Increased Options Trading in iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT)

On January 17th, 2025, the iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) experienced a notable surge in options trading activity. Investors purchased a total of 859,126 call options for the ETF, marking a significant 46% increase from its regular volume of 588,208 call options.

Price Movements of iShares 20+ Year Treasury Bond ETF

On Friday, shares of NASDAQ TLT opened at $87.02. The ETF has a 50-day moving average of $89.86, while the 200-day moving average stands at $93.58. With a market capitalization of $50.96 billion, the ETF reports a price-to-earnings ratio of -7.14 and a beta of 0.06. Over the past year, TLT has reached a low of $84.89 and a high of $101.64.

Dividend Announcement

Recently, the iShares 20+ Year Treasury Bond ETF announced an increase in its monthly dividend, which was paid on December 23rd. Shareholders recorded as of December 18th received a dividend of $0.351, translating to an annualized dividend of $4.21 and a yield of 4.84%. This payout is an increase from the previous monthly dividend of $0.31. The ex-dividend date was December 18th.

Institutional Investors' Participation

Several institutional investors have adjusted their holdings in the iShares 20+ Year Treasury Bond ETF recently. ORG Wealth Partners LLC acquired new shares valued at $35,000 during the third quarter, while Prospera Private Wealth LLC made a similar investment of approximately $42,000 in the same period. In the fourth quarter, ST Germain D J Co. Inc. increased its stake by 73.1%, owning a total of 476 shares worth $42,000 after acquiring an additional 201 shares. Other firms, such as CarsonAllaria Wealth Management Ltd. and PSI Advisors LLC, have also added to their positions, with hedge funds and institutional investors collectively holding 73.32% of the ETF's stock.

Overview of iShares 20+ Year Treasury Bond ETF

The iShares 20+ Year Treasury Bond ETF is an exchange-traded fund designed to track the performance of an index composed of U.S. Treasury bonds with maturities exceeding 20 years. Specifically, the ETF aims to follow the Barclays U.S. 20+ Year Treasury Bond Index, which measures public obligations of the United States Treasury with a remaining maturity of 20 years or longer.

Conclusion

With the recent spike in call options trading and dividend increases, the iShares 20+ Year Treasury Bond ETF is drawing attention from both retail and institutional investors, indicating a potentially optimistic outlook for the fund.

trading, options, ETF