Treasury ETF Short Interest Diverges Across Funds

Recent reports showed sharply divergent short-interest moves among Treasury ETFs: short interest in the NEOS Enhanced Income 20+ Year Treasury Bond ETF rose 535% to 23,968 shares, while the US Treasury 20 Year Bond ETF’s short interest climbed 785% to 1,319 shares. By contrast, short interest in the Xtrackers US 0-1 Year Treasury ETF fell 89% to 621 shares. Separately, newly listed September 2027 options on the iShares 7-10 Year Treasury Bond ETF included a $89 put with a $1.70 bid, presenting a potential income strategy for investors willing to buy shares at an effective $87.30 cost basis if assigned. The iShares 20+ Year Treasury Bond ETF’s stated mandate is to track an index of longer-maturity U.S. Treasury securities, investing at least 80% of assets in index components and at least 90% in Treasury securities.