IJR vs. HYG

Last updated Jun 3, 2026

IJR (iShares Core S&P Small-Cap ETF) and HYG (iShares iBoxx $ High Yield Corporate Bond ETF) are both exchange-traded funds - IJR is a Small Cap Blend Equities fund tracking the S&P SmallCap 600 Index, while HYG is a High Yield Bonds fund tracking the iBoxx $ Liquid High Yield Index. Both are passively managed. Over the past 10 years, IJR returned 10.76%/yr vs 4.97%/yr for HYG. A 0.60 correlation means they provide meaningful diversification when combined. IJR charges 0.06%/yr vs 0.49%/yr for HYG.

Performance

IJR vs. HYG - Performance Comparison

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

Returns By Period

In the year-to-date period, IJR achieves a 16.42% return, which is significantly higher than HYG's 1.60% return. Over the past 10 years, IJR has outperformed HYG with an annualized return of 10.76%, while HYG has yielded a comparatively lower 4.97% annualized return.

IJR

• 1D: 0.89%
• 1M: 1.64%
• YTD: 16.42%
• 6M: 16.87%
• 1Y: 34.85%
• 3Y*: 14.73%
• 5Y*: 5.90%
• 10Y*: 10.76%

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%

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

IJR vs. HYG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IJR iShares Core S&P Small-Cap ETF	16.42%	5.89%	8.63%	16.06%	-16.20%	26.58%	11.28%	22.82%	-8.51%	13.15%
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%

Correlation

The correlation between IJR and HYG is 0.68, 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	0.68
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 Apr 12, 2007	0.60

The correlation between IJR and HYG has been stable across timeframes, ranging from 0.60 to 0.68 - a consistent structural relationship.

IJR vs. HYG - Sectors Allocation Comparison

Sectors	IJR	HYG
Financial Services	16.8%	-
Industrials	15.5%	-
Technology	15.5%	-
Consumer Cyclical	13.4%	-
Healthcare	11.1%	-
Real Estate	7.6%	0.4%
Energy	5.9%	-
Basic Materials	5.1%	-
Communication Services	3.6%	-
Consumer Defensive	3.5%	-
Utilities	2.0%	99.6%

Return for Risk

IJR vs. HYG — Risk / Return Rank

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

IJR

IJR Risk / Return Rank: 64
IJR Sharpe Ratio Rank: 59
IJR Sortino Ratio Rank: 61
IJR Omega Ratio Rank: 55
IJR Calmar Ratio Rank: 77
IJR Martin Ratio Rank: 70

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

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.

IJR vs. HYG - Risk-Adjusted Trends Comparison

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

	IJR	HYG	Difference
Sharpe ratio Return per unit of total volatility	2.00	1.85	+0.15
Sortino ratio Return per unit of downside risk	2.88	2.80	+0.08
Omega ratio Gain probability vs. loss probability	1.34	1.36	-0.01
Calmar ratio Return relative to maximum drawdown	3.96	2.99	+0.97
Martin ratio Return relative to average drawdown	13.21	13.22	-0.01
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IJR vs. HYG - Sharpe Ratio Comparison

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

	IJR	HYG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.00	1.85	+0.15
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.28	0.52	-0.24
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.47	0.60	-0.13
Sharpe Ratio (All Time) Calculated using the full available price history	0.44	0.46	-0.02

Drawdowns

IJR vs. HYG - Drawdown Comparison

The maximum IJR drawdown since its inception was -58.15%, which is greater than HYG's maximum drawdown of -34.25%. Use the drawdown chart below to compare losses from any high point for IJR and HYG.

Drawdown Indicators

	IJR	HYG	Difference
Max Drawdown Largest peak-to-trough decline	-58.15%	-34.25%	-23.90%
Max Drawdown (1Y) Largest decline over 1 year	-8.68%	-2.34%	-6.34%
Max Drawdown (3Y) Largest decline over 3 years	-28.02%	-4.56%	-23.46%
Max Drawdown (5Y) Largest decline over 5 years	-28.02%	-15.79%	-12.23%
Max Drawdown (10Y) Largest decline over 10 years	-44.36%	-22.03%	-22.33%
Current Drawdown Current decline from peak	-0.02%	-0.00%	-0.02%
Average Drawdown Average peak-to-trough decline	-9.28%	-3.24%	-6.04%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.60%	0.53%	+2.07%

Volatility

IJR vs. HYG - Volatility Comparison

iShares Core S&P Small-Cap ETF (IJR) has a higher volatility of 4.46% compared to iShares iBoxx $ High Yield Corporate Bond ETF (HYG) at 1.22%. This indicates that IJR's price experiences larger fluctuations and is considered to be riskier than HYG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IJR	HYG	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.46%	1.22%	+3.24%
Volatility (6M) Calculated over the trailing 6-month period	11.63%	3.00%	+8.63%
Volatility (1Y) Calculated over the trailing 1-year period	17.51%	3.79%	+13.72%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.40%	7.52%	+13.88%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.91%	8.29%	+14.62%

IJR vs. HYG - Expense Ratio Comparison

IJR has a 0.06% expense ratio, which is lower than HYG's 0.49% expense ratio.

Dividends

IJR vs. HYG - Dividend Comparison

IJR's dividend yield for the trailing twelve months is around 1.14%, less than HYG's 5.90% 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%
IJR iShares Core S&P Small-Cap ETF	1.14%	1.44%	2.05%	1.31%	1.41%	1.53%	1.11%	1.44%	1.58%	1.20%	1.22%	1.48%

Frequently Asked Questions

Can I hold both IJR and HYG in my portfolio?

IJR and HYG have a correlation of 0.68, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IJR or HYG?

IJR has higher volatility (4.46%) compared to HYG (1.22%). In terms of maximum drawdown, IJR dropped -58.15% vs HYG's -34.25%.

Which ETF is better, IJR or HYG?

On 10-year performance, IJR leads with 10.76% vs 4.97% for HYG. On fees, IJR is cheaper at 0.06% 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, IJR or HYG?

Over the 10-year period, IJR has performed better with a 10.76% return vs 4.97%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IJR or HYG?

IJR is cheaper with a 0.06% expense ratio, compared with 0.49% for HYG.

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

HYG has the higher dividend yield at 5.90%, compared with 1.14% for IJR.

What is the main difference between IJR and HYG?

IJR is categorized as Small Cap Blend Equities, while HYG is High Yield Bonds. IJR tracks S&P SmallCap 600 Index, while HYG tracks iBoxx $ Liquid High Yield Index. Their fees differ too: 0.06% for IJR and 0.49% for HYG.

Which has better risk-adjusted returns?

IJR 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.