##  [# SGOV vs. BIL: Money Moves Into Ultra-Short-Term Bond ETFs](/sections/data-dive/sgov-vs-bil-money-moves-ultra-short-term-bond-etfs) 

 

# SGOV vs. BIL: Money Moves Into Ultra-Short-Term Bond ETFs

 

 

Investors have embraced ultra-short-term bond ETFs this year. Here's why.



 

 

 

 

 [![sumit](/sites/default/files/styles/author_image_icon/public/2023-03/Sumit_0.png?itok=SO-7S5SH "sumit")](/authors/sumit-roy) 

[By Sumit Roy ](/authors/sumit-roy)

 Mar 12, 2025

 Edited by: David Tony

 

 

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Two surprising names have emerged on this year’s inflows leaderboard: the [**iShares 0-3 Month Treasury Bond ETF (SGOV)**](/sgov) and the [**SPDR Bloomberg 1-3 Month T-Bill ETF (BIL)**](/bil), with year-to-date inflows of $7.8 billion and $4.8 billion, respectively.

That makes them the second- and sixth-most popular exchange-traded funds of the year based on inflows—a rare feat for ultra-short-term bond ETFs. So, why are investors piling into these funds?

## Why Investors Are Buying

One key driver is the rising fear of a potential recession. Ultra-short-term bond ETFs are among the safest investments in the market, offering near risk-free returns.

Another reason is that these ETFs are increasingly viewed as viable alternatives to traditional government [money market funds](https://www.sec.gov/spotlight/money-market.shtml). While both offer low-risk exposure to Treasury bills, ETFs come with a liquidity advantage—they can be traded throughout the day, unlike money market funds, which typically settle at the end of the day.

 
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## SGOV vs. BIL

SGOV and BIL offer very similar exposure, as both hold short-term U.S. Treasury bills. However, there are some key differences. First, BIL is slightly larger, with $40.5 billion in assets under management versus $37.4 billion for SGOV. However, given SGOV’s rapid growth, it may soon overtake BIL.

![SGOV vs. BIL](/sites/default/files/inline-images/SGOVvsbill.png)*Source: etf.com*

SGOV has a lower expense ratio—0.09% compared to 0.14% for BIL, according to etf.com’s [ETF comparison tool](https://www.etf.com/tools/etf-comparison/SGOV-vs-BIL).

![](/sites/default/files/inline-images/sgovvsbil2.png)*Source: etf.com*

That lower fee has contributed to SGOV’s slight performance edge, with a 5.03% return over the past year versus 4.97% for BIL.

![](/sites/default/files/inline-images/sgovvsbil3.png)  
*Source: etf.com*

## Other Options in the Space

While SGOV and BIL dominate the category, they aren’t the only ultra-short-term bond ETFs attracting assets. The actively managed [**JPMorgan Ultra-Short Income ETF (JPST)**](/jpst) has seen inflows of $2.8 billion so far this year. Its total AUM of $31.3 billion is not far behind SGOV and BIL.

For a full list of ultra-short-term bond ETFs, check out etf.com’s [Ultra-Short-Term ETFs](https://www.etf.com/topics/ultra-short-term) topics page. Click through to individual ETF fund pages to learn more about their strategies.



 

 

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 [ Sumit Roy Senior ETF Analyst ](/authors/sumit-roy) 

 

 

  Sumit Roy is the senior ETF analyst for etf.com and author of (Don't) Invest Like a Pro. He creates a variety of content for the platform, including…   [View Bio](/authors/sumit-roy)

 



 

 


 Related Topics  [Bond](http://www.etf.com/topics/bond) 

 [Fixed Income](http://www.etf.com/topics/fixed-income) 

 [Ultra-Short Term](http://www.etf.com/topics/ultra-short-term) 

 [Treasury Bond ETFs](http://www.etf.com/topics/treasury-bond-etfs) 

 [Treasury](http://www.etf.com/topics/treasury)