EDV vs UTHY

EDVAVanguard Extended Duration Treasury ETF

UTHYBUS Treasury 30 Year Bond ETF

In short

EDV Zero-coupon Treasury STRIPS maturing in 20 to 30 years: the most rate-sensitive corner of the government bond market, in a five-basis-point Vanguard wrapper. Pure duration, nothing else.

UTHY Most long-Treasury funds blend dozens of bonds into an average. UTHY holds one: the current 30-year, rolling into the next when it's auctioned. Pure exposure to the far end of the curve, with monthly payouts instead of a bond's semiannual coupons.

Stated mandate

EDV The fund passively tracks an index of extended-duration, zero-coupon U.S. Treasury securities, specifically Treasury STRIPS with maturities from 20 to 30 years.

UTHY The fund seeks to track, before fees and expenses, the price and yield performance of its Bloomberg Treasury benchmark.

Why people hold it

• EDV At 0.05%, it undercuts the typical long-Treasury ETF (cohort median 0.15%) and charges a third of what TLT does.
• STRIPS have their coupons removed, so the roughly 80 holdings are pure principal claims dated 20 to 30 years out. Rate sensitivity runs beyond standard 20+ year Treasury funds.vanguard.com
• Vanguard has run it since 2007, it tracks its Bloomberg STRIPS index closely, and it sits among the top-rated names in its long-Treasury peer group.

• UTHY Single-security design. It tracks the Bloomberg US Treasury Bellwether 30Y index, meaning the newest 30-year bond, then hands off to the next one at auction. No maturity bucket, no drifting average duration.fminvest.com
• The underlying bond pays interest twice a year. The fund aims to pay monthly, and handles the rolling into each newly issued 30-year for you.fminvest.com
• At 0.15%, it sits exactly at the median fee for long-Treasury ETFs, same sticker as TLT, the category's best-known name.
• Part of F/m's US Benchmark Series, the shelf that first wrapped an individual Treasury in an ETF, with a fund at each benchmark point on the curve.fminvest.combusinesswire.com

Worth knowing

• EDV Vanguard's own fact sheet warns that interest rate risk is expected to be extremely high and that rising rates may cause the fund's value to decline significantly.vanguard.com
• Vanguard describes the fund as primarily intended for pension plans and other institutions matching long-term liabilities.vanguard.com
• The STRIPS pay no coupons. Income accrues as the discount pulls toward par, and the fund passes that along to shareholders.vanguard.com

• UTHY One bond, no cushion. You get the full rate sensitivity of a fresh 30-year and nothing else in the portfolio to soften a move in long yields.fminvest.com
• Cheaper routes to the long end exist: VGLT charges 0.03% and BBLB 0.04%, against 0.15% here.
• Smaller and less heavily traded than the long-Treasury giants, and it launched in 2023, so the track record is short.

Full EDV profile⁠

Full UTHY profile⁠