HYGI vs. VWO

Last updated Aug 2, 2026

HYGI (iShares Inflation Hedged High Yield Bond ETF) and VWO (Vanguard FTSE Emerging Markets ETF) are both exchange-traded funds - HYGI is a Inflation-Protected Bonds fund tracking the BlackRock Inflation Hedged High Yield Bond Index - Benchmark TR Gross, while VWO is a Emerging Markets Equities fund tracking the FTSE Emerging Index. Both are passively managed. Their 0.47 correlation means their historical movements had little consistent relationship. HYGI charges 0.52%/yr vs 0.08%/yr for VWO.

Performance

HYGI vs. VWO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Inflation Hedged High Yield Bond ETF (HYGI) and Vanguard FTSE Emerging Markets ETF (VWO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

HYGI

• 1D: —
• 1M: —
• 6M: —
• YTD: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: —

VWO

• 1D: 0.96%
• 1M: -0.49%
• 6M: 4.16%
• YTD: 9.41%
• 1Y: 21.69%
• 3Y*: 14.84%
• 5Y*: 6.08%
• 10Y*: 7.86%
• ALL TIME*: 6.81%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
VWO Vanguard FTSE Emerging Markets ETF	$386.61M	$469.40M	$499.89M

HYGI vs. VWO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
HYGI iShares Inflation Hedged High Yield Bond ETF	0.00%	6.20%	9.16%	11.71%	0.65%
VWO Vanguard FTSE Emerging Markets ETF	9.41%	25.60%	10.59%	9.25%	-2.80%

Correlation

The correlation between HYGI and VWO is 0.05, meaning there was essentially no consistent relationship between their historical price movements. Each responded to its own set of market drivers.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.05
Correlation (3Y) Balances recent behavior with more history.	0.40
Correlation (All Time) Calculated using the full available price history since Jun 24, 2022	0.47

Over the past year, the correlation between HYGI and VWO has dropped to 0.05 - well below their long-term average of 0.47, suggesting their price drivers have been diverging.

Return for Risk

HYGI vs. VWO — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

HYGI

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

VWO

VWO Risk / Return Rank: 51
VWO Sharpe Ratio Rank: 49
VWO Sortino Ratio Rank: 48
VWO Omega Ratio Rank: 49
VWO Calmar Ratio Rank: 54
VWO Martin Ratio Rank: 53

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

HYGI vs. VWO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Inflation Hedged High Yield Bond ETF (HYGI) and Vanguard FTSE Emerging Markets ETF (VWO). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	HYGI	VWO	Difference
Sharpe ratio: Return per unit of total volatility	—	1.20	—
Sortino ratio: Return per unit of downside risk	—	1.72	—
Omega ratio: Gain probability vs. loss probability	—	1.22	—
Calmar ratio: Return relative to maximum drawdown	—	1.89	—
Martin ratio: Return relative to average drawdown	—	6.16	—

Drawdowns

Drawdown Indicators

	HYGI	VWO	Difference
Max Drawdown Largest peak-to-trough decline	—	-67.68%	—
Max Drawdown (1Y) Largest decline over 1 year	—	-11.17%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-17.37%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-30.88%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-36.39%	—
Current Drawdown Current decline from peak	—	-4.07%	—
Average Drawdown Average peak-to-trough decline	—	-15.73%	—
Ulcer Index Depth and duration of drawdowns from previous peaks	—	3.43%	—

Volatility

Volatility by Period

	HYGI	VWO	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	5.58%	—
Volatility (6M) Calculated over the trailing 6-month period	—	15.22%	—
Volatility (1Y) Calculated over the trailing 1-year period	—	17.58%	—
Volatility (5Y) Calculated over the trailing 5-year period, annualized	—	17.56%	—
Volatility (10Y) Calculated over the trailing 10-year period, annualized	—	19.17%	—

HYGI vs. VWO - Expense Ratio Comparison

HYGI has a 0.52% expense ratio, which is higher than VWO's 0.08% expense ratio.

Dividends

HYGI vs. VWO - Dividend Comparison

HYGI has not paid dividends to shareholders, while VWO's dividend yield for the trailing twelve months is around 2.35%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HYGI iShares Inflation Hedged High Yield Bond ETF	0.50%	3.41%	6.08%	6.22%	3.19%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VWO Vanguard FTSE Emerging Markets ETF	2.35%	2.79%	3.20%	3.52%	4.11%	2.63%	1.91%	3.23%	2.88%	2.30%	2.52%	3.26%

Frequently Asked Questions

Can I hold both HYGI and VWO in my portfolio?

HYGI and VWO have a correlation of 0.05, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, HYGI or VWO?

On fees, VWO is cheaper at 0.08% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, HYGI or VWO?

VWO is cheaper with a 0.08% expense ratio, compared with 0.52% for HYGI.

Which ETF pays a higher dividend yield, HYGI or VWO?

VWO has the higher dividend yield at 2.35%, compared with 0.50% for HYGI.

What is the main difference between HYGI and VWO?

HYGI is categorized as Inflation-Protected Bonds, while VWO is Emerging Markets Equities. HYGI tracks BlackRock Inflation Hedged High Yield Bond Index - Benchmark TR Gross, while VWO tracks FTSE Emerging Index. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.52% for HYGI and 0.08% for VWO.