VIGI vs. USHY

Last updated Jun 12, 2026

VIGI (Vanguard International Dividend Appreciation ETF) and USHY (iShares Broad USD High Yield Corporate Bond ETF) are both exchange-traded funds - VIGI is a Dividend fund tracking the S&P Global Ex-U.S. Dividend Growers Index, while USHY is a High Yield Bonds fund tracking the ICE BofA US High Yield Constrained Index. Both are passively managed. Over the past 5 years, VIGI returned 4.32%/yr vs 4.20%/yr for USHY. A 0.65 correlation means they provide meaningful diversification when combined. Both charge a 0.15% expense ratio.

Performance

VIGI vs. USHY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard International Dividend Appreciation ETF (VIGI) and iShares Broad USD High Yield Corporate Bond ETF (USHY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VIGI achieves a 3.33% return, which is significantly higher than USHY's 1.73% return.

VIGI

• 1D: 1.67%
• 1M: 1.11%
• YTD: 3.33%
• 6M: 3.83%
• 1Y: 6.32%
• 3Y*: 9.88%
• 5Y*: 4.32%
• 10Y*: 8.21%

USHY

• 1D: 0.49%
• 1M: 0.59%
• YTD: 1.73%
• 6M: 2.10%
• 1Y: 7.02%
• 3Y*: 8.95%
• 5Y*: 4.20%
• 10Y*: —

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

VIGI vs. USHY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VIGI Vanguard International Dividend Appreciation ETF	3.33%	16.88%	2.73%	16.30%	-16.79%	12.51%	14.66%	27.53%	-11.50%	4.46%
USHY iShares Broad USD High Yield Corporate Bond ETF	1.73%	8.81%	8.45%	12.73%	-11.18%	5.02%	6.17%	14.24%	-2.41%	0.16%

Correlation

The correlation between VIGI and USHY is 0.68, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.68
Correlation (3Y) Calculated over the trailing 3-year period	0.67
Correlation (5Y) Calculated over the trailing 5-year period	0.68
Correlation (All Time) Calculated using the full available price history since Oct 26, 2017	0.65

The correlation between VIGI and USHY has been stable across timeframes, ranging from 0.65 to 0.68 - a consistent structural relationship.

VIGI vs. USHY - Sectors Allocation Comparison

Sectors	VIGI	USHY
Financial Services	29.0%	-
Industrials	17.1%	-
Healthcare	14.6%	-
Technology	11.5%	-
Consumer Defensive	9.7%	-
Utilities	4.8%	-
Basic Materials	4.1%	-
Consumer Cyclical	3.1%	-
Energy	2.8%	99.2%
Communication Services	1.3%	-
Real Estate	1.3%	0.8%

Return for Risk

VIGI vs. USHY — Risk / Return Rank

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

VIGI

VIGI Risk / Return Rank: 19
VIGI Sharpe Ratio Rank: 19
VIGI Sortino Ratio Rank: 18
VIGI Omega Ratio Rank: 18
VIGI Calmar Ratio Rank: 18
VIGI Martin Ratio Rank: 21

USHY

USHY Risk / Return Rank: 75
USHY Sharpe Ratio Rank: 72
USHY Sortino Ratio Rank: 78
USHY Omega Ratio Rank: 76
USHY Calmar Ratio Rank: 70
USHY Martin Ratio Rank: 80

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.

VIGI vs. USHY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard International Dividend Appreciation ETF (VIGI) and iShares Broad USD High Yield Corporate Bond ETF (USHY). 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.

