The article discusses the current attractiveness of the TLT ETF, which tracks long-term government bonds, amid elevated 20-year yields around 5.3%. These yields appear high compared to Federal Reserve inflation and neutral rate projections, suggesting bonds may be favored over stocks due to a widening equity risk premium. The TLT ETF offers a yield of 5.33% and a convexity of 3.16, providing potential price gains if yields decline and a partial income cushion. The author emphasizes cautious bond investment strategies and highlights the importance of portfolio construction and asset allocation in managing risk and returns.
The TLT ETF is currently priced at USD 81.82 on Pluang, showing a 1.16% increase as of Sep 18, 2026 10:41 WIB. Despite the article's focus on yield and bond attractiveness, Pluang data reveals a typical holding period of 81 days for this ETF. Notably, sell orders dominate at 82%, indicating cautious sentiment among Pluang investors.
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