TDTF vs. HYG
TDTF (FlexShares iBoxx 5-Year Target Duration TIPS Index Fund) and HYG (iShares iBoxx $ High Yield Corporate Bond ETF) are both exchange-traded funds - TDTF is a Inflation-Protected Bonds fund tracking the iBoxx 5-Year Target Duration TIPS, while HYG is a High Yield Bonds fund tracking the Markit iBoxx USD Liquid High Yield Index. Both are passively managed. Over the past 10 years, TDTF returned 2.82%/yr vs 4.67%/yr for HYG. Their 0.19 correlation means their historical movements had little consistent relationship. TDTF charges 0.18%/yr vs 0.49%/yr for HYG.
Performance
TDTF vs. HYG - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, TDTF achieves a 1.01% return, which is significantly lower than HYG's 2.12% return. Over the past 10 years, TDTF has underperformed HYG with an annualized return of 2.82%, while HYG has yielded a comparatively higher 4.67% annualized return.
TDTF
- 1D
- 0.11%
- 1M
- -0.12%
- 6M
- 0.53%
- YTD
- 1.01%
- 1Y
- 2.01%
- 3Y*
- 4.41%
- 5Y*
- 1.18%
- 10Y*
- 2.82%
- ALL TIME*
- 2.23%
HYG
- 1D
- 0.30%
- 1M
- 0.28%
- 6M
- 1.50%
- YTD
- 2.12%
- 1Y
- 5.08%
- 3Y*
- 8.36%
- 5Y*
- 3.75%
- 10Y*
- 4.67%
- ALL TIME*
- 4.96%
Liquidity Comparison
| Position | Avg. Volume Value (2W) | Avg. Volume Value (1M) | Avg. Volume Value (3M) |
|---|---|---|---|
| $3.02B | $2.57B | $2.70B | |
| $3.31M | $3.20M | $4.11M |
TDTF vs. HYG - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
TDTF FlexShares iBoxx 5-Year Target Duration TIPS Index Fund | 1.01% | 7.83% | 2.40% | 4.10% | -9.73% | 5.54% | 9.98% | 7.99% | -0.82% | 1.93% |
HYG iShares iBoxx $ High Yield Corporate Bond ETF | 2.12% | 8.59% | 7.97% | 11.54% | -10.98% | 3.76% | 4.47% | 14.09% | -2.02% | 6.07% |
Correlation
The correlation between TDTF and HYG is 0.37, which is low. Their historical price movements had little consistent relationship.
| Correlation | |
|---|---|
Correlation (1Y) Focuses on recent behavior, but can change the most. | 0.37 |
Correlation (3Y) Balances recent behavior with more history. | 0.48 |
Correlation (5Y) Shows whether the relationship held over a longer period. | 0.43 |
Correlation (10Y) Provides a long-term view across more market conditions. | 0.26 |
Correlation (All Time) Calculated using the full available price history since Sep 22, 2011 | 0.19 |
The correlation between TDTF and HYG shifts across timeframes, from 0.19 (all time) to 0.48 (3 years), reflecting how their relationship changes across market environments.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
TDTF vs. HYG — Risk / Return Rank
TDTF
HYG
TDTF vs. HYG - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for FlexShares iBoxx 5-Year Target Duration TIPS Index Fund (TDTF) 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.
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.
| TDTF | HYG | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.65 | ||
| Sortino ratioReturn per unit of downside risk | -1.03 | ||
| Omega ratioGain probability vs. loss probability | 1.12 | 1.25 | -0.13 |
| Calmar ratioReturn relative to maximum drawdown | 1.28 | 2.18 | -0.90 |
| Martin ratioReturn relative to average drawdown | 3.21 | 9.40 | -6.19 |
Loading charts...
Drawdowns
TDTF vs. HYG - Drawdown Comparison
The maximum TDTF drawdown since its inception was -12.02%, smaller than the maximum HYG drawdown of -34.25%. Use the drawdown chart below to compare losses from any high point for TDTF and HYG.
Loading charts...
Drawdown Indicators
| TDTF | HYG | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -12.02% | -34.25% | +22.23% |
Max Drawdown (1Y)Largest decline over 1 year | -1.58% | -2.34% | +0.76% |
Max Drawdown (3Y)Largest decline over 3 years | -3.40% | -4.56% | +1.16% |
Max Drawdown (5Y)Largest decline over 5 years | -12.02% | -15.79% | +3.77% |
Max Drawdown (10Y)Largest decline over 10 years | -12.02% | -22.03% | +10.01% |
Current DrawdownCurrent decline from peak | -1.07% | 0.00% | -1.07% |
Average DrawdownAverage peak-to-trough decline | -2.89% | -3.22% | +0.33% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.63% | 0.54% | +0.09% |
Volatility
TDTF vs. HYG - Volatility Comparison
The current volatility for FlexShares iBoxx 5-Year Target Duration TIPS Index Fund (TDTF) is 0.71%, while iShares iBoxx $ High Yield Corporate Bond ETF (HYG) has a volatility of 0.86%. This indicates that TDTF 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.
Loading charts...
Volatility by Period
| TDTF | HYG | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.71% | 0.86% | -0.15% |
Volatility (6M)Calculated over the trailing 6-month period | 2.27% | 3.19% | -0.92% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.01% | 3.87% | -0.86% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 5.68% | 7.53% | -1.85% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 5.07% | 8.21% | -3.14% |
TDTF vs. HYG - Expense Ratio Comparison
TDTF has a 0.18% expense ratio, which is lower than HYG's 0.49% expense ratio.
Dividends
TDTF vs. HYG - Dividend Comparison
TDTF's dividend yield for the trailing twelve months is around 5.84%, which matches HYG's 5.89% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
HYG iShares iBoxx $ High Yield Corporate Bond ETF | 5.89% | 5.71% | 6.01% | 5.74% | 5.30% | 4.02% | 4.88% | 4.99% | 5.54% | 5.12% | 5.27% | 5.90% |
TDTF FlexShares iBoxx 5-Year Target Duration TIPS Index Fund | 5.84% | 4.58% | 3.98% | 3.97% | 7.60% | 4.55% | 1.13% | 1.80% | 2.60% | 2.20% | 1.51% | 0.21% |
Frequently Asked Questions
TDTF and HYG have a correlation of 0.37, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
HYG has higher volatility (0.86%) compared to TDTF (0.71%). In terms of maximum drawdown, TDTF dropped -12.02% vs HYG's -34.25%.
On 10-year performance, HYG leads with 4.67% vs 2.82% for TDTF. On fees, TDTF is cheaper at 0.18% per year. On volatility, TDTF has been the lower-risk option at 0.71%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, HYG has performed better with a 4.67% return vs 2.82%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
TDTF is cheaper with a 0.18% expense ratio, compared with 0.49% for HYG.
HYG has the higher dividend yield at 5.89%, compared with 5.84% for TDTF.
TDTF is categorized as Inflation-Protected Bonds, while HYG is High Yield Bonds. TDTF tracks iBoxx 5-Year Target Duration TIPS, while HYG tracks Markit iBoxx USD Liquid High Yield Index. They also come from different issuers: Northern Trust and iShares. Their fees differ too: 0.18% for TDTF and 0.49% for HYG.
HYG currently has the higher Sharpe Ratio (1.32 vs 0.67), 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.
Find the right allocation for TDTF and HYG
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer