IBHF vs. OVT

Last updated Jun 4, 2026

IBHF (iShares iBonds 2026 Term High Yield and Income ETF) and OVT (Overlay Shares Short Term Bond ETF) are both Corporate Bonds funds. Both are actively managed. Over the past 5 years, IBHF returned 4.05%/yr vs 3.01%/yr for OVT. A 0.52 correlation means they provide meaningful diversification when combined. IBHF charges 0.35%/yr vs 0.80%/yr for OVT.

Performance

IBHF vs. OVT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares iBonds 2026 Term High Yield and Income ETF (IBHF) and Overlay Shares Short Term Bond ETF (OVT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IBHF achieves a 0.41% return, which is significantly lower than OVT's 2.61% return.

IBHF

• 1D: -0.04%
• 1M: -0.05%
• YTD: 0.41%
• 6M: 0.86%
• 1Y: 4.76%
• 3Y*: 7.23%
• 5Y*: 4.05%
• 10Y*: —

OVT

• 1D: -0.16%
• 1M: 0.55%
• YTD: 2.61%
• 6M: 3.07%
• 1Y: 8.92%
• 3Y*: 7.44%
• 5Y*: 3.01%
• 10Y*: —

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

IBHF vs. OVT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
IBHF iShares iBonds 2026 Term High Yield and Income ETF	0.41%	6.60%	8.55%	10.40%	-6.66%	4.65%
OVT Overlay Shares Short Term Bond ETF	2.61%	7.61%	7.44%	7.73%	-9.68%	2.07%

Correlation

The correlation between IBHF and OVT is 0.38, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.38
Correlation (3Y) Calculated over the trailing 3-year period	0.52
Correlation (5Y) Calculated over the trailing 5-year period	0.52
Correlation (All Time) Calculated using the full available price history since Jan 19, 2021	0.52

The correlation between IBHF and OVT shifts across timeframes, from 0.38 (1 year) to 0.52 (all time), reflecting how their relationship changes across market environments.

IBHF vs. OVT - Sectors Allocation Comparison

Sectors	IBHF	OVT
Energy	100.0%	3.5%
Basic Materials	-	1.8%
Communication Services	-	11.2%
Consumer Cyclical	-	10.1%
Consumer Defensive	-	4.9%
Financial Services	-	11.8%
Healthcare	-	8.5%
Industrials	-	8.3%
Real Estate	-	1.9%
Technology	-	35.6%
Utilities	-	2.4%

Return for Risk

IBHF vs. OVT — Risk / Return Rank

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

IBHF

IBHF Risk / Return Rank: 86
IBHF Sharpe Ratio Rank: 71
IBHF Sortino Ratio Rank: 89
IBHF Omega Ratio Rank: 83
IBHF Calmar Ratio Rank: 94
IBHF Martin Ratio Rank: 92

OVT

OVT Risk / Return Rank: 85
OVT Sharpe Ratio Rank: 80
OVT Sortino Ratio Rank: 84
OVT Omega Ratio Rank: 84
OVT Calmar Ratio Rank: 91
OVT Martin Ratio Rank: 89

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.

IBHF vs. OVT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares iBonds 2026 Term High Yield and Income ETF (IBHF) and Overlay Shares Short Term Bond ETF (OVT). 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.

	IBHF	OVT	Difference
Sharpe ratio: Return per unit of total volatility	2.36	2.60	-0.24
Sortino ratio: Return per unit of downside risk	4.14	3.83	+0.31
Omega ratio: Gain probability vs. loss probability	1.51	1.51	0.00
Calmar ratio: Return relative to maximum drawdown	7.48	5.78	+1.71
Martin ratio: Return relative to average drawdown	23.36	20.00	+3.36
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IBHF vs. OVT - Sharpe Ratio Comparison

The current IBHF Sharpe Ratio is 2.36, which is comparable to the OVT Sharpe Ratio of 2.60. The chart below compares the historical Sharpe Ratios of IBHF and OVT, 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

	IBHF	OVT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.36	2.60	-0.24
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.70	0.65	+0.05
Sharpe Ratio (All Time) Calculated using the full available price history	0.83	0.69	+0.14

Drawdowns

IBHF vs. OVT - Drawdown Comparison

The maximum IBHF drawdown since its inception was -11.19%, smaller than the maximum OVT drawdown of -13.59%. Use the drawdown chart below to compare losses from any high point for IBHF and OVT.

Drawdown Indicators

	IBHF	OVT	Difference
Max Drawdown Largest peak-to-trough decline	-11.19%	-13.59%	+2.40%
Max Drawdown (1Y) Largest decline over 1 year	-0.64%	-1.55%	+0.91%
Max Drawdown (3Y) Largest decline over 3 years	-2.53%	-3.55%	+1.02%
Max Drawdown (5Y) Largest decline over 5 years	-11.19%	-13.59%	+2.40%
Current Drawdown Current decline from peak	-0.58%	-0.41%	-0.17%
Average Drawdown Average peak-to-trough decline	-1.80%	-3.39%	+1.59%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.20%	0.45%	-0.25%

Volatility

IBHF vs. OVT - Volatility Comparison

The current volatility for iShares iBonds 2026 Term High Yield and Income ETF (IBHF) is 0.76%, while Overlay Shares Short Term Bond ETF (OVT) has a volatility of 0.83%. This indicates that IBHF experiences smaller price fluctuations and is considered to be less risky than OVT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IBHF	OVT	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.76%	0.83%	-0.07%
Volatility (6M) Calculated over the trailing 6-month period	1.22%	2.52%	-1.30%
Volatility (1Y) Calculated over the trailing 1-year period	2.03%	3.44%	-1.41%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.80%	4.63%	+1.17%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.66%	4.54%	+1.12%

IBHF vs. OVT - Expense Ratio Comparison

IBHF has a 0.35% expense ratio, which is lower than OVT's 0.80% expense ratio.

Dividends

IBHF vs. OVT - Dividend Comparison

IBHF's dividend yield for the trailing twelve months is around 6.54%, less than OVT's 8.17% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
IBHF iShares iBonds 2026 Term High Yield and Income ETF	6.54%	6.73%	7.17%	7.33%	6.01%	4.55%	0.61%
OVT Overlay Shares Short Term Bond ETF	8.17%	7.21%	6.15%	5.11%	4.12%	4.41%	0.00%

Frequently Asked Questions

Can I hold both IBHF and OVT in my portfolio?

IBHF and OVT have a correlation of 0.38, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IBHF or OVT?

OVT has higher volatility (0.83%) compared to IBHF (0.76%). In terms of maximum drawdown, IBHF dropped -11.19% vs OVT's -13.59%.

Which ETF is better, IBHF or OVT?

On 5-year performance, IBHF leads with 4.05% vs 3.01% for OVT. On fees, IBHF is cheaper at 0.35% 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, IBHF or OVT?

Over the 5-year period, IBHF has performed better with a 4.05% return vs 3.01%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IBHF or OVT?

IBHF is cheaper with a 0.35% expense ratio, compared with 0.80% for OVT.

Which ETF pays a higher dividend yield, IBHF or OVT?

OVT has the higher dividend yield at 8.17%, compared with 6.54% for IBHF.

What is the main difference between IBHF and OVT?

They also come from different issuers: iShares and Liquid Strategies. Their fees differ too: 0.35% for IBHF and 0.80% for OVT.

Which has better risk-adjusted returns?

OVT currently has the higher Sharpe Ratio (2.60 vs 2.36), 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.