edv stock guide

EDV (Vanguard Extended Duration Treasury ETF)

edv stock is Vanguard’s exchange-traded fund that seeks to track the Bloomberg U.S. Treasury STRIPS 20–30 Year Equal Par Bond Index, providing exposure to long-duration, zero-coupon U.S. Treasury securities. This article explains EDV’s purpose, holdings, performance drivers, risks, tax considerations, and trading characteristics so investors and researchers can evaluate how edv stock might fit into a broader portfolio.

As of 2026-01-25, according to Vanguard’s EDV product page, EDV’s expense ratio is listed at approximately 0.07%, with assets under management and average volume reported on the issuer site and major financial portals for up-to-date figures.

Overview

EDV is designed to offer concentrated exposure to long-term U.S. Treasury STRIPS with remaining maturities in the 20–30 year range. Investors use edv stock for several purposes:

• Interest-rate hedging: Because EDV holds zero-coupon long-duration Treasuries, it is highly sensitive to interest-rate moves and can serve as a hedge when long rates fall.
• Duration exposure: EDV delivers very long effective duration, making it useful for implementing views on the long end of the yield curve.
• Portfolio diversification: Combining edv stock with equities or shorter-duration bonds can change a portfolio’s sensitivity to rate and macro shifts.

This overview emphasizes that edv stock is a specialized fixed-income tool—appropriate for investors who understand duration risk and the behavior of zero-coupon Treasury instruments.

Fund Facts

• Ticker: EDV
• Listing exchange: NYSE Arca
• Inception date: December 6, 2007
• Issuer/manager: Vanguard (Vanguard Fixed Income Group)
• Benchmark index: Bloomberg U.S. Treasury STRIPS 20–30 Year Equal Par Bond Index
• Expense ratio: Low-cost index ETF (Vanguard lists approximately 0.07% as of 2026-01-25)
• Typical AUM and shares outstanding: Values change over time—consult the Vanguard product page and prospectus for current figures. As of 2026-01-25, Vanguard and major market data providers report EDV’s assets under management and daily volume on their quote pages.

Note: edv stock facts such as AUM, shares outstanding, and average daily volume change frequently; always verify current figures using the issuer’s official materials.

Investment Objective and Strategy

EDV’s stated objective is to track the Bloomberg U.S. Treasury STRIPS 20–30 Year Equal Par Bond Index. Key strategy points:

• Index exposure: The benchmark equal-par index targets Treasury STRIPS—securities created by separating the principal and interest components of Treasury coupon securities—specifically targeting stripped securities with remaining maturities of 20 to 30 years.
• Sampling and tracking: Like many ETFs, EDV uses indexing techniques and may apply sampling when direct replication is impracticable. The goal is to closely track index total return, net of fees and expenses.
• Zero-coupon focus: EDV invests primarily in zero-coupon Treasury STRIPS rather than coupon-bearing Treasury bonds. STRIPS pay no periodic interest; instead, they are issued at a deep discount and accrete to face value at maturity. For edv stock, the accumulation and discount characteristics of STRIPS drive the fund’s price sensitivity and yield profile.

How STRIPS differ from coupon bonds:

• Cash flows: STRIPS have a single cash flow at maturity (principal), whereas coupon bonds pay periodic coupons plus principal at maturity.
• Duration: For a given maturity, a zero-coupon STRIP has a duration equal to its maturity (because all cash flow is at one time), which makes duration—and thus interest-rate sensitivity—very large compared with coupon bonds of the same maturity.
• Pricing behavior: Because all return is realized at maturity, STRIPS’ prices move more for a given change in yield compared with coupon-bearing bonds with the same maturity.

Holdings and Portfolio Characteristics

EDV’s holdings are concentrated in U.S. Treasury STRIPS with remaining maturities between 20 and 30 years. Typical portfolio characteristics:

• Composition: Primarily long-term zero-coupon Treasury securities (STRIPS). The ETF does not take credit risk exposure beyond sovereign U.S. Treasuries.
• Number of holdings: The fund holds a collection of STRIPS that replicates or samples the index. Holdings can range from dozens to low hundreds depending on index composition and market availability of STRIPS.
• Concentration: By design, the fund is concentrated in the long end of the Treasury curve; sector concentration is effectively 100% U.S. government fixed income.
• Duration and sensitivity: The concentration in 20–30 year STRIPS gives EDV a very long effective duration relative to most Treasury ETFs, amplifying sensitivity to interest-rate moves. This characteristic is central to edv stock’s risk and return behavior.

