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ETF Comparison

USFR vs SGOV: Yield, Safety, Taxes, and Cash Parking Compared

A head-to-head comparison of WisdomTree's floating-rate Treasury fund and the iShares 0-3 Month Treasury Bond ETF covering repricing speed, yield, cost, and rate sensitivity.

Updated October 2, 2026

How these figures are calculated: methodology.

Best for

  • SGOVInvestors who want a 0-3 month T-bill stack that barely marks to market.
  • USFRInvestors who want Treasury cash that reprices weekly when policy rates move.

Jump to the side-by-side numbers

Visual comparison

Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Total returns

100% reinvested · ex-date convention. Period returns use this fixed assumption, independent of chart settings. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year.

SGOV has lagged USFR over the trailing twelve months, posting a 3.79% total return against 4.05%. The lead holds up over 5 years too: USFR has compounded at 3.94% a year, against 3.79% for SGOV. SGOV has been the steadier holding, though — annualized volatility of 0.2% against 0.3% for USFR. Figures are total returns: price change plus every distribution reinvested.

Total return and risk statistics by fund. Each row is one fund; each column is one period or statistic.
SymbolYTD cumulative1Y cumulative3Y annualized5Y annualizedSince May 2020Volatility Sharpe Sortino Max drawdown
SGOV2.73%3.79%4.55%3.79%2.99%0.2%-0.15-0.24-0.0%
USFR2.94%4.05%4.63%3.94%3.11%0.3%0.130.19-0.1%

Total return with all distributions reinvested on the ex-dividend date (a modeling convention, not the cash-settlement date), split-adjusted, as of October 2, 2026. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year. “Since May 2020” measures every fund from May 28, 2020 — the start of shared available history — so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.

Short T-bill ETFs, from our catalog

SGOV tracks ICE 0-3 Month US Treasury Securities Index and pays monthly at a forward distribution rate of 3.60% with an expense ratio of 0.09%.

BIL, another short Treasury ETF in this catalog, tracks Bloomberg 1-3 Month U.S. Treasury Bill Index at a forward distribution rate of 3.45% (Monthly) with an expense ratio of 0.1353%.

These are interest-like cash rates, not equity dividends. A covered-call or dividend ETF can pay more, and it can also lose principal.

Side-by-side snapshot

Side-by-side snapshot. Each row is one metric; each column is one fund.
MetricSGOVUSFR
Full nameiShares 0-3 Month Treasury Bond ETFWisdomTree Floating Rate Treasury Fund
IssueriSharesWisdomTree
Underlying indexICE 0-3 Month US Treasury Securities IndexBloomberg U.S. Treasury Floating Rate Bond Index
Last Close$100.44 as of October 2, 2026$50.40 as of October 2, 2026
Distribution rate3.60%3.77%
Trailing 12-month yield3.65%3.73%
Distribution Safety Score™ 7980
Safety-Adjusted Yield 2.84%3.02%
Expense ratio0.09%0.15%
AUM$112B$19.6B
Distribution frequencyMonthlyMonthly
ObjectiveSeeks to track an index of U.S. Treasury obligations maturing in three months or less, investing at least 90% of assets in U.S. Treasury securities.Track the performance of U.S. Treasury floating-rate notes (FRNs).
Asset classFixed IncomeFixed Income
Inception date05/26/202002/04/2014
Beta-0.0029-0.02
Last dividend$0.301 declared, pays 10/06/2026$0.15824
Ex-dividend date10/01/202609/25/2026

Bottom lineChoose SGOV if you want a 0-3 month T-bill stack that barely marks to market. Choose USFR if you want Treasury cash that reprices weekly when policy rates move.

USFR vs SGOV: weekly reset or a shorter bill stack?

Both are Treasury cash vehicles. USFR holds floating-rate notes that reprice weekly. SGOV rolls 0-3 month T-bills. The yield gap is usually small; the rate path is the product.

