IG vs. SCHI

Last updated Jun 25, 2026

IG (Principal Investment Grade Corporate Active ETF) and SCHI (Schwab 5-10 Year Corporate Bond ETF) are both Corporate Bonds funds. IG is actively managed, while SCHI is passively managed. Their correlation of 0.94 suggests significant overlap in exposure. IG charges 0.26%/yr vs 0.03%/yr for SCHI.

Performance

IG vs. SCHI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal Investment Grade Corporate Active ETF (IG) and Schwab 5-10 Year Corporate Bond ETF (SCHI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

IG

• 1D: 0.46%
• 1M: 1.35%
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

SCHI

• 1D: 0.31%
• 1M: 0.99%
• YTD: 0.68%
• 6M: 0.51%
• 1Y: 5.15%
• 3Y*: 6.26%
• 5Y*: 1.27%
• 10Y*: —

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

IG vs. SCHI - Yearly Performance Comparison

	2026 (YTD)
IG Principal Investment Grade Corporate Active ETF	0.58%
SCHI Schwab 5-10 Year Corporate Bond ETF	0.17%

Correlation

The correlation between IG and SCHI is 0.94, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (All Time) Calculated using the full available price history since Apr 22, 2026	0.94

Return for Risk

IG vs. SCHI — Risk / Return Rank

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

IG

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

SCHI

SCHI Risk / Return Rank: 38
SCHI Sharpe Ratio Rank: 38
SCHI Sortino Ratio Rank: 39
SCHI Omega Ratio Rank: 36
SCHI Calmar Ratio Rank: 37
SCHI Martin Ratio Rank: 38

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.

IG vs. SCHI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal Investment Grade Corporate Active ETF (IG) and Schwab 5-10 Year Corporate Bond ETF (SCHI). 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.

	IG	SCHI	Difference
Sharpe ratio: Return per unit of total volatility	—	1.25	—
Sortino ratio: Return per unit of downside risk	—	1.86	—
Omega ratio: Gain probability vs. loss probability	—	1.22	—
Calmar ratio: Return relative to maximum drawdown	—	1.72	—
Martin ratio: Return relative to average drawdown	—	5.50	—

Drawdowns

IG vs. SCHI - Drawdown Comparison

The maximum IG drawdown since its inception was -1.75%, smaller than the maximum SCHI drawdown of -20.67%. Use the drawdown chart below to compare losses from any high point for IG and SCHI.

Drawdown Indicators

	IG	SCHI	Difference
Max Drawdown Largest peak-to-trough decline	-1.75%	-20.67%	+18.92%
Max Drawdown (1Y) Largest decline over 1 year	—	-3.01%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-6.14%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-20.67%	—
Current Drawdown Current decline from peak	0.00%	-0.88%	+0.88%
Average Drawdown Average peak-to-trough decline	-0.44%	-5.67%	+5.23%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.94%	—

Volatility

Volatility by Period

	IG	SCHI	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	1.28%	—
Volatility (6M) Calculated over the trailing 6-month period	—	3.21%	—
Volatility (1Y) Calculated over the trailing 1-year period	4.88%	4.14%	+0.74%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.88%	6.67%	-1.79%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.88%	7.38%	-2.50%

IG vs. SCHI - Expense Ratio Comparison

IG has a 0.26% expense ratio, which is higher than SCHI's 0.03% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

IG vs. SCHI - Dividend Comparison

IG's dividend yield for the trailing twelve months is around 0.84%, less than SCHI's 5.02% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019
IG Principal Investment Grade Corporate Active ETF	0.84%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SCHI Schwab 5-10 Year Corporate Bond ETF	5.02%	4.99%	5.11%	4.27%	3.10%	1.93%	2.31%	0.53%

Frequently Asked Questions

Can I hold both IG and SCHI in my portfolio?

With a correlation of 0.94, IG and SCHI 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 ETF is better, IG or SCHI?

On fees, SCHI is cheaper at 0.03% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, IG or SCHI?

SCHI is cheaper with a 0.03% expense ratio, compared with 0.26% for IG.

Which ETF pays a higher dividend yield, IG or SCHI?

SCHI has the higher dividend yield at 5.02%, compared with 0.84% for IG.

What is the main difference between IG and SCHI?

They also come from different issuers: Principal and Charles Schwab. Their fees differ too: 0.26% for IG and 0.03% for SCHI.