HYG vs. VIOO

Last updated Jun 3, 2026

HYG (iShares iBoxx $ High Yield Corporate Bond ETF) and VIOO (Vanguard S&P Small-Cap 600 ETF) are both exchange-traded funds - HYG is a High Yield Bonds fund tracking the iBoxx $ Liquid High Yield Index, while VIOO is a Small Cap Blend Equities fund tracking the S&P SmallCap 600 Index. Both are passively managed. Over the past 10 years, HYG returned 4.97%/yr vs 10.77%/yr for VIOO. A 0.63 correlation means they provide meaningful diversification when combined. HYG charges 0.49%/yr vs 0.10%/yr for VIOO.

Performance

HYG vs. VIOO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares iBoxx $ High Yield Corporate Bond ETF (HYG) and Vanguard S&P Small-Cap 600 ETF (VIOO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HYG achieves a 1.60% return, which is significantly lower than VIOO's 16.37% return. Over the past 10 years, HYG has underperformed VIOO with an annualized return of 4.97%, while VIOO has yielded a comparatively higher 10.77% annualized return.

HYG

• 1D: 0.08%
• 1M: 0.31%
• YTD: 1.60%
• 6M: 2.09%
• 1Y: 7.00%
• 3Y*: 8.58%
• 5Y*: 3.87%
• 10Y*: 4.97%

VIOO

• 1D: 0.91%
• 1M: 1.63%
• YTD: 16.37%
• 6M: 16.85%
• 1Y: 34.98%
• 3Y*: 14.74%
• 5Y*: 5.91%
• 10Y*: 10.77%

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

HYG vs. VIOO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
HYG iShares iBoxx $ High Yield Corporate Bond ETF	1.60%	8.59%	7.97%	11.54%	-10.98%	3.76%	4.47%	14.09%	-2.02%	6.07%
VIOO Vanguard S&P Small-Cap 600 ETF	16.37%	6.04%	8.48%	16.16%	-16.26%	26.79%	11.47%	22.68%	-8.65%	13.16%

Correlation

The correlation between HYG and VIOO is 0.67, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.67
Correlation (3Y) Calculated over the trailing 3-year period	0.67
Correlation (5Y) Calculated over the trailing 5-year period	0.68
Correlation (10Y) Calculated over the trailing 10-year period	0.65
Correlation (All Time) Calculated using the full available price history since Sep 10, 2010	0.63

The correlation between HYG and VIOO has been stable across timeframes, ranging from 0.63 to 0.68 - a consistent structural relationship.

HYG vs. VIOO - Sectors Allocation Comparison

Sectors	HYG	VIOO
Utilities	99.6%	2.0%
Real Estate	0.4%	7.7%
Basic Materials	-	5.1%
Communication Services	-	3.6%
Consumer Cyclical	-	13.4%
Consumer Defensive	-	3.5%
Energy	-	5.9%
Financial Services	-	16.9%
Healthcare	-	11.0%
Industrials	-	15.5%
Technology	-	15.5%

Return for Risk

HYG vs. VIOO — Risk / Return Rank

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

HYG

HYG Risk / Return Rank: 60
HYG Sharpe Ratio Rank: 53
HYG Sortino Ratio Rank: 59
HYG Omega Ratio Rank: 58
HYG Calmar Ratio Rank: 59
HYG Martin Ratio Rank: 70

VIOO

VIOO Risk / Return Rank: 64
VIOO Sharpe Ratio Rank: 58
VIOO Sortino Ratio Rank: 61
VIOO Omega Ratio Rank: 55
VIOO Calmar Ratio Rank: 76
VIOO Martin Ratio Rank: 70

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.

HYG vs. VIOO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares iBoxx $ High Yield Corporate Bond ETF (HYG) and Vanguard S&P Small-Cap 600 ETF (VIOO). 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.

