How do I invest in 20-year Treasury bonds?

You have a couple of options for investing in 20-year Treasury bonds. You can open a Treasury Direct account (TreasuryDirect.gov) and buy Treasuries maturing in 20 or more years directly from the U.S. government. Additionally, some brokerage accounts will allow you to buy Treasury bonds maturing in 20 or more years on the secondary market. Another option is to invest in a bond ETF focused on long-term Treasury bonds, like the iShares 20+ Year Treasury Bond ETF.

What is the dividend on iShares 20+ Year Treasury Bond ETF?

As of early 2025, the iShares 20+ Year Treasury Bond ETF dividend was 4.3% on a trailing 12-month basis. However, the yield was higher on a 30-day basis (4.8%), reflecting its higher average yield to maturity (4.9%) as it replaced lower-yielding bonds with higher-yielding ones.

How to invest in TLT?

You can invest in TLT in your regular brokerage account. The ETF trades on a major stock market exchange, enabling anyone to purchase shares easily. To buy shares of the iShares 20+ Year Treasury Bond ETF (TLT), you would open the order page at your brokerage account and fill out all the relevant information, including:The number of shares you want to buy or the amount you want to invest to purchase fractional sharesThe stock ticker (TLT for iShares 20+ Year Treasury Bond ETF)Whether you want to place a limit order or a market orderDouble-check your order and then click submit to add this bond ETF to your portfolio.

What is a 20-year Treasury ETF?

A 20-year Treasury ETF is an exchange-traded fund that invests in U.S. Treasury bonds that mature in more than 20 years, like iShares 20+ Year Treasury Bond ETF.

How to Buy iShares 20+ Year Treasury Bond ETF (TLT)

By Matthew DiLallo – Updated Feb 25, 2026 at 5:45 PM EST

Key Points

The iShares 20+ Year Treasury Bond ETF offers access to long-term U.S. Treasuries through one fund.
This ETF is an option for those seeking steady income from investments in U.S. government bonds.
The fund makes it simple to invest in 20+ year Treasury bonds via your brokerage account.

The iShares 20+ Year Treasury Bond ETF (TLT -0.67%) is one of many ways to invest in the massive U.S. Treasury market. The exchange-traded fund (ETF) provides investors targeted access to a specific segment of the fixed-income market: U.S. Treasuries that mature in over 20 years. It allows investors to customize their Treasury portfolio.

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NASDAQ: TLT

iShares Trust - iShares 20+ Year Treasury Bond ETF

Today's Change

(-0.67%) $-0.55

Current Price

$82.04

Key Data Points

AUM

$45B

Dividend Yield

4.76%

Expense Ratio

0.15%

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This guide will teach you everything you need to know about the iShares 20+ Year Treasury Bond ETF. It will also show you how to invest in ETFs for beginners.

What is the iShares 20+ Year Treasury Bond ETF (TLT)?

The iShares 20+ Year Treasury Bond ETF is exactly what its name suggests. The ETF provides targeted access to U.S. Treasury bonds that mature in more than 20 years. These low-risk bonds backed by the U.S. government will supply a steady, predictable income for more than two decades.

The BlackRock (BLK -0.77%)-managed ETF enables investors to target a specific segment of the Treasury market through a single investment vehicle. Instead of opening an account with the U.S. government (TreasuryDirect.gov) and buying these bonds directly, investors can buy this single fund to gain exposure to long-term Treasuries.

The ETF aims to track the results of an index (ICE U.S. Treasury 20+ Years Bond Index) comprising U.S. Treasury bonds with remaining maturities of more than 20 years. It is an easy way for anyone to invest in long-term U.S. Treasuries through their brokerage account. Its focus on long-term Treasuries can make it a good long-term ETF investment.

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Exchange-Traded Fund (ETF)

An exchange-traded fund, or ETF, allows investors to buy many stocks or bonds at once.

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How to buy iShares 20+ Year Treasury Bond ETF (TLT)

Open your brokerage account: Log in to your brokerage account where you handle your investments. If you don't have one yet, take a look at our favorite brokers and trading platforms to find the right one for you.
Search for the ETF: Enter the ticker "TLT" into the search bar to bring up the ETF's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this ETF.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

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Holdings of the iShares 20+ Year Treasury Bond ETF (TLT)

The iShares 20+ Year Treasury Bond ETF is one of the largest bond ETFs by assets under management (AUM). Its AUM in early 2025 was more than $53 billion. Over 99.5% of its assets were U.S. Treasury bonds (cash made up less than 0.5% of its net assets).

In early 2025, the fund held 46 Treasury bonds with various maturity dates issued by the U.S. government. About 1% of its net assets were bonds that will mature in 15 to 20 years, while more than 98.5% mature in over 20 years. The fund's weighted average maturity was 25.76 years in early 2025.

Should you invest in the iShares 20+ Year Treasury Bond ETF (TLT)?

