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ETF Comparison

TLT vs TLTW: Which Is the Better Pick in 2026?

A head-to-head comparison of iShares 20+ Year Treasury Bond ETF and iShares 20+ Year Treasury Bond BuyWrite Strategy ETF covering yield, cost, risk, and income potential.

Data updated April 5, 2026

Side-by-side snapshot

TLTTLTW
Full nameiShares 20+ Year Treasury Bond ETFiShares 20+ Year Treasury Bond BuyWrite Strategy ETF
IssuerBlackRockiShares
Price$86.26$22.40
Distribution yield4.28%13.37%
Expense ratio0.15%0.35%
AUM$45.4B$1.8B
Distribution frequencyMonthlyMonthly
Underlying indexICE U.S. Treasury 20+ Year Bond IndexICE U.S. Treasury 20+ Year Bond Index
ObjectiveProvide exposure to the fund's underlying index or strategy per issuer materials.Covered Call
Asset classFixed IncomeEquity
Inception date07/22/200208/18/2022
Beta2.381.67
Last dividend$0.34$0.21
Ex-dividend date04/01/202604/02/2026

Visual comparison

Key metrics

Projected income on $10K

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

Quick verdict

TLT (iShares 20+ Year Treasury Bond ETF) and TLTW (iShares 20+ Year Treasury Bond BuyWrite Strategy ETF) are both popular monthly-pay provide exposure to the fund's underlying index or strategy per issuer materials. ETFs, but they take different approaches.

TLTW offers the higher yield at 13.37% vs 4.28% for TLT. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

TLT is cheaper with an expense ratio of 0.15% compared to 0.35%.

TLT is the larger fund by assets ($45.4B), which generally means tighter spreads and better liquidity.

Deep dive

Yield & income

On a $10,000 investment, TLT would generate roughly $35.67/month while TLTW would produce $111.42/month at current distribution rates. Both pay monthly distributions.

TLT yield4.28%
TLTW yield13.37%
Monthly diff on $10K$75.75

Cost & efficiency

Over 10 years on $10,000, TLT would cost approximately $150 in fees vs $350 for TLTW (simplified, not compounded). The $200.00 difference may be offset by yield or performance.

TLT ER0.15%
TLTW ER0.35%

Strategy & risk

TLT tracks ICE U.S. Treasury 20+ Year Bond Index with a provide exposure to the fund's underlying index or strategy per issuer materials. approach, while TLTW tracks ICE U.S. Treasury 20+ Year Bond Index using a covered call strategy. Beta is 2.38 for TLT and 1.67 for TLTW, indicating TLTW is less volatile relative to the market.

TLT beta2.38
TLTW beta1.67

Fund details

TLT is managed by BlackRock (launched 07/22/2002) with $45.4B in assets. TLTW is managed by iShares (launched 08/18/2022) with $1.8B in assets.

TLT AUM$45.4B
TLTW AUM$1.8B

Income calculator

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

Frequently asked questions

Is TLT or TLTW better for dividend income?

It depends on your goals. TLTW 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.

What is the difference between TLT and TLTW?

TLT (iShares 20+ Year Treasury Bond ETF) tracks ICE U.S. Treasury 20+ Year Bond Index with a provide exposure to the fund's underlying index or strategy per issuer materials. strategy, while TLTW (iShares 20+ Year Treasury Bond BuyWrite Strategy ETF) tracks ICE U.S. Treasury 20+ Year Bond Index with a covered call approach. They are issued by BlackRock and iShares respectively.

Can I hold both TLT and TLTW?

Yes. Many income investors hold both to diversify across different strategies and underlying indexes. This can reduce concentration risk while maintaining a strong income stream.

Which has lower fees, TLT or TLTW?

TLT has an expense ratio of 0.15% while TLTW charges 0.35%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in TLT vs TLTW generate?

At current yields, $10,000 in TLT would generate roughly $35.67 per month ($428.00 annually). The same in TLTW would produce about $111.42 per month ($1,337.00 annually).

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