LQDW vs. HYGW
Compare and contrast key facts about iShares Investment Grade Corporate Bond Buywrite Strategy ETF (LQDW) and iShares High Yield Corporate Bond Buywrite Strategy ETF (HYGW).
LQDW and HYGW are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. LQDW is a passively managed fund by iShares that tracks the performance of the CBOE LQD BuyWrite Index. It was launched on Aug 18, 2022. HYGW is a passively managed fund by iShares that tracks the performance of the Cboe HYG BuyWrite Index. It was launched on Aug 18, 2022. Both LQDW and HYGW are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: LQDW or HYGW.
Key characteristics
| LQDW | HYGW | |
|---|---|---|
| YTD Return | 2.52% | 7.08% |
| 1Y Return | 4.23% | 9.35% |
| Sharpe Ratio | 0.94 | 3.62 |
| Sortino Ratio | 1.28 | 5.62 |
| Omega Ratio | 1.18 | 1.81 |
| Calmar Ratio | 0.79 | 4.31 |
| Martin Ratio | 3.70 | 36.72 |
| Ulcer Index | 1.14% | 0.26% |
| Daily Std Dev | 4.50% | 2.60% |
| Max Drawdown | -9.20% | -5.49% |
| Current Drawdown | -2.89% | -0.52% |
Correlation
The correlation between LQDW and HYGW is 0.60, which is considered to be moderate. This suggests that the two assets have some degree of positive relationship in their price movements. Moderate correlation can be acceptable for portfolio diversification, offering a balance between risk and potential returns.
Performance
LQDW vs. HYGW - Performance Comparison
In the year-to-date period, LQDW achieves a 2.52% return, which is significantly lower than HYGW's 7.08% return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
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LQDW vs. HYGW - Expense Ratio Comparison
LQDW has a 0.34% expense ratio, which is lower than HYGW's 0.69% expense ratio.
Risk-Adjusted Performance
LQDW vs. HYGW - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares Investment Grade Corporate Bond Buywrite Strategy ETF (LQDW) and iShares High Yield Corporate Bond Buywrite Strategy ETF (HYGW). 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.
Dividends
LQDW vs. HYGW - Dividend Comparison
LQDW's dividend yield for the trailing twelve months is around 16.51%, more than HYGW's 12.59% yield.
| TTM | 2023 | 2022 | |
|---|---|---|---|
LQDW iShares Investment Grade Corporate Bond Buywrite Strategy ETF | 16.51% | 19.28% | 8.85% |
HYGW iShares High Yield Corporate Bond Buywrite Strategy ETF | 12.59% | 15.98% | 8.72% |
Drawdowns
LQDW vs. HYGW - Drawdown Comparison
The maximum LQDW drawdown since its inception was -9.20%, which is greater than HYGW's maximum drawdown of -5.49%. Use the drawdown chart below to compare losses from any high point for LQDW and HYGW. For additional features, visit the drawdowns tool.
Volatility
LQDW vs. HYGW - Volatility Comparison
iShares Investment Grade Corporate Bond Buywrite Strategy ETF (LQDW) has a higher volatility of 2.19% compared to iShares High Yield Corporate Bond Buywrite Strategy ETF (HYGW) at 1.07%. This indicates that LQDW's price experiences larger fluctuations and is considered to be riskier than HYGW based on this measure. The chart below showcases a comparison of their rolling one-month volatility.