	HYG	VIOO	Difference
Sharpe ratio Return per unit of total volatility	1.85	2.00	-0.15
Sortino ratio Return per unit of downside risk	2.80	2.88	-0.08
Omega ratio Gain probability vs. loss probability	1.36	1.34	+0.01
Calmar ratio Return relative to maximum drawdown	2.99	3.93	-0.94
Martin ratio Return relative to average drawdown	13.22	13.17	+0.05
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HYG vs. VIOO - Sharpe Ratio Comparison

The current HYG Sharpe Ratio is 1.85, which is comparable to the VIOO Sharpe Ratio of 2.00. The chart below compares the historical Sharpe Ratios of HYG and VIOO, 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

	HYG	VIOO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.85	2.00	-0.15
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.52	0.28	+0.24
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.60	0.47	+0.13
Sharpe Ratio (All Time) Calculated using the full available price history	0.46	0.58	-0.12

Drawdowns

HYG vs. VIOO - Drawdown Comparison

The maximum HYG drawdown since its inception was -34.25%, smaller than the maximum VIOO drawdown of -44.15%. Use the drawdown chart below to compare losses from any high point for HYG and VIOO.

Drawdown Indicators

	HYG	VIOO	Difference
Max Drawdown Largest peak-to-trough decline	-34.25%	-44.15%	+9.90%
Max Drawdown (1Y) Largest decline over 1 year	-2.34%	-8.77%	+6.43%
Max Drawdown (3Y) Largest decline over 3 years	-4.56%	-27.93%	+23.37%
Max Drawdown (5Y) Largest decline over 5 years	-15.79%	-27.93%	+12.14%
Max Drawdown (10Y) Largest decline over 10 years	-22.03%	-44.15%	+22.12%
Current Drawdown Current decline from peak	-0.00%	-0.01%	+0.01%
Average Drawdown Average peak-to-trough decline	-3.24%	-7.34%	+4.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.53%	2.62%	-2.09%

Volatility

HYG vs. VIOO - Volatility Comparison

The current volatility for iShares iBoxx $ High Yield Corporate Bond ETF (HYG) is 1.22%, while Vanguard S&P Small-Cap 600 ETF (VIOO) has a volatility of 4.40%. This indicates that HYG experiences smaller price fluctuations and is considered to be less risky than VIOO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HYG	VIOO	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.22%	4.40%	-3.18%
Volatility (6M) Calculated over the trailing 6-month period	3.00%	11.69%	-8.69%
Volatility (1Y) Calculated over the trailing 1-year period	3.79%	17.57%	-13.78%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.52%	21.40%	-13.88%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	8.29%	22.99%	-14.70%

HYG vs. VIOO - Expense Ratio Comparison

HYG has a 0.49% expense ratio, which is higher than VIOO's 0.10% expense ratio.

Dividends

HYG vs. VIOO - Dividend Comparison

HYG's dividend yield for the trailing twelve months is around 5.90%, more than VIOO's 1.17% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HYG iShares iBoxx $ High Yield Corporate Bond ETF	5.90%	5.71%	6.01%	5.74%	5.30%	4.02%	4.88%	4.99%	5.54%	5.12%	5.27%	5.90%
VIOO Vanguard S&P Small-Cap 600 ETF	1.17%	1.36%	1.48%	1.47%	1.51%	1.16%	1.09%	1.37%	1.32%	1.11%	1.06%	1.26%

Frequently Asked Questions

Can I hold both HYG and VIOO in my portfolio?

HYG and VIOO have a correlation of 0.67, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HYG or VIOO?

VIOO has higher volatility (4.40%) compared to HYG (1.22%). In terms of maximum drawdown, HYG dropped -34.25% vs VIOO's -44.15%.

Which ETF is better, HYG or VIOO?

On 10-year performance, VIOO leads with 10.77% vs 4.97% for HYG. On fees, VIOO is cheaper at 0.10% per year. On volatility, HYG has been the lower-risk option at 1.22%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HYG or VIOO?

Over the 10-year period, VIOO has performed better with a 10.77% return vs 4.97%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HYG or VIOO?

VIOO is cheaper with a 0.10% expense ratio, compared with 0.49% for HYG.

Which ETF pays a higher dividend yield, HYG or VIOO?

HYG has the higher dividend yield at 5.90%, compared with 1.17% for VIOO.

What is the main difference between HYG and VIOO?

HYG is categorized as High Yield Bonds, while VIOO is Small Cap Blend Equities. HYG tracks iBoxx $ Liquid High Yield Index, while VIOO tracks S&P SmallCap 600 Index. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.49% for HYG and 0.10% for VIOO.

Which has better risk-adjusted returns?

VIOO currently has the higher Sharpe Ratio (2.00 vs 1.85), 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.