Duration and Interest-Rate Sensitivity

EDV has a very long effective duration compared with coupon-bearing Treasury funds. Because EDV invests in zero-coupon securities whose durations are near their maturities, the fund’s effective duration typically lies in the mid-20s (measured in years) and can be higher when the portfolio’s weighted maturities are toward 30 years.

What that means in practical terms:

• Price responsiveness: A fund with effective duration in the mid-20s will experience larger percentage price moves for a given change in yields than shorter-duration funds. As a general characteristic (not a fixed rule), a 1 percentage-point (100 basis point) increase in yields could reduce EDV’s NAV by roughly 20%–30%; conversely, a 1 percentage-point decline in yields could raise the NAV by a similar magnitude.
• Volatility: Long duration translates to higher interest-rate-driven volatility. Holders of edv stock should expect greater NAV and market-price swings compared with most other bond ETFs.

These numbers are provided as general guidance: exact sensitivity varies with the fund’s current effective duration and prevailing yield curve.

Performance

EDV’s returns are driven primarily by long-term Treasury yield movements and price changes that result from shifts in the long end of the yield curve.

• Falling-rate environments: When long-term yields decline, the prices of long-duration zero-coupon securities tend to rise substantially. EDV has historically produced strong positive returns during extended periods of declining long-term yields.
• Rising-rate environments: Conversely, when long-term yields rise, EDV can have large negative total returns due to its high duration.
• Total return vs. distribution yield: For EDV, total return is more influenced by price appreciation/depreciation than by recurring distribution income because STRIPS do not pay periodic coupons; instead, return accrues through price accretion to maturity.

Where to find historical data:

• Historical total return, NAV performance, and market-price data are available on the Vanguard product page, major financial portals (e.g., Yahoo Finance, Morningstar, TradingView), and market data services that publish ETF charts and historical tables. For precise, up-to-date performance statistics and fee impacts, consult the fund prospectus and official issuer documents.

Yield and Distributions

• SEC 30-day yield: EDV reports a yield metric such as the SEC 30-day yield (or similar standardized yield measures). For a zero-coupon STRIPS fund, yield calculations reflect the discount accretion characteristics of STRIPS over a recent 30-day period and can differ materially from the yield on coupon-bearing bond funds.
• Distribution frequency: EDV typically makes monthly distributions, which represent realized income and any net realized gains allocated by the fund. Because STRIPS do not pay coupons, distributions are often the result of realized transactions, accrued interest mechanics within the ETF wrapper, and tax-managed allocation of taxable income.
• Distribution yield vs. total return: The distribution yield (cash paid to holders) usually understates the total return potential of edv stock because total return also reflects price changes tied to yield moves. Investors should look at total return series to evaluate historical performance rather than focusing solely on distribution yield.

Fees, Expenses, and Tax Considerations

Fees and expenses:

• EDV is positioned as a low-cost index ETF. As noted above, the expense ratio is low relative to many active funds; Vanguard lists the expense ratio at about 0.07% as of 2026-01-25. Confirm the current expense ratio on the Vanguard product page before making decisions.

Tax considerations (general guidance, not tax advice):

• Ordinary income vs. capital gains: Distributions classified as interest are generally taxable as ordinary income. If the fund realizes capital gains from trading within the ETF wrapper, those may be reported and distributed to shareholders as capital gains.
• STRIPS and tax: Holders of STRIPS (directly) are typically taxed annually on imputed interest even if no cash is received, because the accreted discount is treated as interest for tax purposes. For an ETF wrapper like edv stock, the fund’s internal accounting and the character of distributions determine how investors are taxed. The ETF may distribute interest-like income or capital gains; the tax forms and prospectus provide the breakdown.
• Tax reporting: Investors should review the fund’s annual tax reporting materials and consult a qualified tax advisor for how holdings of edv stock affect individual tax situations.