SGOVUSFR
Treasury book0-3 month T-billsTreasury floating-rate notes
How income updatesAs the bill stack rollsWeekly coupon reset
Expense ratio0.09%0.15%
Distribution rate3.60%3.77%
Better fit forA shorter bill stack and a slower repriceCash that should follow policy rates quickly
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Income calculator

See how much monthly income a hypothetical investment would generate in each ETF at current yields.

iShares
ETFs466
Total AUM$4683B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

iShares is one of the largest ETF providers globally, known for offering a broad, diversified lineup of exchange-traded funds across multiple asset classes and investment strategies. The company operates 215 funds spanning 15 distinct families, including popular offerings in dividend income, covered call strategies, bonds, equities, ESG-focused investments, and factor-based approaches, with widely-held tickers like AGG (bond), ACWI (global equity), and AOA (allocation). iShares is characterized by its comprehensive fund ecosystem that serves both core portfolio holdings and specialized investment strategies, making it a prominent player for investors seeking both traditional and alternative income-generating ETF solutions.

See our curated list of related YouTube videos on SGOV.

See all iShares ETFs
WisdomTree
ETFs94
Total AUM$102B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

WisdomTree is known for developing thematic and factor-based ETFs that go beyond traditional market-cap weighting approaches. The issuer maintains a broad lineup spanning dividend and income strategies, international equities, commodities, bonds, digital assets, and specialized thematic areas like megatrends and alternatives. WisdomTree's diverse fund family appeals to investors seeking both traditional income exposure and more specialized strategies, with popular tickers across equity, fixed income, and alternative asset classes.

See our curated list of related YouTube videos on USFR.

See all WisdomTree ETFs

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Quick verdict

SGOV (iShares 0-3 Month Treasury Bond ETF) and USFR (WisdomTree Floating Rate Treasury Fund) are both monthly-pay dividend ETFs, but they take different approaches.

USFR offers the higher yield at 3.77% vs 3.60% for SGOV. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

SGOV is cheaper with an expense ratio of 0.09% compared to 0.15%.

They have different reference exposures: SGOV is linked to ICE 0-3 Month US Treasury Securities Index while USFR is linked to Bloomberg U.S. Treasury Floating Rate Bond Index, which means their performance drivers differ.

SGOV is the larger fund by assets ($112B), but assets alone do not establish trading costs or liquidity.

Who should choose each?

Choose SGOV

iShares 0-3 Month Treasury Bond ETF

  • Want a 0-3 month T-bill stack that barely moves when rates change.
  • Want fixed-income ballast that cushions equity drawdowns.
  • Want to keep costs low — a 0.09% expense ratio vs 0.15% for USFR.

Choose USFR

WisdomTree Floating Rate Treasury Fund

  • Want floating-rate Treasury notes that reset weekly with policy rates.
  • Want fixed-income ballast that cushions equity drawdowns.

Not sure? Use the income calculator and snapshot above to weigh these trade-offs against your own goals.

Deep dive

Yield & income

On a $10,000 investment, SGOV would generate roughly $30.00 cash per distribution, while USFR would produce $31.42 cash per distribution, at current distribution rates. Both pay monthly distributions.

SGOV yield3.60%
USFR yield3.77%
Cash diff on $10K$1.42

Cost & efficiency

Over 10 years on $10,000, SGOV would cost approximately $90 in fees vs $150 for USFR (simplified, not compounded). The $60.00 difference may be offset by yield or performance.

SGOV ER0.09%
USFR ER0.15%

Strategy & risk

SGOV tracks ICE 0-3 Month US Treasury Securities Index with a bonds approach, while USFR tracks Bloomberg U.S. Treasury Floating Rate Bond Index with a bonds approach.

SGOV beta-0.0029
USFR beta-0.02

Fund details

SGOV is managed by iShares (launched 05/26/2020) with $112B in assets. USFR is managed by WisdomTree (launched 02/04/2014) with $19.6B in assets.

SGOV AUM$112B
USFR AUM$19.6B
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Frequently asked questions

What is the difference between USFR and SGOV?

USFR holds Treasury floating-rate notes that reprice weekly, so its income moves quickly when policy rates change. SGOV rolls 0-3 month T-bills, so its payout follows the bill curve more slowly and its price barely moves. Cost is 0.15% for USFR versus 0.09% for SGOV; current distributions are 3.77% and 3.60% as of October 2026. Neither is an insured bank account. The decision is which side of a rate move you want: faster reset or a shorter bill stack.

What is the current distribution rate for SGOV and USFR?

SGOV currently distributes 3.60% and USFR 3.77%, based on fund data updated October 2026. Distribution rate moves with both the payout and the share price, so check the as-of date before relying on either figure.

