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VTIP vs. HYGI
Performance
Return for Risk
Drawdowns
Volatility
Dividends

VTIP vs. HYGI

Last updated Jun 9, 2026

VTIP (Vanguard Short-Term Inflation-Protected Securities ETF) and HYGI (iShares Inflation Hedged High Yield Bond ETF) are both Inflation-Protected Bonds funds - VTIP tracks the Bloomberg U.S. Treasury Inflation-Protected Securities (TIPS) 0-5 Year Index while HYGI tracks the BlackRock Inflation Hedged High Yield Bond Index - Benchmark TR Gross. Both are passively managed. At a 0.43 correlation, their price movements are largely independent. VTIP charges 0.03%/yr vs 0.52%/yr for HYGI.

Performance

VTIP vs. HYGI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Short-Term Inflation-Protected Securities ETF (VTIP) and iShares Inflation Hedged High Yield Bond ETF (HYGI). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

VTIP

1D
0.00%
1M
-0.18%
YTD
1.76%
6M
1.89%
1Y
4.64%
3Y*
5.17%
5Y*
3.37%
10Y*
3.08%

HYGI

1D
—
1M
—
YTD
—
6M
—
1Y
—
3Y*
—
5Y*
—
10Y*
—
*Multi-year figures are annualized to reflect compound growth (CAGR)

VTIP vs. HYGI - Yearly Performance Comparison

2026 (YTD)2025202420232022
VTIP
Vanguard Short-Term Inflation-Protected Securities ETF		1.76%6.07%4.74%4.62%-2.05%
HYGI
iShares Inflation Hedged High Yield Bond ETF		0.00%6.20%9.16%11.71%0.65%

Correlation

The correlation between VTIP and HYGI is 0.15, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.15

Correlation (3Y)
Calculated over the trailing 3-year period

0.38

Correlation (All Time)
Calculated using the full available price history since Jun 27, 2022

0.43

Over the past year, the correlation between VTIP and HYGI has dropped to 0.15 - well below their long-term average of 0.43, suggesting their price drivers have been diverging.

Compare stocks, funds, or ETFs

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Vanguard Short-Term Inflation-Protected Securities ETF

iShares Inflation Hedged High Yield Bond ETF

Often compared with VTIP:
VTIP vs. SCHPVTIP vs. TIPVTIP vs. VGSHVTIP vs. STIPVTIP vs. BNDVTIP vs. VGITVTIP vs. VTAPX
Often compared with HYGI:
HYGI vs. HYGHYGI vs. SHYGHYGI vs. SHVHYGI vs. AGGHYGI vs. FIPDXHYGI vs. SPHYHYGI vs. LNG

Return for Risk

VTIP vs. HYGI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
VTIP
VTIP Risk / Return Rank: 9595
Overall Rank
VTIP Sharpe Ratio Rank: 9393
Sharpe Ratio Rank
VTIP Sortino Ratio Rank: 9696
Sortino Ratio Rank
VTIP Omega Ratio Rank: 9595
Omega Ratio Rank
VTIP Calmar Ratio Rank: 9494
Calmar Ratio Rank
VTIP Martin Ratio Rank: 9494
Martin Ratio Rank
HYGI
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.

VTIP vs. HYGI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Short-Term Inflation-Protected Securities ETF (VTIP) and iShares Inflation Hedged High Yield Bond ETF (HYGI). 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.

VTIPHYGIDifference
Sharpe ratioReturn per unit of total volatility
3.12

—

—

Sortino ratioReturn per unit of downside risk
5.31

—

—

Omega ratioGain probability vs. loss probability

1.66

—

—

Calmar ratioReturn relative to maximum drawdown

6.66

—

—

Martin ratioReturn relative to average drawdown

26.11

—

—

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VTIP vs. HYGI - Sharpe Ratio Comparison

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Sharpe Ratios by Period

VTIPHYGIDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

3.12

—

—

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

1.22

—

—

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

1.13

—

—

Sharpe Ratio (All Time)

Calculated using the full available price history

0.89

—

—

Drawdowns

VTIP vs. HYGI - Drawdown Comparison

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Drawdown Indicators

VTIPHYGIDifference

Max Drawdown

Largest peak-to-trough decline

-6.27%

—

—

Max Drawdown (1Y)

Largest decline over 1 year

-0.70%

—

—

Max Drawdown (3Y)

Largest decline over 3 years

-0.98%

—

—

Max Drawdown (5Y)

Largest decline over 5 years

-5.50%

—

—

Max Drawdown (10Y)

Largest decline over 10 years

-6.27%

—

—

Current Drawdown

Current decline from peak

-0.30%

—

—

Average Drawdown

Average peak-to-trough decline

-1.04%

—

—

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.18%

—

—

Volatility

VTIP vs. HYGI - Volatility Comparison

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Volatility by Period

VTIPHYGIDifference

Volatility (1M)

Calculated over the trailing 1-month period

0.45%

—

—

Volatility (6M)

Calculated over the trailing 6-month period

1.05%

—

—

Volatility (1Y)

Calculated over the trailing 1-year period

1.50%

—

—

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

2.78%

—

—

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

2.74%

—

—

VTIP vs. HYGI - Expense Ratio Comparison

VTIP has a 0.03% expense ratio, which is lower than HYGI's 0.52% expense ratio.

Dividends

VTIP vs. HYGI - Dividend Comparison

VTIP's dividend yield for the trailing twelve months is around 3.59%, while HYGI has not paid dividends to shareholders.

PositionTTM2025202420232022202120202019201820172016
HYGI
iShares Inflation Hedged High Yield Bond ETF		0.97%3.41%6.08%6.22%3.19%0.00%0.00%0.00%0.00%0.00%0.00%
VTIP
Vanguard Short-Term Inflation-Protected Securities ETF		3.59%3.81%2.70%2.86%6.84%4.68%1.20%1.95%2.45%1.52%0.76%

Frequently Asked Questions

VTIP and HYGI have a correlation of 0.15, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

On fees, VTIP is cheaper at 0.03% per year. The better choice depends on whether you care most about return, fees, risk, or income.

VTIP is cheaper with a 0.03% expense ratio, compared with 0.52% for HYGI.

VTIP has the higher dividend yield at 3.59%, compared with 0.97% for HYGI.

VTIP tracks Bloomberg U.S. Treasury Inflation-Protected Securities (TIPS) 0-5 Year Index, while HYGI tracks BlackRock Inflation Hedged High Yield Bond Index - Benchmark TR Gross. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.03% for VTIP and 0.52% for HYGI.

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