Important: This section provides general information only. Tax treatment depends on investor circumstances and jurisdiction. Consult a tax professional and the fund’s prospectus for specific guidance.

Trading Characteristics

Market-price vs. NAV:

• Like all ETFs, EDV trades on an exchange at a market price that may deviate slightly from the ETF’s net asset value (NAV). Heavy interest-rate moves can widen the premium/discount between market price and NAV.

Intraday indicative value (IIV/IV):

• EDV provides an intraday indicative value that helps traders assess the ETF’s NAV per share in real time. The IIV (sometimes labeled IIV or IV) is useful for intraday trading or for checking whether the market price reflects underlying NAV movements.

Liquidity and bid/ask spreads:

• Liquidity: EDV’s liquidity is a function of both shares traded on the exchange and the liquidity of underlying STRIPS. Average daily share volume varies over time—check up-to-date volume statistics on market quote pages. As of 2026-01-25, major market data providers report EDV’s recent average daily volume on their quote pages.
• Bid/ask spreads: Spreads for edv stock can widen during periods of market stress or elevated rate volatility. Traders may experience larger transaction costs if trading during these periods.

Trading implications:

• Market orders vs. limit orders: Given EDV’s potential for wide intraday price swings and variable spreads, limit orders are often preferable to market orders to control execution price. Using the intraday indicative value helps in setting reasonable limit prices.
• Authorized participants and creation/redemption: The ETF structure and the presence of authorized participants help keep market price close to NAV under normal conditions, but in stressed markets the mechanism can be strained and market-price deviations may last longer.

For users of Bitget research tools: While EDV itself trades on NYSE Arca, traders and investors can use Bitget’s market tools and watchlists to track ETF news, data, and macro indicators relevant to fixed-income ETFs. Always confirm that trading availability and order types match your platform’s capabilities.

Risks

Principal risks associated with edv stock include:

• Interest-rate risk (primary): EDV’s high duration makes it especially vulnerable to rising yields. Small changes in long-term yields can produce large percentage swings in price.
• Duration risk: Because EDV’s holdings are zero-coupon STRIPS, duration is very long and can amplify both gains and losses.
• Liquidity risk in stressed markets: Under severe market stress, liquidity for long-maturity STRIPS may dry up, widening spreads and potentially causing NAV disruptions.
• Inflation risk: Rising inflation expectations can push long-term yields higher, reducing the value of long-duration Treasury instruments.
• Credit/default risk: Very low for EDV because holdings are U.S. Treasury securities backed by the sovereign issuer; however, macro or policy events affecting Treasuries could still influence prices.

EDV’s long-duration profile means it amplifies interest-rate moves—this is a deliberate feature but a meaningful source of risk for investors who do not intend or prepare for large price swings.

Comparison with Similar Funds and Benchmarks

EDV can be compared with other Treasury ETFs and indices to understand its unique exposure:

• TLT: A common long-term Treasury ETF that holds coupon-bearing Treasuries with longer maturities; generally has lower duration than EDV because coupons reduce duration relative to zero-coupon STRIPS.
• ZROZ: A zero-coupon Treasury ETF that targets ultra-long maturities; similar in strategy to EDV but may track a different index or maturity band.
• VGLT: A Vanguard long-term Treasury ETF that holds coupon-bearing Treasuries and therefore typically has lower duration than EDV.

Primary distinctions:

• Zero-coupon STRIPS vs. coupon-bearing baskets: EDV’s STRIPS-only approach yields greater duration and price sensitivity versus funds that hold coupon-paying Treasury securities.
• Index differences: Funds may track different indexes (e.g., equal-par STRIPS index vs. market-cap or maturity-weighted coupon indices), leading to variations in holdings, duration, and performance.

When evaluating edv stock, compare the fund’s index, duration, expense ratio, and holdings profile with alternatives to determine which ETF aligns with your exposure goals.