	VIGI	USHY	Difference
Sharpe ratio: Return per unit of total volatility	0.48	1.91	-1.43
Sortino ratio: Return per unit of downside risk	0.77	2.87	-2.11
Omega ratio: Gain probability vs. loss probability	1.09	1.37	-0.28
Calmar ratio: Return relative to maximum drawdown	0.60	2.90	-2.30
Martin ratio: Return relative to average drawdown	2.08	12.98	-10.90

VIGI vs. USHY - Sharpe Ratio Comparison

The current VIGI Sharpe Ratio is 0.48, which is lower than the USHY Sharpe Ratio of 1.91. The chart below compares the historical Sharpe Ratios of VIGI and USHY, 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

VIGI vs. USHY - Drawdown Comparison

The maximum VIGI drawdown since its inception was -31.01%, which is greater than USHY's maximum drawdown of -22.44%. Use the drawdown chart below to compare losses from any high point for VIGI and USHY.

Drawdown Indicators

	VIGI	USHY	Difference
Max Drawdown Largest peak-to-trough decline	-31.01%	-22.44%	-8.57%
Max Drawdown (1Y) Largest decline over 1 year	-10.64%	-2.43%	-8.21%
Max Drawdown (3Y) Largest decline over 3 years	-14.50%	-4.66%	-9.84%
Max Drawdown (5Y) Largest decline over 5 years	-28.80%	-15.56%	-13.24%
Max Drawdown (10Y) Largest decline over 10 years	-31.01%	—	—
Current Drawdown Current decline from peak	-1.81%	0.00%	-1.81%
Average Drawdown Average peak-to-trough decline	-6.17%	-2.66%	-3.51%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.04%	0.54%	+2.50%

Volatility

VIGI vs. USHY - Volatility Comparison

Vanguard International Dividend Appreciation ETF (VIGI) has a higher volatility of 3.34% compared to iShares Broad USD High Yield Corporate Bond ETF (USHY) at 1.20%. This indicates that VIGI's price experiences larger fluctuations and is considered to be riskier than USHY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VIGI	USHY	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.34%	1.20%	+2.14%
Volatility (6M) Calculated over the trailing 6-month period	10.45%	2.98%	+7.47%
Volatility (1Y) Calculated over the trailing 1-year period	13.20%	3.69%	+9.51%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.47%	7.35%	+7.12%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.88%	8.24%	+7.64%

VIGI vs. USHY - Expense Ratio Comparison

Both VIGI and USHY have an expense ratio of 0.15%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VIGI vs. USHY - Dividend Comparison

VIGI's dividend yield for the trailing twelve months is around 2.13%, less than USHY's 6.90% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
USHY iShares Broad USD High Yield Corporate Bond ETF	6.90%	6.79%	6.89%	6.63%	6.08%	5.07%	5.30%	5.92%	6.30%	0.73%	0.00%
VIGI Vanguard International Dividend Appreciation ETF	2.13%	2.14%	1.93%	1.92%	2.06%	7.02%	1.29%	1.83%	1.99%	1.75%	1.05%

Frequently Asked Questions

Can I hold both VIGI and USHY in my portfolio?

VIGI and USHY have a correlation of 0.68, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VIGI or USHY?

VIGI has higher volatility (3.34%) compared to USHY (1.20%). In terms of maximum drawdown, VIGI dropped -31.01% vs USHY's -22.44%.

Which ETF is better, VIGI or USHY?

On 5-year performance, VIGI leads with 4.32% vs 4.20% for USHY. Both ETFs have the same 0.15% expense ratio. On volatility, USHY has been the lower-risk option at 1.20%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VIGI or USHY?

Over the 5-year period, VIGI has performed better with a 4.32% return vs 4.20%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VIGI or USHY?

VIGI and USHY have the same expense ratio: 0.15% per year.

Which ETF pays a higher dividend yield, VIGI or USHY?

USHY has the higher dividend yield at 6.90%, compared with 2.13% for VIGI.

What is the main difference between VIGI and USHY?

VIGI is categorized as Dividend, while USHY is High Yield Bonds. VIGI tracks S&P Global Ex-U.S. Dividend Growers Index, while USHY tracks ICE BofA US High Yield Constrained Index. They also come from different issuers: Vanguard and iShares.

Which has better risk-adjusted returns?

USHY currently has the higher Sharpe Ratio (1.91 vs 0.48), 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.