SGOV, SHV and BIL are three US funds that hold Treasury bills, loans to the US government for a year or less. SGOV (the iShares 0-3 Month Treasury Bond exchange-traded fund, or ETF) is the largest, with $114.4 billion on 7 October 2026. Its yield, the income it pays as a % of its price, was 3.71% a year on 6 October, after fees.
SHV (the iShares 0-1 Year Treasury Bond ETF) and BIL (the State Street SPDR Bloomberg 1-3 Month T-Bill ETF) do the same job. They differ a little in what they hold and what they charge. Here is what each fund owns, what it costs, how it pays you and how close each came to Treasury bills themselves since 2020.
What are SGOV, SHV and BIL? They are three US exchange-traded funds (ETFs) that hold Treasury bills. A Treasury bill is a loan to the US government for a year or less. Each fund pays out the interest every month, after a yearly fee.
SGOV holds bills due within three months and charges 0.09% a year. BIL holds bills due in one to three months and charges 0.1353%. SHV holds Treasury bills and other US government debt due within a year. It charges 0.15%.
From 28 May 2020 to 6 October 2026, $100 grew to $120.55 in SGOV, $119.65 in BIL and $119.09 in SHV, with all payouts reinvested.
The 30-day SEC yield is a standard measure of a fund's income over 30 days, after fees, set by the US Securities and Exchange Commission (SEC). On 6 October 2026, it was 3.71% for SGOV, 3.66% for BIL and 3.80% for SHV.
What are SGOV, SHV and BIL?
A Treasury bill, or T-bill, is a loan to the US government for four to 52 weeks. It is sold below its face value. The government pays the full face value at the end, according to TreasuryDirect. The gap is the interest.
Our guide to how much cash a portfolio should hold tracks what T-bills paid since 2006.
An ETF is a fund whose shares trade on a stock exchange, like a company's shares. We explain how they work in What Is an ETF? and compare them with index funds in Index Funds vs ETFs. A T-bill ETF buys many bills, replaces them as they mature and passes the interest on to its holders.
SGOV | BIL | SHV | |
|---|---|---|---|
Full name | iShares 0-3 Month Treasury Bond ETF | State Street SPDR Bloomberg 1-3 Month T-Bill ETF | iShares 0-1 Year Treasury Bond ETF |
What it holds | Treasury bills due within 3 months | Treasury bills due in 1 to 3 months | Treasury bills, notes and bonds due within 1 year |
Average time left on holdings | 0.10 years | 0.14 years | 0.27 years |
Yearly fee (expense ratio) | 0.09% | 0.1353% | 0.15% |
30-day SEC yield, 6 October 2026 | 3.71% | 3.66% | 3.80% |
Fund assets, 7 October 2026 | $114.4 billion | $50.8 billion | $23.7 billion |
Payouts | Monthly | Monthly | Monthly |
Started | 26 May 2020 | 25 May 2007 | 5 January 2007 |
Source: iShares (SGOV, SHV); State Street Global Advisors (BIL)
SGOV is the youngest of the three, from May 2020, but by far the largest. BIL held $50.8 billion on 7 October 2026, while SHV held $23.7 billion.
SGOV vs SHV vs BIL: holdings, yields and fees
The three funds follow different indexes. An index is a list of investments with rules for what to hold.
SGOV tracks an index of Treasury bills due within three months. Its average holding had 0.10 years left on 6 October 2026, about five weeks.
BIL tracks bills with one to three months left. Its holdings had an average of 0.14 years left.
SHV tracks Treasuries due within a year. Treasuries are all US government debt, including bills, notes and bonds. SHV had 17 holdings, with an average of 0.27 years left. A coupon is a fixed interest payment, which bills do not have. SHV's average coupon is 2.79%. So it also holds notes or bonds that were issued for longer, but now have less than a year left.
The 30-day SEC yield measures a fund's income over the past 30 days, after fees. On 6 October 2026, it was 3.80% for SHV, 3.71% for SGOV and 3.66% for BIL. SHV's was the highest of the three.
SHV's holdings run longer. Its average yield to maturity, the return if every holding is kept until it ends, was 4.10%. That compares with 4.02% for BIL and 3.96% for SGOV, in the issuers' latest figures.
The fees differ too: 0.09% a year for SGOV, 0.1353% for BIL and 0.15% for SHV. On a $10,000 holding, that is $9, $13.53 and $15 a year.
How a T-bill ETF pays: monthly distributions
Each fund pays its interest out as a monthly distribution: cash per share, paid to those who hold shares before the ex-dividend date. On that date, the share price drops by about the amount paid.
Source: YX Insights
Chart 1 shows SGOV's closing share price, before payouts are added back. The price climbs a few cents each week as interest builds up. Then it drops back on each ex-dividend date.
SGOV closed at $100.68 on 30 September 2026. On 1 October, its ex-dividend date, $0.3005 a share came out of the price. The price closed at $100.41. The cash was paid to holders on 6 October.
In the 12 months to 6 October 2026, SGOV made 12 payouts worth $3.67 a share in total. That is 3.65% of its share price. December 2025 had two payouts and January 2026 had none.