Historical Notes and Fund Changes

• Launch and track record: EDV launched on December 6, 2007, to provide investors with targeted exposure to long-dated Treasury STRIPS.
• Material changes: Over time, Vanguard has adjusted fund documents, updated prospectuses, and implemented expense-ratio changes consistent with Vanguard’s broader pricing strategy. For example, periodic expense-ratio reductions are sometimes announced by the issuer—check Vanguard communications and prospectus updates for precise historical changes.
• AUM shifts: EDV’s assets under management have varied with market flows and price performance; significant inflows or outflows can change AUM materially, especially after periods of large total returns or losses.

As of 2026-01-25, Vanguard’s product communications and ETF fact sheet remain the primary sources for the fund’s most recent structural and fee-related changes.

Management and Governance

• Manager: Vanguard Fixed Income Group manages EDV using a passive, index-tracking approach.
• Governance: The fund is governed by the prospectus, fund board/trustee oversight, and custodial arrangements. Vanguard’s institutional infrastructure provides administrative, custody, and compliance functions required for ETF operations.
• Passive approach: EDV seeks to replicate the performance of its benchmark index net of fees and expenses rather than pursuing active security selection.

Investors should review the fund prospectus for details on management, board responsibilities, and any delegation of duties.

How Investors Use EDV

Common allocation roles for edv stock include:

• Duration hedge: Investors seeking protection against long-term rate declines may add EDV to offset interest-rate-driven losses in other parts of a portfolio.
• Tactical positioning: Traders with a directional view that long-term yields will fall may use EDV for leveraged duration exposure (recognizing the amplified risk).
• Income/accumulation: While not an income ETF in the coupon sense, EDV can serve as a long-duration exposure that accrues return through price movement as yields change.

Examples of strategies:

• Diversification: A balanced investor might combine equities with short- and long-duration bond exposures—adding edv stock shifts the portfolio’s sensitivity to long-term yield changes.
• Hedging equities: In certain macro regimes, long-duration Treasuries historically have provided a partial hedge to equities; EDV’s sensitivity makes it particular useful—but also risky—when used for hedging.

Suitability considerations:

• Risk tolerance: EDV is suitable for investors who understand and can tolerate high interest-rate volatility.
• Investment horizon: Long-duration exposure is more appropriate for investors with multi-year horizons who can withstand interim NAV swings.
• Not a cash-like holding: EDV is not a substitute for cash or short-term fixed income because of its volatility.

No investment advice: This section explains common uses and considerations only. It is not a recommendation to buy or sell edv stock.

References and Further Reading

Primary sources for up-to-date information on EDV include the Vanguard EDV product page, the fund prospectus, and ETF fact sheets. Financial portals such as major market quote pages and independent research providers publish historical performance, NAV tables, and liquidity statistics. For tax and legal matters consult a qualified advisor and the fund’s official documents.

As of 2026-01-25, according to Vanguard’s EDV product page and ETF fact sheet, fee and yield metrics shown in this guide reflect publicly reported figures on those pages. For live pricing, historical total returns, and holdings, consult the issuer’s materials and official market data providers.

See Also

• U.S. Treasury STRIPS
• Bond duration
• Treasury bond ETFs (TLT, VGLT, ZROZ)
• Fixed-income ETF concepts (duration, convexity, yield curves)

External Links

• Refer to Vanguard’s EDV product page and the fund prospectus for the definitive, up-to-date fund documents and regulatory disclosures.

Further exploration: if you want to monitor edv stock performance and set alerts, consider using Bitget’s market research tools and watchlist features to track macro events and ETF flows. For custody of digital assets or on-chain research, Bitget Wallet can be used for Web3 needs, while official Vanguard materials remain the authoritative source for EDV fund data.

Sources: Vanguard product page and fund prospectus; major market quote pages and ETF research portals. As of 2026-01-25, according to Vanguard’s EDV product page and ETF fact sheet, expense ratio and other fund-level metrics are reported by the issuer (check the official pages for the latest figures).

Explore more practical guides and ETF primers on Bitget’s learning resources to understand how fixed-income ETFs like edv stock compare with other portfolio building blocks.