HYDB vs. USHY

Last updated Jun 4, 2026

HYDB (iShares High Yield Bond Factor ETF) and USHY (iShares Broad USD High Yield Corporate Bond ETF) are both High Yield Bonds funds from iShares - HYDB tracks the BlackRock High Yield Defensive Bond Index while USHY tracks the ICE BofA US High Yield Constrained. Both are passively managed. Over the past 5 years, HYDB returned 4.67%/yr vs 4.24%/yr for USHY. Their correlation of 0.88 suggests significant overlap in exposure. HYDB charges 0.35%/yr vs 0.15%/yr for USHY.

Performance

HYDB vs. USHY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares High Yield Bond Factor ETF (HYDB) and iShares Broad USD High Yield Corporate Bond ETF (USHY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HYDB achieves a 1.32% return, which is significantly lower than USHY's 1.42% return.

HYDB

• 1D: -0.21%
• 1M: 0.39%
• YTD: 1.32%
• 6M: 1.87%
• 1Y: 7.20%
• 3Y*: 9.11%
• 5Y*: 4.67%
• 10Y*: —

USHY

• 1D: -0.27%
• 1M: 0.40%
• YTD: 1.42%
• 6M: 1.77%
• 1Y: 7.02%
• 3Y*: 8.91%
• 5Y*: 4.24%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

HYDB vs. USHY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
HYDB iShares High Yield Bond Factor ETF	1.32%	8.10%	9.11%	14.02%	-9.99%	5.14%	7.39%	16.13%	-3.18%	0.38%
USHY iShares Broad USD High Yield Corporate Bond ETF	1.42%	8.81%	8.45%	12.73%	-11.18%	5.02%	6.17%	14.24%	-2.41%	0.16%

Correlation

The correlation between HYDB and USHY is 0.96 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.96
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (All Time) Calculated using the full available price history since Oct 27, 2017	0.88

The correlation between HYDB and USHY has been stable across timeframes, ranging from 0.88 to 0.96 - a consistent structural relationship.

Return for Risk

HYDB vs. USHY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

HYDB

HYDB Risk / Return Rank: 57
HYDB Sharpe Ratio Rank: 55
HYDB Sortino Ratio Rank: 60
HYDB Omega Ratio Rank: 59
HYDB Calmar Ratio Rank: 51
HYDB Martin Ratio Rank: 62

USHY

USHY Risk / Return Rank: 60
USHY Sharpe Ratio Rank: 55
USHY Sortino Ratio Rank: 61
USHY Omega Ratio Rank: 60
USHY Calmar Ratio Rank: 58
USHY Martin Ratio Rank: 69

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

HYDB vs. USHY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares High Yield Bond Factor ETF (HYDB) and iShares Broad USD High Yield Corporate Bond ETF (USHY). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	HYDB	USHY	Difference
Sharpe ratio Return per unit of total volatility	1.91	1.93	-0.02
Sortino ratio Return per unit of downside risk	2.88	2.91	-0.03
Omega ratio Gain probability vs. loss probability	1.37	1.37	0.00
Calmar ratio Return relative to maximum drawdown	2.55	2.90	-0.35
Martin ratio Return relative to average drawdown	11.30	13.03	-1.73
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HYDB vs. USHY - Sharpe Ratio Comparison

The current HYDB Sharpe Ratio is 1.91, which is comparable to the USHY Sharpe Ratio of 1.93. The chart below compares the historical Sharpe Ratios of HYDB and USHY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	HYDB	USHY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.91	1.93	-0.02
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.67	0.58	+0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.71	0.58	+0.13

Drawdowns

HYDB vs. USHY - Drawdown Comparison

The maximum HYDB drawdown since its inception was -21.58%, roughly equal to the maximum USHY drawdown of -22.44%. Use the drawdown chart below to compare losses from any high point for HYDB and USHY.

Drawdown Indicators

	HYDB	USHY	Difference
Max Drawdown Largest peak-to-trough decline	-21.58%	-22.44%	+0.86%
Max Drawdown (1Y) Largest decline over 1 year	-2.83%	-2.43%	-0.40%
Max Drawdown (3Y) Largest decline over 3 years	-5.58%	-4.66%	-0.92%
Max Drawdown (5Y) Largest decline over 5 years	-14.28%	-15.56%	+1.28%
Current Drawdown Current decline from peak	-0.21%	-0.27%	+0.06%
Average Drawdown Average peak-to-trough decline	-2.39%	-2.67%	+0.28%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.64%	0.54%	+0.10%

Volatility

HYDB vs. USHY - Volatility Comparison

iShares High Yield Bond Factor ETF (HYDB) and iShares Broad USD High Yield Corporate Bond ETF (USHY) have volatilities of 1.13% and 1.13%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HYDB	USHY	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.13%	1.13%	0.00%
Volatility (6M) Calculated over the trailing 6-month period	2.93%	2.91%	+0.02%
Volatility (1Y) Calculated over the trailing 1-year period	3.79%	3.65%	+0.14%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.04%	7.34%	-0.30%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	7.76%	8.25%	-0.49%

HYDB vs. USHY - Expense Ratio Comparison

HYDB has a 0.35% expense ratio, which is higher than USHY's 0.15% expense ratio.

Dividends

HYDB vs. USHY - Dividend Comparison

HYDB's dividend yield for the trailing twelve months is around 7.00%, more than USHY's 6.92% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
HYDB iShares High Yield Bond Factor ETF	7.00%	7.04%	6.95%	7.00%	6.30%	4.70%	5.81%	5.68%	6.16%	2.70%
USHY iShares Broad USD High Yield Corporate Bond ETF	6.92%	6.79%	6.89%	6.63%	6.08%	5.07%	5.30%	5.92%	6.30%	0.73%

Frequently Asked Questions

Can I hold both HYDB and USHY in my portfolio?

With a correlation of 0.96, HYDB and USHY move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, HYDB or USHY?

USHY has higher volatility (1.13%) compared to HYDB (1.13%). In terms of maximum drawdown, HYDB dropped -21.58% vs USHY's -22.44%.

Which ETF is better, HYDB or USHY?

On 5-year performance, HYDB leads with 4.67% vs 4.24% for USHY. On fees, USHY is cheaper at 0.15% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HYDB or USHY?

Over the 5-year period, HYDB has performed better with a 4.67% return vs 4.24%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HYDB or USHY?

USHY is cheaper with a 0.15% expense ratio, compared with 0.35% for HYDB.

Which ETF pays a higher dividend yield, HYDB or USHY?

HYDB has the higher dividend yield at 7.00%, compared with 6.92% for USHY.

What is the main difference between HYDB and USHY?

HYDB tracks BlackRock High Yield Defensive Bond Index, while USHY tracks ICE BofA US High Yield Constrained. Their fees differ too: 0.35% for HYDB and 0.15% for USHY.

Which has better risk-adjusted returns?

USHY currently has the higher Sharpe Ratio (1.93 vs 1.91), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.