The Vanguard Extended Duration Treasury ETF (EDV) is a solid option for exposure to Treasuries. The ETF has an expense ratio of only .10%. Several of my favorite bond funds have been funds from Vanguard. That should be no surprise since I'm looking for funds with lower expense ratios. I would like to be able to keep what little interest income bonds can still generate, so it makes sense to treat expense ratios as a major factor.
All Treasury
This particular part of the bond market makes active management even less important. The ETF is packed full of Treasuries. Whether bond prices will go up or down, the market for Treasuries is large enough to be quite efficient. There is no argument for superior management here. There is simply the impact of low expense ratios.
Why Investors Want Treasuries
It isn't just the interest income. These long-term Treasury securities usually…