UNG vs. IEF
UNG (United States Natural Gas Fund LP) and IEF (iShares 7-10 Year Treasury Bond ETF) are both exchange-traded funds - UNG is a Oil & Gas fund tracking the Front Month Natural Gas, while IEF is a Government Bonds fund tracking the ICE U.S. Treasury 7-10 Year Bond Index. Both are passively managed. Over the past 10 years, UNG returned -21.38%/yr vs 0.59%/yr for IEF. At a correlation of -0.05, they often move in opposite directions. UNG charges 1.28%/yr vs 0.15%/yr for IEF.
Performance
UNG vs. IEF - Performance Comparison
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Returns By Period
In the year-to-date period, UNG achieves a -7.42% return, which is significantly lower than IEF's -0.47% return. Over the past 10 years, UNG has underperformed IEF with an annualized return of -21.38%, while IEF has yielded a comparatively higher 0.59% annualized return.
UNG
- 1D
- 1.70%
- 1M
- 3.37%
- YTD
- -7.42%
- 6M
- -10.84%
- 1Y
- -29.37%
- 3Y*
- -23.83%
- 5Y*
- -24.47%
- 10Y*
- -21.38%
IEF
- 1D
- -0.17%
- 1M
- 0.19%
- YTD
- -0.47%
- 6M
- -0.18%
- 1Y
- 3.39%
- 3Y*
- 2.86%
- 5Y*
- -1.24%
- 10Y*
- 0.59%
UNG vs. IEF - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
UNG United States Natural Gas Fund LP | -7.42% | -27.07% | -17.11% | -64.04% | 12.89% | 35.76% | -45.43% | -31.77% | 5.96% | -37.58% |
IEF iShares 7-10 Year Treasury Bond ETF | -0.47% | 8.03% | -0.63% | 3.64% | -15.15% | -3.33% | 10.01% | 8.03% | 0.99% | 2.55% |
Correlation
The correlation between UNG and IEF is -0.12, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | -0.12 |
Correlation (3Y) Calculated over the trailing 3-year period | -0.02 |
Correlation (5Y) Calculated over the trailing 5-year period | -0.04 |
Correlation (10Y) Calculated over the trailing 10-year period | -0.06 |
Correlation (All Time) Calculated using the full available price history since Apr 18, 2007 | -0.05 |
The correlation between UNG and IEF shifts across timeframes, from -0.12 (1 year) to -0.02 (3 years), reflecting how their relationship changes across market environments.
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Return for Risk
UNG vs. IEF — Risk / Return Rank
UNG
IEF
UNG vs. IEF - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for United States Natural Gas Fund LP (UNG) and iShares 7-10 Year Treasury Bond ETF (IEF). 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.
| UNG | IEF | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -1.21 | ||
| Sortino ratioReturn per unit of downside risk | -1.47 | ||
| Omega ratioGain probability vs. loss probability | 0.95 | 1.12 | -0.17 |
| Calmar ratioReturn relative to maximum drawdown | -0.67 | 0.84 | -1.51 |
| Martin ratioReturn relative to average drawdown | -0.97 | 2.35 | -3.32 |
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Drawdowns
UNG vs. IEF - Drawdown Comparison
The maximum UNG drawdown since its inception was -99.88%, which is greater than IEF's maximum drawdown of -23.93%. Use the drawdown chart below to compare losses from any high point for UNG and IEF.
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Drawdown Indicators
| UNG | IEF | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -99.88% | -23.93% | -75.95% |
Max Drawdown (1Y)Largest decline over 1 year | -43.86% | -4.07% | -39.79% |
Max Drawdown (3Y)Largest decline over 3 years | -68.16% | -7.74% | -60.42% |
Max Drawdown (5Y)Largest decline over 5 years | -92.49% | -21.40% | -71.09% |
Max Drawdown (10Y)Largest decline over 10 years | -93.55% | -23.93% | -69.62% |
Current DrawdownCurrent decline from peak | -99.86% | -11.18% | -88.68% |
Average DrawdownAverage peak-to-trough decline | -89.96% | -5.35% | -84.61% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 30.28% | 1.45% | +28.83% |
Volatility
UNG vs. IEF - Volatility Comparison
United States Natural Gas Fund LP (UNG) has a higher volatility of 12.64% compared to iShares 7-10 Year Treasury Bond ETF (IEF) at 1.62%. This indicates that UNG's price experiences larger fluctuations and is considered to be riskier than IEF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| UNG | IEF | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 12.64% | 1.62% | +11.02% |
Volatility (6M)Calculated over the trailing 6-month period | 52.01% | 3.42% | +48.59% |
Volatility (1Y)Calculated over the trailing 1-year period | 60.61% | 4.72% | +55.89% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 64.11% | 7.71% | +56.40% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 54.77% | 6.63% | +48.14% |
UNG vs. IEF - Expense Ratio Comparison
UNG has a 1.28% expense ratio, which is higher than IEF's 0.15% expense ratio.
Dividends
UNG vs. IEF - Dividend Comparison
UNG has not paid dividends to shareholders, while IEF's dividend yield for the trailing twelve months is around 3.89%.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IEF iShares 7-10 Year Treasury Bond ETF | 3.89% | 3.77% | 3.62% | 2.91% | 1.96% | 0.83% | 1.08% | 2.08% | 2.24% | 1.82% | 1.81% | 1.90% |
UNG United States Natural Gas Fund LP | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
Frequently Asked Questions
UNG and IEF have a correlation of -0.12, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
UNG has higher volatility (12.64%) compared to IEF (1.62%). In terms of maximum drawdown, UNG dropped -99.88% vs IEF's -23.93%.
On 10-year performance, IEF leads with 0.59% vs -21.38% for UNG. On fees, IEF is cheaper at 0.15% per year. On volatility, IEF has been the lower-risk option at 1.62%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, IEF has performed better with a 0.59% return vs -21.38%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
IEF is cheaper with a 0.15% expense ratio, compared with 1.28% for UNG.
IEF has the higher dividend yield at 3.89%, compared with 0.00% for UNG.
UNG is categorized as Oil & Gas, while IEF is Government Bonds. UNG tracks Front Month Natural Gas, while IEF tracks ICE U.S. Treasury 7-10 Year Bond Index. They also come from different issuers: Concierge Technologies and iShares. Their fees differ too: 1.28% for UNG and 0.15% for IEF.
IEF currently has the higher Sharpe Ratio (0.72 vs -0.49), 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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