IIGD vs. DEF

Last updated Jun 4, 2026

IIGD (Invesco Investment Grade Defensive ETF) and DEF (Invesco Defensive Equity ETF) are both exchange-traded funds - IIGD is a Corporate Bonds fund tracking the Invesco Investment Grade Defensive Index, while DEF is a Large Cap Growth Equities fund tracking the Invesco Defensive Equity Index. Both are passively managed. Over the past 5 years, IIGD returned 1.63%/yr vs 7.41%/yr for DEF. At a 0.19 correlation, their price movements are largely independent. IIGD charges 0.13%/yr vs 0.53%/yr for DEF.

Performance

IIGD vs. DEF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Investment Grade Defensive ETF (IIGD) and Invesco Defensive Equity ETF (DEF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IIGD achieves a 0.25% return, which is significantly higher than DEF's -2.29% return.

IIGD

• 1D: -0.10%
• 1M: 0.05%
• YTD: 0.25%
• 6M: 0.49%
• 1Y: 4.13%
• 3Y*: 5.07%
• 5Y*: 1.63%
• 10Y*: —

DEF

• 1D: 0.04%
• 1M: 0.44%
• YTD: -2.29%
• 6M: -2.55%
• 1Y: 4.21%
• 3Y*: 10.86%
• 5Y*: 7.41%
• 10Y*: 10.28%

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

IIGD vs. DEF - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
IIGD Invesco Investment Grade Defensive ETF	0.25%	7.11%	3.90%	5.71%	-7.27%	-1.42%	6.30%	7.40%	0.86%
DEF Invesco Defensive Equity ETF	-2.29%	11.71%	13.18%	10.58%	-7.67%	24.93%	7.61%	27.98%	-9.88%

Correlation

The correlation between IIGD and DEF is 0.33, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.33
Correlation (3Y) Calculated over the trailing 3-year period	0.26
Correlation (5Y) Calculated over the trailing 5-year period	0.27
Correlation (All Time) Calculated using the full available price history since Sep 10, 2018	0.19

The correlation between IIGD and DEF shifts across timeframes, from 0.19 (all time) to 0.33 (1 year), reflecting how their relationship changes across market environments.

IIGD vs. DEF - Sectors Allocation Comparison

Sectors	IIGD	DEF
Financial Services	16.7%	16.1%
Industrials	11.6%	15.6%
Technology	8.7%	12.1%
Consumer Defensive	5.6%	12.9%
Healthcare	5.5%	16.8%
Energy	5.5%	1.0%
Consumer Cyclical	3.0%	10.1%
Real Estate	3.0%	3.8%
Communication Services	2.4%	4.7%
Basic Materials	1.8%	2.1%
Utilities	1.3%	4.8%

Return for Risk

IIGD vs. DEF — Risk / Return Rank

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

IIGD

IIGD Risk / Return Rank: 54
IIGD Sharpe Ratio Rank: 53
IIGD Sortino Ratio Rank: 58
IIGD Omega Ratio Rank: 55
IIGD Calmar Ratio Rank: 50
IIGD Martin Ratio Rank: 51

DEF

DEF Risk / Return Rank: 14
DEF Sharpe Ratio Rank: 14
DEF Sortino Ratio Rank: 13
DEF Omega Ratio Rank: 13
DEF Calmar Ratio Rank: 14
DEF Martin Ratio Rank: 15

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.

IIGD vs. DEF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Investment Grade Defensive ETF (IIGD) and Invesco Defensive Equity ETF (DEF). 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.