Is SGOV or USFR better for dividend income?

It depends on your goals. USFR currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

Can I hold both SGOV and USFR?

Yes — nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

Is SGOV or USFR safer?

By Dividend Vision's Distribution Safety Score — a rules-based 0–100 estimate of how resilient a distribution looks, where higher is safer — they are effectively tied: USFR scores 80, SGOV scores 79. Neither has a clear safety edge on that measure. No score makes an investment risk-free — treat this as a screening signal, not a guarantee.

Which has lower fees, SGOV or USFR?

SGOV has an expense ratio of 0.09% while USFR charges 0.15%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in SGOV vs USFR generate?

At current rates, $10,000 in SGOV would generate roughly $30.00 cash per distribution ($360.00 annually). The same in USFR would produce about $31.42 cash per distribution ($377.00 annually).

Which has performed better historically, SGOV or USFR?

SGOV has lagged USFR over the trailing twelve months, posting a 3.79% total return against 4.05%. The lead holds up over 5 years too: USFR has compounded at 3.94% a year, against 3.79% for SGOV. SGOV has been the steadier holding, though — annualized volatility of 0.2% against 0.3% for USFR. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

More comparisons to explore

SGOV vs USFR — at a glance

Generated October 3, 2026.

Overview

SGOV and USFR are both Treasury-focused ETFs designed to capture near-risk-free yields, but they target different maturity zones within the Treasury curve. The key distinction: SGOV locks in a fixed rate for a very brief horizon, whereas USFR extends duration slightly and benefits if rates hold steady or fall.

How they differ

The most significant difference is maturity and rate-sensitivity structure. SGOV holds Treasury bills with maturities under 90 days—essentially cash equivalents with a fixed coupon for a few weeks. SGOV's distribution yield of 3.60% is slightly lower than USFR's 3.77%, a gap that partly reflects the longer duration and additional interest-rate risk in floating-rate notes. SGOV's expense ratio of 0.09% is also cheaper than USFR's 0.15%. By asset base, SGOV is considerably larger at $112B versus $19.6B, indicating broader adoption as a money-market substitute.

Who each is best for

SGOV: Fits investors seeking the simplest possible Treasury exposure with minimal interest-rate sensitivity and the lowest cost; those who view the fund as a tactical cash holding or safe parking spot for capital between other decisions.

USFR: Designed for investors comfortable holding slightly longer-dated Treasury paper in exchange for a modestly higher yield; those whose time horizon extends beyond a few weeks and who want to capture any benefit if short-term rates stabilize or decline from current levels.

Key risks to know

  • Duration extension risk in USFR. While floating-rate Treasuries lack the long-duration risk of conventional bonds, they still carry more interest-rate sensitivity than SGOV's three-month bills. If rates rise significantly after a coupon reset, the floating-rate holder locks in that higher rate for the next period, but the NAV may contract during the interim.
  • Reinvestment dynamics in SGOV. As bills mature continuously (within weeks to months), SGOV must reinvest proceeds at prevailing Treasury rates. If yields fall sharply, reinvestment at lower rates will compress yields; if they rise, early reinvestment captures the higher rate. This timing variability is inherent to ultra-short strategies.
  • Credit risk is minimal but not zero. Both funds hold only U.S. Treasury securities, backed by the full faith and credit of the U.S. government. This is the lowest credit-risk asset class, but it is not risk-free in a broad sense (inflation, FX, policy risk exist).
  • Negative beta in both funds. SGOV's beta of -0.0029 and USFR's beta of -0.02 reflect Treasury securities' historical inverse relationship with equities. This makes both funds modest portfolio diversifiers during equity downturns, but the benefit is small in absolute terms.

Bottom line

If you want the absolute minimum interest-rate risk and the lowest cost, SGOV stands out as the purer cash equivalent. If you can tolerate a few weeks of additional duration and want to pick up a modestly higher yield in a rising or stable-rate environment, USFR offers a small extra cushion. Past performance of Treasury yields does not predict future rates.

AI-generated analysis for educational purposes only. Verify important details independently; past performance does not guarantee future results.

Learn the method

The metrics behind this comparison, explained in the Academy.

Bond fund basics How to read a fund's stats Why total return beats chasing yield T-bills vs. money market funds vs. CDs

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These comparisons follow the Dividend Vision methodology.