US-listed · NYSE Arca · FIF-eligible (above NZ$50K)
iShares SGOV iShares 0-3 Month Treasury Bond ETF
Tracks the ICE 0-3 Month US Treasury Securities Index — ultra-short-duration US Treasury bills. Cash-equivalent yield exposure.
Updated Reviewed quarterly
About this fund
What is SGOV?
SGOV is the US-listed ticker for iShares 0-3 Month Treasury Bond ETF, issued by iShares. Tracks the ICE 0-3 Month US Treasury Securities Index — ultra-short-duration US Treasury bills. Cash-equivalent yield exposure. TER is 0.09% per year, with a trailing 12-month distribution yield of approximately 5.2%. Distributions are paid monthly.
How to buy
Where can I buy SGOV from New Zealand?
Hatch NZ-built. US$3 flat per trade, ~0.5% FX.
Stake Commission-free US shares; ~0.7% FX.
Sharesies NZ + AU + US in one account; tiered subscription pricing.
Interactive Brokers Tiered commissions; FX margin ~0.002% (lowest published of platforms reviewed).
See the full platform comparison for fees, minimums, and supported markets across all 11 NZ-accessible brokers.
NZ tax
How is SGOV taxed for NZ investors?
SGOV is US-listed, so it sits in the Foreign Investment Fund (FIF) regime once your overseas-share holdings exceed NZ$50,000 cost basis. Below that threshold, the FIF regime does not apply and you pay tax on dividends only.
Above NZ$50K cost basis, most NZ retail investors use the Fair Dividend Rate (FDR) method — deemed income = 5% × opening market value × your marginal tax rate. FDR vs CV method →
US dividends carry 15% US withholding tax under the NZ–US tax treaty (file a W-8BEN with your broker; without it, the rate is 30%). The 15% can be claimed as a foreign tax credit on your IR3.
Tax outcomes depend on your portfolio size, marginal rate, and FDR-vs-CV election. See PIE vs FIF for the full comparison and consult a registered NZ tax adviser for personalised guidance.
FAQ
Common questions about SGOV
What is the SGOV ETF? ⌄
SGOV is the iShares 0-3 Month Treasury Bond ETF — it tracks the ICE 0-3 Month US Treasury Securities Index, holding ultra-short-duration US Treasury bills (T-bills) maturing within 0-3 months. TER is 0.09%, distributions paid monthly. Yield ~5.2% (tracks the Federal Reserve target rate closely). Functions as a cash-equivalent ETF.
Why hold SGOV as cash equivalent? ⌄
Standard money-market accounts and term deposits in NZ are NZD-denominated. SGOV provides USD-denominated cash-like yield via T-bills — useful for investors holding a USD-cash position who want a yield on it (vs sitting in zero-yield broker cash). The yield resets as Fed rate decisions flow through; principal moves are minimal (T-bills are ~30-90 day duration).
Can NZ residents buy SGOV? ⌄
Yes. SGOV is available via Hatch, Stake, Sharesies (US market), and Interactive Brokers. Above NZ$50,000 cost basis FIF rules apply. Note: SGOV's 5.2% yield is relatively close to the FDR rate (5%), so the FIF deemed-income tax is approximately equal to actual yield — different from longer-duration or equity ETFs where FDR diverges from actual return.
SGOV vs BIL vs USFR — alternatives? ⌄
BIL (SPDR Bloomberg 1-3 Month T-Bill, 0.14% TER) is the older alternative; USFR (WisdomTree Floating Rate Treasury, 0.15% TER) holds floating-rate Treasuries instead of T-bills. SGOV is the lowest-cost option (0.09% TER). All three deliver effectively identical short-duration Treasury yield exposure.
Related ETFs and resources
SCHZ — Schwab Intermediate Treasury
Higher-duration alternative; more rate-sensitive.
BND — Vanguard Total Bond Market
Broad bond exposure across durations and credits.
HYG — iShares High Yield Corp Bond
Higher-yield credit alternative; very different risk profile.
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Curated comparison of bond options across the duration + credit spectrum.