Treasury ETF Dividends
iShares Treasury ETFs Declare Monthly Dividends Set for July 7 Payout to Investors
Anonymous
Key Points
1
All five iShares Treasury ETFs covered (TLT, IBTG, IBGA, IBTL, IEF) have an ex-dividend date of July 1, with dividends payable on July 7 to shareholders of record by July 1.
2
TLT traded 28.08 million shares on the day, versus an average volume of about 33.32 million, highlighting below-average liquidity on the session.
3
On the same trading day, each ETF showed a modest price decline: TLT fell $0.90, IBTG down $0.07, IBGA down $0.21, IBTL down $0.11, and IEF down $0.54.
4
All five funds sit near their key moving averages, with the following 50-day and 200-day levels: TLT at 50-day 85.68 and 200-day 87.01; IBTG 50-day 22.87 and 200-day 22.88; IBGA 50-day 24.26 and 200-day 24.61; IBTL 50-day 20.19 and 200-day 20.39; IEF 50-day 94.43 and 200-day 95.52.
Five iShares Treasury ETFs will pay monthly dividends on July 7, with an ex-dividend and record date of July 1. The flagship iShares 20+ Year Treasury Bond ETF (TLT) declared a $0.318 per-share dividend, yielding about 4.5%, according to Watchlist News.
The announcements come as 10-year Treasury yields tested 4.477% and 30-year bond yields hit 4.962%, per Reuters. TLT has lost nearly 48% of its value since 2020 as yields reset from roughly 1% to near 5%.
Five ETFs, Five Dividends, One Payment Date
All five funds share the same schedule: ex-dividend date July 1, payment date July 7. The iShares iBonds Dec 2044 Term Treasury ETF (IBGA) posted the highest yield of the group at 4.6%, with a $0.0932 per-share payout, according to Watchlist News. The iShares iBonds Dec 2026 Term Treasury ETF (IBTG) and iShares iBonds Dec 2031 Term Treasury ETF (IBTL) each yield about 3.7%, paying $0.0704 and $0.0618 per share, respectively.
The iShares 7-10 Year Treasury Bond ETF (IEF) set a $0.3111 per-share payout, yielding near 3.3%. All five ETFs saw modest price declines on the session. TLT fell $0.90, IEF dropped $0.54, and IBGA slid $0.21, per summary trading data.
Fed Holds Rates but Signals a Hawkish Turn
The dividend news lands in a tense rate environment. New Fed Chair Kevin Warsh held rates steady at 3.50%–3.75% at his first FOMC meeting in June but released a hawkish "dot plot," according to Morningstar. Nine of 18 Fed participants still see a rate hike as necessary in 2026.
Market participants now put the odds of a late-2026 rate hike above 85%, per J.P. Morgan Asset Management. Robert Tipp of PGIM Fixed Income said the market is struggling with "signals in a lot of different directions," especially as Warsh's tough inflation stance clashes with slowing jobs data.
Weak Jobs Data Adds Pressure on Long-Duration Bonds
ADP private employment grew by just 98,000 in June, missing the 118,000 estimate, according to Reuters. The weak number briefly pulled 10-year yields back from the 4.5% level on July 1. If Friday's government payroll report confirms the trend, the Fed may face a tough choice between fighting inflation and protecting jobs.
TLT traded 28.08 million shares on the session, below its average of 33.32 million. All five ETFs sit near key moving averages. TLT's 50-day stands at $85.68 and its 200-day at $87.01 — both above its current price, a bearish signal for technical traders.
Bulls See Historic Yields, Bears Warn of Duration Risk
Some analysts at Seeking Alpha call TLT a "rare opportunity." They argue that starting yields are now four to five times higher than 2020 levels, giving investors a real income cushion even if prices keep falling. Retail investors poured $17 billion into TLT earlier this year, betting that 5% yields mark a historic floor, per ETF.com.
Critics push back hard. A 25-basis-point rise in yields — a quarter of a percentage point — can erase months of dividend income through price drops for a fund like TLT, which carries about 16 years of duration risk. That means bond prices are highly sensitive to any shift in rates. The income looks good on paper, but the price risk is real.
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