LQDW vs. IBIT

Last updated Aug 2, 2026

LQDW (iShares Investment Grade Corporate Bond Buywrite Strategy ETF) and IBIT (iShares Bitcoin Trust ETF) are both exchange-traded funds - LQDW is a Corporate Bonds fund tracking the CBOE LQD BuyWrite Index, while IBIT is a Cryptocurrency fund tracking the CME CF Bitcoin Reference Rate - New York Variant. Both are passively managed. Over the past year, LQDW returned 3.34% vs -44.50% for IBIT. Their 0.09 correlation means their historical movements had little consistent relationship. LQDW charges 0.34%/yr vs 0.25%/yr for IBIT.

Performance

LQDW vs. IBIT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Investment Grade Corporate Bond Buywrite Strategy ETF (LQDW) and iShares Bitcoin Trust ETF (IBIT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, LQDW achieves a 0.40% return, which is significantly higher than IBIT's -28.22% return.

LQDW

• 1D: -0.19%
• 1M: -1.66%
• 6M: -0.19%
• YTD: 0.40%
• 1Y: 3.34%
• 3Y*: 3.14%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 2.19%

IBIT

• 1D: -2.89%
• 1M: 2.21%
• 6M: -24.95%
• YTD: -28.22%
• 1Y: -44.50%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 10.01%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
IBIT iShares Bitcoin Trust ETF	$1.30B	$1.34B	$1.68B
LQDW iShares Investment Grade Corporate Bond Buywrite Strategy ETF	$6.26M	$3.68M	$2.25M

LQDW vs. IBIT - Yearly Performance Comparison

	2026 (YTD)	2025	2024
LQDW iShares Investment Grade Corporate Bond Buywrite Strategy ETF	0.40%	9.05%	2.91%
IBIT iShares Bitcoin Trust ETF	-28.22%	-6.41%	89.87%

Correlation

The correlation between LQDW and IBIT is 0.18, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.18
Correlation (All Time) Calculated using the full available price history since Jan 11, 2024	0.09

Return for Risk

LQDW vs. IBIT — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

LQDW

LQDW Risk / Return Rank: 37
LQDW Sharpe Ratio Rank: 37
LQDW Sortino Ratio Rank: 34
LQDW Omega Ratio Rank: 36
LQDW Calmar Ratio Rank: 38
LQDW Martin Ratio Rank: 40

IBIT

IBIT Risk / Return Rank: 1
IBIT Sharpe Ratio Rank: 1
IBIT Sortino Ratio Rank: 1
IBIT Omega Ratio Rank: 2
IBIT Calmar Ratio Rank: 2
IBIT Martin Ratio Rank: 1

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

LQDW vs. IBIT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Investment Grade Corporate Bond Buywrite Strategy ETF (LQDW) and iShares Bitcoin Trust ETF (IBIT). 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.

	LQDW	IBIT	Difference
Sharpe ratio: Return per unit of total volatility	0.91	-1.04	+1.95
Sortino ratio: Return per unit of downside risk	1.27	-1.57	+2.85
Omega ratio: Gain probability vs. loss probability	1.17	0.83	+0.35
Calmar ratio: Return relative to maximum drawdown	1.32	-0.87	+2.19
Martin ratio: Return relative to average drawdown	4.31	-1.34	+5.64

LQDW vs. IBIT - Sharpe Ratio Comparison

The current LQDW Sharpe Ratio is 0.91, which is higher than the IBIT Sharpe Ratio of -1.04. The chart below compares the historical Sharpe Ratios of LQDW and IBIT, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

LQDW vs. IBIT - Drawdown Comparison

The maximum LQDW drawdown since its inception was -9.20%, smaller than the maximum IBIT drawdown of -53.30%. Use the drawdown chart below to compare losses from any high point for LQDW and IBIT.

Drawdown Indicators

	LQDW	IBIT	Difference
Max Drawdown Largest peak-to-trough decline	-9.20%	-53.30%	+44.10%
Max Drawdown (1Y) Largest decline over 1 year	-2.59%	-53.30%	+50.71%
Max Drawdown (3Y) Largest decline over 3 years	-5.68%	—	—
Current Drawdown Current decline from peak	-1.90%	-50.01%	+48.11%
Average Drawdown Average peak-to-trough decline	-2.28%	-18.24%	+15.96%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.80%	34.66%	-33.86%

Volatility

LQDW vs. IBIT - Volatility Comparison

The current volatility for iShares Investment Grade Corporate Bond Buywrite Strategy ETF (LQDW) is 1.17%, while iShares Bitcoin Trust ETF (IBIT) has a volatility of 9.21%. This indicates that LQDW experiences smaller price fluctuations and is considered to be less risky than IBIT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	LQDW	IBIT	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.17%	9.21%	-8.04%
Volatility (6M) Calculated over the trailing 6-month period	3.28%	33.74%	-30.46%
Volatility (1Y) Calculated over the trailing 1-year period	3.77%	44.46%	-40.69%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.43%	49.60%	-44.17%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.43%	49.60%	-44.17%

LQDW vs. IBIT - Expense Ratio Comparison

LQDW has a 0.34% expense ratio, which is higher than IBIT's 0.25% expense ratio.

Dividends

LQDW vs. IBIT - Dividend Comparison

LQDW's dividend yield for the trailing twelve months is around 12.34%, while IBIT has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022
IBIT iShares Bitcoin Trust ETF	0.00%	0.00%	0.00%	0.00%	0.00%
LQDW iShares Investment Grade Corporate Bond Buywrite Strategy ETF	12.34%	16.02%	15.74%	19.28%	8.85%

Frequently Asked Questions

Can I hold both LQDW and IBIT in my portfolio?

LQDW and IBIT have a correlation of 0.18, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, LQDW or IBIT?

IBIT has higher volatility (9.21%) compared to LQDW (1.17%). In terms of maximum drawdown, LQDW dropped -9.20% vs IBIT's -53.30%.

Which ETF is better, LQDW or IBIT?

On 1-year performance, LQDW leads with 3.34% vs -44.50% for IBIT. On fees, IBIT is cheaper at 0.25% per year. On volatility, LQDW has been the lower-risk option at 1.17%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, LQDW or IBIT?

Over the 1-year period, LQDW has performed better with a 3.34% return vs -44.50%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, LQDW or IBIT?

IBIT is cheaper with a 0.25% expense ratio, compared with 0.34% for LQDW.

Which ETF pays a higher dividend yield, LQDW or IBIT?

LQDW has the higher dividend yield at 12.34%, compared with 0.00% for IBIT.

What is the main difference between LQDW and IBIT?

LQDW is categorized as Corporate Bonds, while IBIT is Cryptocurrency. LQDW tracks CBOE LQD BuyWrite Index, while IBIT tracks CME CF Bitcoin Reference Rate - New York Variant. Their fees differ too: 0.34% for LQDW and 0.25% for IBIT.

Which has better risk-adjusted returns?

LQDW currently has the higher Sharpe Ratio (0.91 vs -1.04), 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.