SGOV, SHV and BIL against Treasury bills since 2020
Source: FRED (DTB3); YX Insights
Chart 2 follows $100 in each fund from 28 May 2020, the first day in our SGOV price data, with every payout reinvested. The dashed line shows three-month T-bills, bought again each time they mature, with no costs. It uses the bill rate published on FRED, the St. Louis Fed's data service, which we explain in What Is FRED?
By 6 October 2026, $100 had grown to $121.42 in the T-bills, $120.55 in SGOV, $119.65 in BIL and $119.09 in SHV. That is 3.10% a year for the T-bills. SGOV returned 2.98% a year, BIL 2.86% and SHV 2.79%.
So SGOV trailed the bills by 0.12 percentage points a year, a little more than its 0.09% fee. BIL trailed by 0.24 points and SHV by 0.31 points, well above their fees.
SGOV vs SHV vs BIL returns by year
Source: FRED (DTB3); YX Insights
Chart 3 shows the same funds year by year. The widest gaps came in 2022, when the Federal Reserve raised rates quickly. The T-bills returned 2.06%, SGOV 1.58%, BIL 1.40% and SHV 0.94%.
SHV's longer holdings lost value as rates rose. Its worst fall from a peak was 0.42%, in 2022. From 2023 to 2025, all three funds stayed within 0.36 points of the T-bills each year.
US tax on T-bill ETF income
Treasury interest has a US tax advantage. The Internal Revenue Service (IRS) says interest from Treasury bills "is subject to federal income tax but is exempt from all state and local income taxes."
Through an ETF, that interest arrives as a dividend.
The issuer, iShares, reports what share of each fund's income came from US government debt: 95.14% for SGOV and 89.80% for SHV in 2025. Whether that part is exempt depends on the state. Some states exempt it only if a set share of the fund is in US government debt, iShares notes.
UK readers should know that all three funds are US-listed. HM Revenue and Customs (HMRC) says a gain on a non-UK fund is normally taxed as income, unless the fund has "reporting" status with HMRC. UK readers should check each fund's status before buying. This is general information, not tax advice.
The risks of T-bill ETFs
Falling rates. The holdings mature within months, so each fund's income follows interest rates down. In 2021, with bills paying almost nothing, SGOV returned 0.04% while BIL and SHV lost 0.10%. What could move rates next is in Will Interest Rates Go Down?
Small price dips. From 28 May 2020 to 6 October 2026, the worst fall from a peak was 0.03% for SGOV, 0.15% for BIL and 0.42% for SHV. Longer holdings mean bigger dips.
Inflation. A fund can earn less than prices rise. In 2022, three-month T-bills returned 2.06%, while the Consumer Price Index rose 6.45% from December to December.
How to compare T-bill ETFs
The fee. It comes straight out of the yield every year.
What it holds. Bills only, or Treasuries due within a year. Longer holdings can earn a little more, but move more when rates change.
The yield. The 30-day SEC yield looks back, so it lags a change in rates, such as the Federal Reserve's rate rise on 16 September 2026.
The tax notice. Each year, check the share of income from US government debt.
SGOV, BIL and SHV all turn Treasury bills into shares you can buy on an exchange. They differ mainly in how long their holdings run and what they charge. SGOV, with the lowest fee and the shortest bills, came closest to the T-bills since 2020.
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Common questions about T-bill ETFs
What is SGOV?
SGOV is the iShares 0-3 Month Treasury Bond ETF, a US fund that holds Treasury bills due within three months. It started in May 2020 and held $114.4 billion on 7 October 2026. It charges 0.09% a year and pays its interest out monthly, according to iShares.
What is SGOV's 30-day SEC yield and expense ratio?
SGOV's 30-day SEC yield was 3.71% on 6 October 2026, while its expense ratio, the yearly fee, is 0.09%, according to iShares. The SEC yield is a standard measure of a fund's income over the past 30 days, after fees. It changes as Treasury bill rates move.
What is the difference between SGOV and SHV?
SGOV holds Treasury bills due within three months, while SHV holds Treasuries due within a year. SHV charges 0.15% a year against 0.09% for SGOV. From 28 May 2020 to 6 October 2026, SGOV returned 2.98% a year and SHV 2.79%, with payouts reinvested.
Does SGOV pay monthly dividends?
Yes, SGOV pays a distribution every month, made up of the interest on its Treasury bills. In the 12 months to 6 October 2026, it made 12 payouts worth $3.67 a share, or 3.65% of its share price. The share price drops by about the payout on each ex-dividend date.
Is SGOV exempt from state income tax?
Partly, depending on the state. US Treasury interest is exempt from state and local income tax, says the IRS. iShares reports that 95.14% of SGOV's 2025 income came from US government debt. Some states set minimum holdings before a fund's income qualifies, so check the state's rules.
DISCLAIMER: This article is strictly educational. Any information or analysis in this note is not an offer to sell or the solicitation of an offer to buy any securities. Nothing in this note is intended to be investment advice and nor should it be relied upon to make investment decisions. Any opinions, analyses, or probabilities expressed in this note are those of the author as of the note's date of publication and are subject to change without notice.