SHYG vs. HYG

Last updated Jun 3, 2026

SHYG (iShares 0-5 Year High Yield Corporate Bond ETF) and HYG (iShares iBoxx $ High Yield Corporate Bond ETF) are both High Yield Bonds funds from iShares - SHYG tracks the Markit iBoxx USD Liquid High Yield 0-5 Index while HYG tracks the iBoxx $ Liquid High Yield Index. Both are passively managed. Over the past 10 years, SHYG returned 5.21%/yr vs 4.97%/yr for HYG. Their correlation of 0.90 suggests significant overlap in exposure. SHYG charges 0.30%/yr vs 0.49%/yr for HYG.

Performance

SHYG vs. HYG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares 0-5 Year High Yield Corporate Bond ETF (SHYG) and iShares iBoxx $ High Yield Corporate Bond ETF (HYG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with SHYG having a 1.68% return and HYG slightly lower at 1.60%. Both investments have delivered pretty close results over the past 10 years, with SHYG having a 5.21% annualized return and HYG not far behind at 4.97%.

SHYG

• 1D: 0.05%
• 1M: 0.30%
• YTD: 1.68%
• 6M: 2.36%
• 1Y: 6.90%
• 3Y*: 8.20%
• 5Y*: 4.91%
• 10Y*: 5.21%

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)

SHYG vs. HYG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SHYG iShares 0-5 Year High Yield Corporate Bond ETF	1.68%	7.94%	8.17%	10.38%	-4.71%	4.60%	3.15%	9.93%	0.02%	5.11%
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 SHYG and HYG is 0.97 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.97
Correlation (3Y) Calculated over the trailing 3-year period	0.98
Correlation (5Y) Calculated over the trailing 5-year period	0.97
Correlation (10Y) Calculated over the trailing 10-year period	0.95
Correlation (All Time) Calculated using the full available price history since Oct 18, 2013	0.90

The correlation between SHYG and HYG has been stable across timeframes, ranging from 0.90 to 0.98 - a consistent structural relationship.

SHYG vs. HYG - Sectors Allocation Comparison

Sectors	SHYG	HYG
Utilities	99.3%	99.6%
Real Estate	0.7%	0.4%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Financial Services	-	-
Healthcare	-	-
Industrials	-	-
Technology	-	-

Return for Risk

SHYG vs. HYG — Risk / Return Rank

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

SHYG

SHYG Risk / Return Rank: 75
SHYG Sharpe Ratio Rank: 65
SHYG Sortino Ratio Rank: 74
SHYG Omega Ratio Rank: 74
SHYG Calmar Ratio Rank: 77
SHYG Martin Ratio Rank: 83

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.

SHYG vs. HYG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares 0-5 Year High Yield Corporate Bond ETF (SHYG) 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.

	SHYG	HYG	Difference
Sharpe ratio Return per unit of total volatility	2.20	1.85	+0.35
Sortino ratio Return per unit of downside risk	3.38	2.80	+0.58
Omega ratio Gain probability vs. loss probability	1.45	1.36	+0.09
Calmar ratio Return relative to maximum drawdown	3.94	2.99	+0.96
Martin ratio Return relative to average drawdown	17.22	13.22	+4.00
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SHYG vs. HYG - Sharpe Ratio Comparison

The current SHYG Sharpe Ratio is 2.20, which is comparable to the HYG Sharpe Ratio of 1.85. The chart below compares the historical Sharpe Ratios of SHYG 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

	SHYG	HYG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.20	1.85	+0.35
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.86	0.52	+0.34
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.81	0.60	+0.21
Sharpe Ratio (All Time) Calculated using the full available price history	0.73	0.46	+0.27

Drawdowns

SHYG vs. HYG - Drawdown Comparison

The maximum SHYG drawdown since its inception was -19.26%, smaller than the maximum HYG drawdown of -34.25%. Use the drawdown chart below to compare losses from any high point for SHYG and HYG.

Drawdown Indicators

	SHYG	HYG	Difference
Max Drawdown Largest peak-to-trough decline	-19.26%	-34.25%	+14.99%
Max Drawdown (1Y) Largest decline over 1 year	-1.75%	-2.34%	+0.59%
Max Drawdown (3Y) Largest decline over 3 years	-4.53%	-4.56%	+0.03%
Max Drawdown (5Y) Largest decline over 5 years	-9.39%	-15.79%	+6.40%
Max Drawdown (10Y) Largest decline over 10 years	-19.26%	-22.03%	+2.77%
Current Drawdown Current decline from peak	-0.01%	-0.00%	-0.01%
Average Drawdown Average peak-to-trough decline	-1.44%	-3.24%	+1.80%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.40%	0.53%	-0.13%

Volatility

SHYG vs. HYG - Volatility Comparison

The current volatility for iShares 0-5 Year High Yield Corporate Bond ETF (SHYG) is 0.95%, while iShares iBoxx $ High Yield Corporate Bond ETF (HYG) has a volatility of 1.22%. This indicates that SHYG experiences smaller price fluctuations and is considered to be less risky than HYG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SHYG	HYG	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.95%	1.22%	-0.27%
Volatility (6M) Calculated over the trailing 6-month period	2.50%	3.00%	-0.50%
Volatility (1Y) Calculated over the trailing 1-year period	3.15%	3.79%	-0.64%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.73%	7.52%	-1.79%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.43%	8.29%	-1.86%

SHYG vs. HYG - Expense Ratio Comparison

SHYG has a 0.30% expense ratio, which is lower than HYG's 0.49% expense ratio.

Dividends

SHYG vs. HYG - Dividend Comparison

SHYG's dividend yield for the trailing twelve months is around 7.01%, more 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%
SHYG iShares 0-5 Year High Yield Corporate Bond ETF	7.01%	7.03%	6.93%	6.54%	5.57%	4.83%	5.07%	5.33%	5.90%	5.49%	5.53%	5.17%

Frequently Asked Questions

Can I hold both SHYG and HYG in my portfolio?

With a correlation of 0.97, SHYG and HYG move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, SHYG or HYG?

HYG has higher volatility (1.22%) compared to SHYG (0.95%). In terms of maximum drawdown, SHYG dropped -19.26% vs HYG's -34.25%.

Which ETF is better, SHYG or HYG?

On 10-year performance, SHYG leads with 5.21% vs 4.97% for HYG. On fees, SHYG is cheaper at 0.30% per year. On volatility, SHYG has been the lower-risk option at 0.95%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SHYG or HYG?

Over the 10-year period, SHYG has performed better with a 5.21% return vs 4.97%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SHYG or HYG?

SHYG is cheaper with a 0.30% expense ratio, compared with 0.49% for HYG.

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

SHYG has the higher dividend yield at 7.01%, compared with 5.90% for HYG.

What is the main difference between SHYG and HYG?

SHYG tracks Markit iBoxx USD Liquid High Yield 0-5 Index, while HYG tracks iBoxx $ Liquid High Yield Index. Their fees differ too: 0.30% for SHYG and 0.49% for HYG.

Which has better risk-adjusted returns?

SHYG currently has the higher Sharpe Ratio (2.20 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.