What this ETF is trying to do

The Goldman Sachs Access Treasury 0-1 Year ETF (GBIL) is an exchange-traded fund. Based on its name, it focuses on Treasury securities with very short maturities, specifically between zero and one year.

What the numbers show

When looking at an ETF, it is important to know the difference between "price return" and "total return."

• Price Return: This measures only the change in the share price. For GBIL, the one-year price return was approximately -0.07%, and the year-to-date (YTD) price return was approximately -0.06%.

• Total Return: This includes the share price change plus any cash distributions paid out. The one-year total return was approximately 3.59%, and the YTD total return was approximately 2.61%.

If you look at an estimated price from roughly one year ago, it was about $99.95. The current price is $99.88. While the share price itself has seen a very slight decline, the total return shows a positive result because of the cash paid to investors. Over three years, the total return was approximately 13.90%.

Income and distribution explanation

This ETF provides cash distributions to investors. The distribution yield is approximately 3.60%. This means the amount of cash paid out is about 3.60% relative to the ETF's price. These payments usually happen monthly, with 12 payments recorded over the last year.

It is important to remember that a distribution yield tells you how much cash was paid, but it is not the same as your total return.

NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value, which is the actual value of the assets held by the fund. A falling share price does not always mean NAV erosion is happening, but investors often watch for it.

For GBIL, the erosion-risk score is 94, which is labeled as "Stable / sideways." The erosion severity is described as "good," and there is no severe erosion-risk flag present.

Pros

• Positive Total Returns: Even though the share price moved down slightly, the total return (which includes distributions) has been positive over the one-year, three-year, and five-year periods.

• Regular Income: The fund has a history of monthly distributions.

Cons

• Slight Price Decline: The share price has shown a very small negative return over the last year and year-to-date.

Beginner takeaway

When studying GBIL, it is helpful to look at both the share price and the total return. While the share price has stayed nearly flat or declined very slightly, the total return is higher because of the cash distributions. This shows how distributions can add value to an investment even when the price doesn't go up.