THYF vs. HYZD

Last updated Jun 24, 2026

THYF (T. Rowe Price U.S. High Yield ETF) and HYZD (WisdomTree Interest Rate Hedged High Yield Bond Fund) are both High Yield Bonds funds. THYF is actively managed, while HYZD is passively managed. Over the past 3 years, THYF returned 8.57%/yr vs 9.45%/yr for HYZD. A 0.55 correlation means they provide meaningful diversification when combined. THYF charges 0.56%/yr vs 0.43%/yr for HYZD.

Performance

THYF vs. HYZD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in T. Rowe Price U.S. High Yield ETF (THYF) and WisdomTree Interest Rate Hedged High Yield Bond Fund (HYZD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, THYF achieves a 1.84% return, which is significantly lower than HYZD's 2.95% return.

THYF

• 1D: -0.15%
• 1M: 0.51%
• YTD: 1.84%
• 6M: 1.95%
• 1Y: 6.06%
• 3Y*: 8.57%
• 5Y*: —
• 10Y*: —

HYZD

• 1D: -0.18%
• 1M: 0.40%
• YTD: 2.95%
• 6M: 3.10%
• 1Y: 7.29%
• 3Y*: 9.45%
• 5Y*: 6.14%
• 10Y*: 5.67%

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

THYF vs. HYZD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
THYF T. Rowe Price U.S. High Yield ETF	1.84%	7.77%	8.51%	11.32%	1.69%
HYZD WisdomTree Interest Rate Hedged High Yield Bond Fund	2.95%	7.67%	9.39%	11.17%	0.61%

Correlation

The correlation between THYF and HYZD is 0.40, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.40
Correlation (3Y) Calculated over the trailing 3-year period	0.47
Correlation (All Time) Calculated using the full available price history since Oct 26, 2022	0.55

The correlation between THYF and HYZD shifts across timeframes, from 0.40 (1 year) to 0.55 (all time), reflecting how their relationship changes across market environments.

Return for Risk

THYF vs. HYZD — Risk / Return Rank

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

THYF

THYF Risk / Return Rank: 55
THYF Sharpe Ratio Rank: 54
THYF Sortino Ratio Rank: 60
THYF Omega Ratio Rank: 57
THYF Calmar Ratio Rank: 46
THYF Martin Ratio Rank: 59

HYZD

HYZD Risk / Return Rank: 84
HYZD Sharpe Ratio Rank: 81
HYZD Sortino Ratio Rank: 89
HYZD Omega Ratio Rank: 86
HYZD Calmar Ratio Rank: 78
HYZD Martin Ratio Rank: 85

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.

THYF vs. HYZD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for T. Rowe Price U.S. High Yield ETF (THYF) and WisdomTree Interest Rate Hedged High Yield Bond Fund (HYZD). 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.

	THYF	HYZD	Difference
Sharpe ratio: Return per unit of total volatility	1.72	2.41	-0.69
Sortino ratio: Return per unit of downside risk	2.63	3.89	-1.26
Omega ratio: Gain probability vs. loss probability	1.33	1.49	-0.17
Calmar ratio: Return relative to maximum drawdown	2.17	3.83	-1.66
Martin ratio: Return relative to average drawdown	9.87	16.42	-6.55

THYF vs. HYZD - Sharpe Ratio Comparison

The current THYF Sharpe Ratio is 1.72, which is comparable to the HYZD Sharpe Ratio of 2.41. The chart below compares the historical Sharpe Ratios of THYF and HYZD, 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

THYF vs. HYZD - Drawdown Comparison

The maximum THYF drawdown since its inception was -5.24%, smaller than the maximum HYZD drawdown of -25.66%. Use the drawdown chart below to compare losses from any high point for THYF and HYZD.

Drawdown Indicators

	THYF	HYZD	Difference
Max Drawdown Largest peak-to-trough decline	-5.24%	-25.66%	+20.42%
Max Drawdown (1Y) Largest decline over 1 year	-2.80%	-1.91%	-0.89%
Max Drawdown (3Y) Largest decline over 3 years	-5.07%	-5.85%	+0.78%
Max Drawdown (5Y) Largest decline over 5 years	—	-8.97%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-25.66%	—
Current Drawdown Current decline from peak	-0.35%	-0.18%	-0.17%
Average Drawdown Average peak-to-trough decline	-0.81%	-2.19%	+1.38%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.62%	0.44%	+0.18%

Volatility

THYF vs. HYZD - Volatility Comparison

The current volatility for T. Rowe Price U.S. High Yield ETF (THYF) is 0.95%, while WisdomTree Interest Rate Hedged High Yield Bond Fund (HYZD) has a volatility of 1.10%. This indicates that THYF experiences smaller price fluctuations and is considered to be less risky than HYZD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	THYF	HYZD	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.95%	1.10%	-0.15%
Volatility (6M) Calculated over the trailing 6-month period	2.77%	2.44%	+0.33%
Volatility (1Y) Calculated over the trailing 1-year period	3.56%	3.05%	+0.51%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.79%	6.71%	-0.92%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.79%	8.55%	-2.76%

THYF vs. HYZD - Expense Ratio Comparison

THYF has a 0.56% expense ratio, which is higher than HYZD's 0.43% expense ratio.

Dividends

THYF vs. HYZD - Dividend Comparison

THYF's dividend yield for the trailing twelve months is around 7.00%, more than HYZD's 5.86% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HYZD WisdomTree Interest Rate Hedged High Yield Bond Fund	5.86%	6.05%	6.08%	5.94%	5.14%	4.02%	5.13%	5.50%	5.58%	4.94%	5.07%	4.38%
THYF T. Rowe Price U.S. High Yield ETF	7.00%	7.17%	7.30%	8.02%	1.50%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both THYF and HYZD in my portfolio?

THYF and HYZD have a correlation of 0.40, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, THYF or HYZD?

HYZD has higher volatility (1.10%) compared to THYF (0.95%). In terms of maximum drawdown, THYF dropped -5.24% vs HYZD's -25.66%.

Which ETF is better, THYF or HYZD?

On 3-year performance, HYZD leads with 9.45% vs 8.57% for THYF. On fees, HYZD is cheaper at 0.43% per year. On volatility, THYF 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, THYF or HYZD?

Over the 3-year period, HYZD has performed better with a 9.45% return vs 8.57%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, THYF or HYZD?

HYZD is cheaper with a 0.43% expense ratio, compared with 0.56% for THYF.

Which ETF pays a higher dividend yield, THYF or HYZD?

THYF has the higher dividend yield at 7.00%, compared with 5.86% for HYZD.

What is the main difference between THYF and HYZD?

They also come from different issuers: T. Rowe Price and WisdomTree. Their fees differ too: 0.56% for THYF and 0.43% for HYZD.

Which has better risk-adjusted returns?

HYZD currently has the higher Sharpe Ratio (2.41 vs 1.72), 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.