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PREF vs. GHYG
Performance
Return for Risk
Drawdowns
Volatility
Dividends

PREF vs. GHYG

Last updated Jun 4, 2026

PREF (Principal Spectrum Preferred Secs Active ETF) and GHYG (iShares US & Intl High Yield Corp Bond ETF) are both exchange-traded funds - PREF is a Preferred Stock/Convertible Bonds fund actively managed by Principal, while GHYG is a High Yield Bonds fund tracking the Markit iBoxx Global Developed Markets High Yield Index. PREF is actively managed, while GHYG is passively managed. Over the past 5 years, PREF returned 3.07%/yr vs 3.28%/yr for GHYG. At a 0.39 correlation, their price movements are largely independent. PREF charges 0.55%/yr vs 0.40%/yr for GHYG.

Performance

PREF vs. GHYG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal Spectrum Preferred Secs Active ETF (PREF) and iShares US & Intl High Yield Corp Bond ETF (GHYG). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, PREF achieves a 1.65% return, which is significantly higher than GHYG's 0.62% return.

PREF

1D
-0.13%
1M
0.52%
YTD
1.65%
6M
2.32%
1Y
6.65%
3Y*
9.25%
5Y*
3.07%
10Y*
—

GHYG

1D
-0.15%
1M
0.20%
YTD
0.62%
6M
0.87%
1Y
6.33%
3Y*
8.91%
5Y*
3.28%
10Y*
4.82%
*Multi-year figures are annualized to reflect compound growth (CAGR)

PREF vs. GHYG - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
PREF
Principal Spectrum Preferred Secs Active ETF		1.65%7.64%11.43%7.36%-11.80%2.08%7.52%17.32%-5.45%2.05%
GHYG
iShares US & Intl High Yield Corp Bond ETF		0.62%11.28%5.85%13.29%-12.15%1.62%6.68%13.47%-3.79%1.17%

Correlation

The correlation between PREF and GHYG is 0.43, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.43

Correlation (3Y)
Calculated over the trailing 3-year period

0.35

Correlation (5Y)
Calculated over the trailing 5-year period

0.39

Correlation (All Time)
Calculated using the full available price history since Jul 27, 2017

0.39

PREF vs. GHYG - Sectors Allocation Comparison

Sectors
PREF
GHYG

Financial Services

100.0%

-

Basic Materials

-

-

Communication Services

-

-

Consumer Cyclical

-

-

Consumer Defensive

-

-

Energy

-

-

Healthcare

-

-

Industrials

-

-

Real Estate

-

0.5%

Technology

-

-

Utilities

-

99.5%

Financial Services

PREF
100.0%
GHYG

-

Basic Materials

PREF

-

GHYG

-

Communication Services

PREF

-

GHYG

-

Consumer Cyclical

PREF

-

GHYG

-

Consumer Defensive

PREF

-

GHYG

-

Energy

PREF

-

GHYG

-

Healthcare

PREF

-

GHYG

-

Industrials

PREF

-

GHYG

-

Real Estate

PREF

-

GHYG
0.5%

Technology

PREF

-

GHYG

-

Utilities

PREF

-

GHYG
99.5%

Compare stocks, funds, or ETFs

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Principal Spectrum Preferred Secs Active ETF

iShares US & Intl High Yield Corp Bond ETF

Often compared with PREF:
PREF vs. PFFPREF vs. PFXFPREF vs. PFFDPREF vs. SPFFPREF vs. FPEPREF vs. PFFAPREF vs. COWZ
Often compared with GHYG:
GHYG vs. HYGGHYG vs. SHYGGHYG vs. FLHYGHYG vs. USHYGHYG vs. EIFAXGHYG vs. ESHYGHYG vs. SCHD

Return for Risk

PREF vs. GHYG — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
PREF
PREF Risk / Return Rank: 6464
Overall Rank
PREF Sharpe Ratio Rank: 6464
Sharpe Ratio Rank
PREF Sortino Ratio Rank: 6767
Sortino Ratio Rank
PREF Omega Ratio Rank: 7575
Omega Ratio Rank
PREF Calmar Ratio Rank: 4646
Calmar Ratio Rank
PREF Martin Ratio Rank: 6666
Martin Ratio Rank
GHYG
GHYG Risk / Return Rank: 3737
Overall Rank
GHYG Sharpe Ratio Rank: 3838
Sharpe Ratio Rank
GHYG Sortino Ratio Rank: 4040
Sortino Ratio Rank
GHYG Omega Ratio Rank: 3737
Omega Ratio Rank
GHYG Calmar Ratio Rank: 3434
Calmar Ratio Rank
GHYG Martin Ratio Rank: 3939
Martin Ratio Rank
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.