Choosing an investment is a very personal decision. You need to make investments that align with your risk tolerance, return objectives, and personal values. Here are some reasons you might want to invest in the iShares 20+ Year Treasury Bond ETF:

You're seeking a low-risk, fixed-income investment.
You want to invest in a specific sector ETF that holds long-term U.S. government bonds.
You don't want to have to manage a portfolio of individual bonds.
You want a very liquid investment.
You want a monthly income stream.

On the other hand, here are some reasons you might not want to invest in this bond ETF:

You're growing increasingly concerned about the long-term sustainability of the U.S. federal budget deficit.
You'd prefer to buy Treasury bonds directly from the U.S. government.
You're seeking a bond ETF or mutual fund with a broader focus on the U.S. Treasury market or the overall global bond market.
You're seeking a higher return than the ETF can provide.
You want a very low-cost bond ETF.

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Does the iShares 20+ Year Treasury Bond ETF (TLT) pay a dividend?

The iShares 20+ Year Treasury Bond ETF pays a dividend. The ETF makes monthly distribution payments supported by interest payments made by the U.S. government.

While Treasury bonds make fixed payments until they mature, this fund cycles out bonds with nearer-term maturities and replaces them with bonds maturing in more than 20 years. Because of that, distribution payments can rise and fall based on the differences in yield between the bonds it sells and those it buys. Declining rates during the COVID-19 pandemic drove down rates on newly issued long-term Treasury bonds (and dividend payments by this ETF); rising rates in more recent years have driven them up:

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As of early 2025, the ETF had paid a dividend yield of more than 4% over the trailing 12 months. However, the ETF has been adding higher-yielding bonds as interest rates rise. As a result, its average yield to maturity was more than 4.8% in early 2025. The high yield could make it a compelling dividend ETF for income-seeking investors.

What is the iShares 20+ Year Treasury Bond ETF (TLT)'s expense ratio?

The iShares 20+ Year Treasury Bond ETF has a 0.15% expense ratio, a fairly reasonable expense ratio compared to other bond ETFs. However, it's not as low as the top bond ETFs.

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ETF Expense Ratio

Annual fee as a percentage of assets that an Exchange-Traded Fund charges investors for management and operational costs.

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For example, the largest bond funds by AUM, iShares Core U.S. Aggregate Bond ETF (AGG -0.21%) and Vanguard Total Bond Market ETF (BND -0.23%), each have a 0.03% expense ratio. A $10,000 investment in those top bond funds would cost about $3 each year.

Comparatively, a $10,000 investment in the iShares 20+ Year Treasury Bond ETF would cost about $15 per year. The higher cost means investors would receive less of the interest income that the bond fund generates each year.

Historical performance of the iShares 20+ Year Treasury Bond ETF (TLT)

Interest rates have a significant impact on bond values and yields. Generally, lower interest rates since the 2007-2009 financial crisis have enabled the U.S. government to borrow money cheaply by selling long-term Treasury bonds at low interest rates.

Meanwhile, interest rates in more recent years have increased to combat inflation. That has weighed on the values of long-term bonds, pushing up their yields. These dynamics have had a significant impact on the historical performance of this bond ETF:

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Data source: BlackRock. Returns data as of February 2, 2025.
Fund	1-Year	3-Year	5-Year	10-Year	Inception
iShares 20+ Year Treasury Bond ETF	-7.84%	-13.34%	-6.07%	-1.12%	3.70%
Benchmark (ICE U.S. Treasury 20+ Years Bond Index)	-7.71%	-13.25%	-5.99%	-1.04%	3.79%

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The fund has largely matched the performance of its benchmark, delivering only a slight underperformance due to its expense ratio. Although the ETF has delivered lackluster performance over the past decade, higher interest rates in recent years have enabled the ETF to invest in higher-yielding bonds.

Its yield to maturity in early 2025 was more than 4.85%. As a result, if rates stabilize, the ETF could deliver a better performance in the future.

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The bottom line

Government bonds are an integral part of many investors' portfolios. They reduce risk, increase diversification, and provide a stable fixed-income stream. The iShares 20+ Year Treasury Bond ETF allows you to make a targeted investment in long-term Treasuries. It could be a good ETF for those seeking targeted exposure to that segment of the global bond market.

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Investing in the iShares 20+ Year Treasury Bond ETF (TLT) FAQ

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About the Author

Matt DiLallo has been a contributing Motley Fool stock analyst specializing in the energy, industrials, and real estate sectors since 2012. He also covers dividend-paying stocks, pre-IPO companies, ETFs, and other investing topics. He holds an MBA from Liberty University.

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@MatthewDiLallo

Matt DiLallo has positions in Vanguard Total Bond Market ETF and iShares Trust - iShares Core U.s. Aggregate Bond ETF. The Motley Fool has positions in and recommends Vanguard Total Bond Market ETF. The Motley Fool recommends BlackRock. The Motley Fool has a disclosure policy.

How to Buy iShares 20+ Year Treasury Bond ETF (TLT)

Key Points