	IIGD	DEF	Difference
Sharpe ratio: Return per unit of total volatility	1.81	0.36	+1.45
Sortino ratio: Return per unit of downside risk	2.75	0.61	+2.14
Omega ratio: Gain probability vs. loss probability	1.34	1.07	+0.27
Calmar ratio: Return relative to maximum drawdown	2.49	0.43	+2.05
Martin ratio: Return relative to average drawdown	8.72	1.18	+7.55
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IIGD vs. DEF - Sharpe Ratio Comparison

The current IIGD Sharpe Ratio is 1.81, which is higher than the DEF Sharpe Ratio of 0.36. The chart below compares the historical Sharpe Ratios of IIGD and DEF, 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

	IIGD	DEF	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.81	0.36	+1.45
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.45	0.54	-0.09
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.64	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.77	0.54	+0.23

Drawdowns

IIGD vs. DEF - Drawdown Comparison

The maximum IIGD drawdown since its inception was -11.43%, smaller than the maximum DEF drawdown of -47.91%. Use the drawdown chart below to compare losses from any high point for IIGD and DEF.

Drawdown Indicators

	IIGD	DEF	Difference
Max Drawdown Largest peak-to-trough decline	-11.43%	-47.91%	+36.48%
Max Drawdown (1Y) Largest decline over 1 year	-1.67%	-9.76%	+8.09%
Max Drawdown (3Y) Largest decline over 3 years	-2.14%	-15.00%	+12.86%
Max Drawdown (5Y) Largest decline over 5 years	-11.43%	-17.75%	+6.32%
Max Drawdown (10Y) Largest decline over 10 years	—	-36.53%	—
Current Drawdown Current decline from peak	-0.80%	-6.44%	+5.64%
Average Drawdown Average peak-to-trough decline	-2.42%	-6.24%	+3.82%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.47%	3.59%	-3.12%

Volatility

IIGD vs. DEF - Volatility Comparison

The current volatility for Invesco Investment Grade Defensive ETF (IIGD) is 0.75%, while Invesco Defensive Equity ETF (DEF) has a volatility of 3.12%. This indicates that IIGD experiences smaller price fluctuations and is considered to be less risky than DEF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IIGD	DEF	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.75%	3.12%	-2.37%
Volatility (6M) Calculated over the trailing 6-month period	1.65%	8.80%	-7.15%
Volatility (1Y) Calculated over the trailing 1-year period	2.29%	11.73%	-9.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.66%	13.92%	-10.26%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.70%	16.05%	-12.35%

IIGD vs. DEF - Expense Ratio Comparison

IIGD has a 0.13% expense ratio, which is lower than DEF's 0.53% expense ratio.

Dividends

IIGD vs. DEF - Dividend Comparison

IIGD's dividend yield for the trailing twelve months is around 4.28%, more than DEF's 0.96% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DEF Invesco Defensive Equity ETF	0.96%	0.94%	0.79%	1.60%	1.48%	1.06%	1.34%	1.16%	1.39%	1.63%	2.18%	3.31%
IIGD Invesco Investment Grade Defensive ETF	4.28%	4.25%	4.13%	3.74%	1.73%	1.77%	3.21%	2.44%	1.23%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both IIGD and DEF in my portfolio?

IIGD and DEF have a correlation of 0.33, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IIGD or DEF?

DEF has higher volatility (3.12%) compared to IIGD (0.75%). In terms of maximum drawdown, IIGD dropped -11.43% vs DEF's -47.91%.

Which ETF is better, IIGD or DEF?

On 5-year performance, DEF leads with 7.41% vs 1.63% for IIGD. On fees, IIGD is cheaper at 0.13% per year. On volatility, IIGD has been the lower-risk option at 0.75%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IIGD or DEF?

Over the 5-year period, DEF has performed better with a 7.41% return vs 1.63%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IIGD or DEF?

IIGD is cheaper with a 0.13% expense ratio, compared with 0.53% for DEF.

Which ETF pays a higher dividend yield, IIGD or DEF?

IIGD has the higher dividend yield at 4.28%, compared with 0.96% for DEF.

What is the main difference between IIGD and DEF?

IIGD is categorized as Corporate Bonds, while DEF is Large Cap Growth Equities. IIGD tracks Invesco Investment Grade Defensive Index, while DEF tracks Invesco Defensive Equity Index. Their fees differ too: 0.13% for IIGD and 0.53% for DEF.

Which has better risk-adjusted returns?

IIGD currently has the higher Sharpe Ratio (1.81 vs 0.36), 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.