PREF vs. GHYG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal Spectrum Preferred Secs Active ETF (PREF) and iShares US & Intl High Yield Corp Bond ETF (GHYG). 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.

PREFGHYGDifference
Sharpe ratioReturn per unit of total volatility
2.16
1.36

+0.81

Sortino ratioReturn per unit of downside risk
3.10
2.06

+1.04

Omega ratioGain probability vs. loss probability

1.45

1.25

+0.20

Calmar ratioReturn relative to maximum drawdown

2.32

1.66

+0.66

Martin ratioReturn relative to average drawdown

12.09

6.19

+5.90

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PREF vs. GHYG - Sharpe Ratio Comparison

The current PREF Sharpe Ratio is 2.16, which is higher than the GHYG Sharpe Ratio of 1.36. The chart below compares the historical Sharpe Ratios of PREF and GHYG, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Sharpe Ratios by Period

PREFGHYGDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.16

1.36

+0.81

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.63

0.43

+0.20

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

—

0.55

—

Sharpe Ratio (All Time)

Calculated using the full available price history

0.66

0.55

+0.11

Drawdowns

PREF vs. GHYG - Drawdown Comparison

The maximum PREF drawdown since its inception was -22.99%, smaller than the maximum GHYG drawdown of -27.36%. Use the drawdown chart below to compare losses from any high point for PREF and GHYG.

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Drawdown Indicators

PREFGHYGDifference

Max Drawdown

Largest peak-to-trough decline

-22.99%

-27.36%

+4.37%

Max Drawdown (1Y)

Largest decline over 1 year

-2.88%

-3.84%

+0.96%

Max Drawdown (3Y)

Largest decline over 3 years

-4.39%

-4.46%

+0.07%

Max Drawdown (5Y)

Largest decline over 5 years

-16.99%

-20.44%

+3.45%

Max Drawdown (10Y)

Largest decline over 10 years

—

-27.36%

—

Current Drawdown

Current decline from peak

-0.13%

-0.73%

+0.60%

Average Drawdown

Average peak-to-trough decline

-3.66%

-3.35%

-0.31%

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.55%

1.02%

-0.47%

Volatility

PREF vs. GHYG - Volatility Comparison

The current volatility for Principal Spectrum Preferred Secs Active ETF (PREF) is 0.69%, while iShares US & Intl High Yield Corp Bond ETF (GHYG) has a volatility of 1.91%. This indicates that PREF experiences smaller price fluctuations and is considered to be less risky than GHYG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

PREFGHYGDifference

Volatility (1M)

Calculated over the trailing 1-month period

0.69%

1.91%

-1.22%

Volatility (6M)

Calculated over the trailing 6-month period

2.51%

3.84%

-1.33%

Volatility (1Y)

Calculated over the trailing 1-year period

3.09%

4.69%

-1.60%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

4.87%

7.64%

-2.77%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

6.30%

8.77%

-2.47%

PREF vs. GHYG - Expense Ratio Comparison

PREF has a 0.55% expense ratio, which is higher than GHYG's 0.40% expense ratio.

Dividends

PREF vs. GHYG - Dividend Comparison

PREF's dividend yield for the trailing twelve months is around 5.16%, less than GHYG's 6.23% yield.

PositionTTM20252024202320222021202020192018201720162015
GHYG
iShares US & Intl High Yield Corp Bond ETF		6.23%6.03%6.11%5.60%4.64%4.57%4.36%4.61%5.62%4.60%4.61%4.79%
PREF
Principal Spectrum Preferred Secs Active ETF		5.16%4.87%4.65%4.67%4.63%4.07%4.35%4.67%5.49%2.35%0.00%0.00%

Frequently Asked Questions

PREF and GHYG have a correlation of 0.43, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

GHYG has higher volatility (1.91%) compared to PREF (0.69%). In terms of maximum drawdown, PREF dropped -22.99% vs GHYG's -27.36%.

On 5-year performance, GHYG leads with 3.28% vs 3.07% for PREF. On fees, GHYG is cheaper at 0.40% per year. On volatility, PREF has been the lower-risk option at 0.69%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, GHYG has performed better with a 3.28% return vs 3.07%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

GHYG is cheaper with a 0.40% expense ratio, compared with 0.55% for PREF.

GHYG has the higher dividend yield at 6.23%, compared with 5.16% for PREF.

PREF is categorized as Preferred Stock/Convertible Bonds, while GHYG is High Yield Bonds. They also come from different issuers: Principal and iShares. Their fees differ too: 0.55% for PREF and 0.40% for GHYG.

PREF currently has the higher Sharpe Ratio (2.16 vs 1.36), 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.

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