in cost, yield, risk, and return.
Snapshot (cost & size)
| Metric | TLT | SPLB |
|---|---|---|
| Issuer | iShares | SPDR |
| Expense ratio | 0.15% | 0.04% |
| 1-yr return (as of Apr. 15, 2026) | 4.0% | 8.8% |
| Dividend yield | 4.5% | 5.4% |
| Beta | 0.55 | 0.67 |
| AUM | $42.6 billion | $1.3 billion |
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months.
SPLB looks more affordable on fees, charging just 0.04% versus TLT’s 0.15%, and also offers a higher yield at 5.4% compared to 4.5%, which may appeal to income-focused investors seeking a higher payout with lower costs.
Performance & risk comparison
| Metric | TLT | SPLB |
|---|---|---|
| Max drawdown (5 y) | -43.70% | -34.49% |
| Growth of $1,000 over 5 years | $735 | $926 |
What’s inside
SPLB tracks a diversified pool of more than 3,000 long-term, investment-grade U.S. corporate bonds, spanning issuers such as Amazon.com Unsecured 03/76 6.05 0.52%, Anheuser Busch Company Guar 02/46 4.9 0.37%, and CVS Health Corp Unsecured 03/48 5.05 0.34%. With over 17 years on the market, SPLB is designed for broad corporate bond exposure with maturities of at least 10 years and no leverage or currency hedging quirks.
TLT, by contrast, is exclusively focused on U.S. Treasury bonds with maturities longer than 20 years, including top holdings like Treasury Bond 08/15/2053 4.62%, Treasury Bond 11/15/2053 4.60%, and Treasury Bond 08/15/2051 4.59%. This government-only approach may appeal to those prioritizing credit safety over yield or corporate risk.
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What this means for investors
Both the iShares 20+ Year Treasury Bond ETF (TLT) and the State Street SPDR Portfolio Long Term Corporate Bond ETF (SPLB) are designed for long-term income. In weighing which to invest in, the choice comes down to your individual goals.
TLT is for investors who prioritize capital preservation. It delivers maximum safety, given the ETF’s focus on U.S. Treasury bonds. The fund’s substantial assets under management of $42.6 billion provides high liquidity as well. However, TLT isn’t going to furnish big gains, and its higher expense ratio and lower one-year return demonstrate SPLB is the better choice for those seeking income above all else.
SPLB supplies more income, as illustrated by its higher dividend yield and one-year return, through its focus on a wide range of investment-grade U.S. corporate bonds. It also sports a low expense ratio, making it a great choice for a bond fund. The tradeoff is that corporate bonds are riskier than investing in U.S. Treasuries.
Buying both ETFs is also a good strategy. TLT offers investors a hedge against market downturns, while SPLB offers solid income.