ISHG vs. IAU
ISHG (iShares 1-3 Year International Treasury Bond ETF) and IAU (iShares Gold Trust) are both exchange-traded funds - ISHG is a International Government Bonds fund tracking the S&P/Citigroup International Treasury Bond Index Ex-US 1-3 Year, while IAU is a Gold fund tracking the LBMA Gold Price. Both are passively managed. Over the past 10 years, ISHG returned -0.18%/yr vs 11.64%/yr for IAU. At a 0.43 correlation, their price movements are largely independent. ISHG charges 0.35%/yr vs 0.25%/yr for IAU.
Performance
ISHG vs. IAU - Performance Comparison
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Returns By Period
In the year-to-date period, ISHG achieves a -1.21% return, which is significantly higher than IAU's -4.82% return. Over the past 10 years, ISHG has underperformed IAU with an annualized return of -0.18%, while IAU has yielded a comparatively higher 11.64% annualized return.
ISHG
- 1D
- 0.06%
- 1M
- -1.04%
- 6M
- -0.60%
- YTD
- -1.21%
- 1Y
- -0.54%
- 3Y*
- 3.44%
- 5Y*
- -0.95%
- 10Y*
- -0.18%
IAU
- 1D
- -0.32%
- 1M
- -2.44%
- 6M
- -8.99%
- YTD
- -4.82%
- 1Y
- 22.05%
- 3Y*
- 28.26%
- 5Y*
- 17.54%
- 10Y*
- 11.64%
ISHG vs. IAU - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
ISHG iShares 1-3 Year International Treasury Bond ETF | -1.21% | 13.31% | -4.16% | 3.76% | -10.95% | -7.05% | 7.47% | -0.64% | -3.54% | 10.91% |
IAU iShares Gold Trust | -4.82% | 63.95% | 26.85% | 12.84% | -0.63% | -4.00% | 25.03% | 17.98% | -1.76% | 12.91% |
Correlation
The correlation between ISHG and IAU is 0.50, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.50 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.46 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.49 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.48 |
Correlation (All Time) Calculated using the full available price history since Jan 28, 2009 | 0.43 |
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Return for Risk
ISHG vs. IAU — Risk / Return Rank
ISHG
IAU
ISHG vs. IAU - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares 1-3 Year International Treasury Bond ETF (ISHG) and iShares Gold Trust (IAU). 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.
| ISHG | IAU | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.98 | ||
| Sortino ratioReturn per unit of downside risk | -1.35 | ||
| Omega ratioGain probability vs. loss probability | 0.98 | 1.18 | -0.19 |
| Calmar ratioReturn relative to maximum drawdown | -0.17 | 0.89 | -1.06 |
| Martin ratioReturn relative to average drawdown | -0.37 | 2.21 | -2.59 |
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Drawdowns
ISHG vs. IAU - Drawdown Comparison
The maximum ISHG drawdown since its inception was -37.24%, smaller than the maximum IAU drawdown of -45.14%. Use the drawdown chart below to compare losses from any high point for ISHG and IAU.
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Drawdown Indicators
| ISHG | IAU | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -37.24% | -45.14% | +7.90% |
Max Drawdown (1Y)Largest decline over 1 year | -5.02% | -26.17% | +21.15% |
Max Drawdown (3Y)Largest decline over 3 years | -8.21% | -26.17% | +17.96% |
Max Drawdown (5Y)Largest decline over 5 years | -22.29% | -26.17% | +3.88% |
Max Drawdown (10Y)Largest decline over 10 years | -25.56% | -26.17% | +0.61% |
Current DrawdownCurrent decline from peak | -23.17% | -23.93% | +0.76% |
Average DrawdownAverage peak-to-trough decline | -18.46% | -15.99% | -2.47% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 2.29% | 10.54% | -8.25% |
Volatility
ISHG vs. IAU - Volatility Comparison
The current volatility for iShares 1-3 Year International Treasury Bond ETF (ISHG) is 1.58%, while iShares Gold Trust (IAU) has a volatility of 8.21%. This indicates that ISHG experiences smaller price fluctuations and is considered to be less risky than IAU based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| ISHG | IAU | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.58% | 8.21% | -6.63% |
Volatility (6M)Calculated over the trailing 6-month period | 4.92% | 23.89% | -18.97% |
Volatility (1Y)Calculated over the trailing 1-year period | 6.49% | 27.58% | -21.09% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 7.59% | 18.28% | -10.69% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 6.91% | 16.03% | -9.12% |
ISHG vs. IAU - Expense Ratio Comparison
ISHG has a 0.35% expense ratio, which is higher than IAU's 0.25% expense ratio.
Dividends
ISHG vs. IAU - Dividend Comparison
ISHG's dividend yield for the trailing twelve months is around 1.47%, while IAU has not paid dividends to shareholders.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IAU iShares Gold Trust | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
ISHG iShares 1-3 Year International Treasury Bond ETF | 1.47% | 1.45% | 2.56% | 0.18% | 0.00% | 1.29% | 0.00% | 0.00% | 1.80% | 0.46% | 0.00% | 0.09% |
Frequently Asked Questions
ISHG and IAU have a correlation of 0.50, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
IAU has higher volatility (8.21%) compared to ISHG (1.58%). In terms of maximum drawdown, ISHG dropped -37.24% vs IAU's -45.14%.
On 10-year performance, IAU leads with 11.64% vs -0.18% for ISHG. On fees, IAU is cheaper at 0.25% per year. On volatility, ISHG has been the lower-risk option at 1.58%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, IAU has performed better with a 11.64% return vs -0.18%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
IAU is cheaper with a 0.25% expense ratio, compared with 0.35% for ISHG.
ISHG has the higher dividend yield at 1.47%, compared with 0.00% for IAU.
ISHG is categorized as International Government Bonds, while IAU is Gold. ISHG tracks S&P/Citigroup International Treasury Bond Index Ex-US 1-3 Year, while IAU tracks LBMA Gold Price. Their fees differ too: 0.35% for ISHG and 0.25% for IAU.
IAU currently has the higher Sharpe Ratio (0.85 vs -0.13), 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.
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