(SCHQ) Schwab Long-Term U.S. - Ratings and Ratios

The Schwab Long-Term U.S. Treasury ETF (SCHQ) is designed to track the performance of long-duration U.S. Treasury securities, offering investors exposure to government debt with maturities of ten years or more. To achieve its investment objective, the fund typically invests in securities that are part of its underlying index. This index includes all publicly issued, investment-grade U.S. Treasury securities with a remaining maturity of at least ten years and a minimum outstanding face value of $300 million. By focusing on these specific criteria, the fund provides a targeted way to gain exposure to the long-term U.S. Treasury market.

Under normal market conditions, the fund allocates at least 90% of its net assets to securities included in its index. This means that the majority of its portfolio is directly tied to the performance of long-term U.S. Treasuries. SCHQ is structured as an ETF, listed on the NYSE ARCA, and is categorized under long government securities. With an assets under management (AUM) of $765.53 million, it offers a cost-effective and efficient way for investors to access the long-duration Treasury market.

Looking ahead, the outlook for SCHQ will likely be shaped by the trajectory of U.S. interest rates and inflation expectations. As interest rates rise, the prices of existing long-term Treasury securities, and by extension the funds net asset value, may decline. Conversely, a low-interest-rate environment could support demand for long-term Treasuries, potentially benefiting the fund. Additionally, inflation trends will play a critical role, as rising inflation could lead to higher yields on long-term Treasuries, impacting the funds performance. Overall, SCHQ remains a tool for investors seeking exposure to long-term U.S. Treasury securities, with its returns closely tied to broader macroeconomic conditions.