VGIT tracks the Bloomberg US Treasury 3-10 Year Index and holds US Treasury notes and bonds with remaining maturities between three and ten years. Its duration is about five years, so a one percentage point rise in interest rates would be expected to lower its price by about five percent. The fund has no credit risk in the sense of default risk and sits between short-term funds such as VGSH and long-term funds such as VGLT.
