Overview

Investment Objective

The Fund seeks to provide total return that closely corresponds, before fees and expenses, to the total return of ICE BofA Long US Treasury Principal STRIPS Index.

At a Glance

Key Pros

  • Provides precise, high-duration exposure to U.S. Treasury interest rates.
  • Invests in securities backed by the full faith and credit of the U.S. government, minimizing credit risk.
  • Low expense ratio of 0.15% for a specialized fixed income strategy.

Key Cons

  • Extremely high sensitivity to interest rate changes (duration of ~27 years), leading to significant price volatility.
  • Zero-coupon structure means no periodic income payments are received by the investor.
  • As an index fund, it will not outperform its benchmark and is subject to tracking error risk.

Performance

Journey of $10k

1Y Return Annualized The average amount of money earned by an investment each year over a given time period. -19.20%
3Y Return Annualized The average amount of money earned by an investment each year over a given time period. -9.63%
5Y Return Annualized The average amount of money earned by an investment each year over a given time period. -15.15%

Distributions

Dividend Yield: 4.87%

Ex-Date Amount
2025-07-03 $0.7900
2025-04-03 $0.7800
2025-01-03 $0.8400
2024-10-03 $0.7600
2024-07-03 $0.7700
2024-04-04 $0.7700
2024-01-03 $0.7800
2023-10-05 $0.7100
2023-07-07 $0.7800
2023-04-06 $0.7300
2023-01-04 $0.6200
2022-10-06 $0.6300
2022-07-07 $0.6100
2022-04-06 $0.5500
2022-01-04 $0.6400
2021-10-06 $0.6300
2021-07-07 $0.5600
2021-04-07 $0.6100
2021-01-05 $0.6500
2020-10-06 $0.5700

Technical & Trading Details

52 Week High The highest price at which a stock has traded over the past 52 weeks. 83.59
52 Week Low The lowest price at which a stock has traded over the past 52 weeks. 60.28
50-Day MA The 50-day moving average is the average closing price of a stock over the last 50 days, used to identify short-term trends. 64.69
200-Day MA The 200-day moving average is the average closing price of a stock over the last 200 days. It is often used to gauge the long-term trend of a security. 68.13

Advanced Performance & Risk

Beta A measure of a stock's volatility in relation to the overall market. A beta greater than 1 indicates the stock is more volatile than the market, while a beta less than 1 suggests it is less volatile.
3.22
Sharpe Ratio A measure of an investment's performance compared to its risk. A higher Sharpe ratio indicates a better return for the amount of risk taken.
1Y: -0.997 3Y: -0.4051
Max Drawdown The largest single drop in the value of an investment from its peak to its lowest point during a specific period.
1Y: -0.261% 3Y: -0.3412%
Sortino Ratio Similar to the Sharpe ratio, this measures risk-adjusted return but only focuses on downside risk, which is the risk of losses. A higher Sortino ratio is generally better.
Calmar Ratio A ratio that measures an investment's performance against its risk, specifically by comparing the average annual return to the maximum drawdown. A higher Calmar ratio is considered better.
CVaR 95% Conditional Value at Risk (CVaR) at a 95% confidence level. It measures the expected loss if the VaR threshold is exceeded. For instance, a CVaR of -0.0228 indicates that if the 5% worst-case threshold is crossed, the average loss is expected to be 2.28%.
Skewness A measure of the asymmetry of an investment's returns. Positive skewness suggests a higher probability of small losses and a few large gains, while negative skewness indicates a higher chance of small gains and a few large losses.

Expense Ratio

Expense Breakdown

Expense Ratio Explanation
Gross Expense Ratio
Management Fee
Acquired Fund Fees
12b-1 Fee
Other Expenses
Fee Waiver
Net Expense Ratio
0.15%

Risk Analysis

Primary Risk

Sourced from ETF's prospectus.

Interest Rate Risk

The risk that changes in interest rates will negatively affect the value of an investment. This is a primary risk for bond ETFs, as bond prices generally fall when interest rates rise.

Signalbloom Risk Rating

High

While the fund holds U.S. Treasuries, which have minimal credit risk, its strategy of focusing on 25+ year zero-coupon bonds results in an extremely high duration. This makes the fund's price highly volatile and exceptionally sensitive to changes in long-term interest rates, representing a high level of risk for investors.

Learn more about our risk methodology.

Diversification Status

Diversified

All Disclosed Risks

The following risks have been disclosed by the fund in its prospectus.

Liquidity & Structural Risk

Underlying Liquidity Profile
AP Concentration Risk

Strategy Deep Dive

Strategy DNA

Primary Asset Class Fixed Income
Stated Duration Target Long Term
Credit Quality Focus Government Guaranteed
Bond Type Focus Zero Coupon Bond
Issuer Type Focus Government/Treasury
Geographic Focus US
Portfolio Turnover Policy
Expected Turnover Rate
Fund of Funds No
Index Tracked ICE BofA Long US Treasury Principal STRIPS Index
Index Provider ICE BofA
Index Weighting Market-Cap Weighted
Rebalance Frequency
Leveraged No
Inverse No
Target Multiple 1x
In simple terms, how does ZROZ's investment strategy work?
How exactly does ZROZ get its exposure?
What is the rebalancing methodology?

Derivatives Use

ZROZ uses derivatives for:
To Gain Investment Exposure (Replication) Efficient Portfolio Management (e.g., Cash Equitization)

Investment Policies & Restrictions

Are there any concentration limits on how much the fund can invest in a single security or sector?
What is the fund's policy on holding illiquid investments?

Suitability & Market Scenarios

What is ZROZ's primary role in a portfolio?
What type of investor is ZROZ best suited for?
What type of investor should avoid ZROZ?
What is the ideal market environment for ZROZ?
What is the worst-case scenario for ZROZ?

ESG & SRI Focus

Does ZROZ have an ESG focus?
ESG Data Provider
Exclusion Criteria

Tax Efficiency Analysis

What is the primary tax form for ZROZ?
How tax-efficient is ZROZ?
Does ZROZ engage in tax-loss harvesting?
What are the key tax implications for investors?

Issuer & Governance

Portfolio Management

Matt Dorsten
Since: 2015-12-01
Tim Crowley
Since: 2021-06-01
Tanuj Dora
Since: 2021-06-01

Issuer Details

Investment Adviser Pacific Investment Management Company LLC
Legal Structure Open-End Management Investment Company (1940 Act)
Primary Exchange NYSE Arca, Inc.
Inception Date 2009-10-30
Is ETN No
ETN Issuer N/A
Trust Registrant PIMCO ETF Trust
Regulatory Framework

Service Providers

Auditor PricewaterhouseCoopers LLP
Custodian State Street Bank & Trust Co.
Distributor PIMCO Investments LLC
Transfer Agent State Street Bank & Trust Co.

Tax Governance

Potential UBTI
Subject to Section 871(m)
What is the fund's stated concentration limit?

Disclosed Conflicts of Interest

Unusual Clauses

Securities Lending Policy

Securities Lending Active
Revenue Share to Fund
Disclosed Revenue
Time Period

Policy Summary