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VWO vs. HYGI
Performance
Return for Risk
Drawdowns
Volatility
Dividends

VWO vs. HYGI

Last updated Jun 9, 2026

VWO (Vanguard FTSE Emerging Markets ETF) and HYGI (iShares Inflation Hedged High Yield Bond ETF) are both exchange-traded funds - VWO is a Emerging Markets Equities fund tracking the FTSE Emerging Index, while HYGI is a Inflation-Protected Bonds fund tracking the BlackRock Inflation Hedged High Yield Bond Index - Benchmark TR Gross. Both are passively managed. At a 0.48 correlation, their price movements are largely independent. VWO charges 0.08%/yr vs 0.52%/yr for HYGI.

Performance

VWO vs. HYGI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE Emerging Markets ETF (VWO) 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

VWO

1D
0.52%
1M
-3.65%
YTD
8.50%
6M
9.73%
1Y
24.29%
3Y*
16.22%
5Y*
4.65%
10Y*
8.60%

HYGI

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

VWO vs. HYGI - Yearly Performance Comparison

2026 (YTD)2025202420232022
VWO
Vanguard FTSE Emerging Markets ETF		8.50%25.60%10.59%9.25%-2.80%
HYGI
iShares Inflation Hedged High Yield Bond ETF		0.00%6.20%9.16%11.71%0.65%

Correlation

The correlation between VWO and HYGI is 0.14, which is low. Their price movements are largely independent, making them effective diversification partners.

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

0.14

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

0.44

Correlation (All Time)
Calculated using the full available price history since Jun 24, 2022

0.48

Over the past year, the correlation between VWO and HYGI has dropped to 0.14 - well below their long-term average of 0.48, suggesting their price drivers have been diverging.

VWO vs. HYGI - Sectors Allocation Comparison

Sectors
VWO
HYGI

Technology

29.6%

-

Financial Services

19.5%

-

Consumer Cyclical

10.7%

-

Industrials

8.0%

-

Basic Materials

8.0%

-

Communication Services

7.1%

-

Energy

4.6%

-

Healthcare

3.9%

-

Consumer Defensive

3.7%

-

Utilities

2.9%
99.6%

Real Estate

2.2%
0.4%

Technology

VWO
29.6%
HYGI

-

Financial Services

VWO
19.5%
HYGI

-

Consumer Cyclical

VWO
10.7%
HYGI

-

Industrials

VWO
8.0%
HYGI

-

Basic Materials

VWO
8.0%
HYGI

-

Communication Services

VWO
7.1%
HYGI

-

Energy

VWO
4.6%
HYGI

-

Healthcare

VWO
3.9%
HYGI

-

Consumer Defensive

VWO
3.7%
HYGI

-

Utilities

VWO
2.9%
HYGI
99.6%

Real Estate

VWO
2.2%
HYGI
0.4%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

Vanguard FTSE Emerging Markets ETF

iShares Inflation Hedged High Yield Bond ETF

Often compared with VWO:
VWO vs. VEAVWO vs. IEMGVWO vs. VXUSVWO vs. EEMVWO vs. VOOVWO vs. VTIVWO vs. VEMAX
Often compared with HYGI:
HYGI vs. HYGHYGI vs. SHYGHYGI vs. SHVHYGI vs. AGGHYGI vs. FIPDXHYGI vs. SPHYHYGI vs. LNG

Return for Risk

VWO vs. HYGI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
VWO
VWO Risk / Return Rank: 4949
Overall Rank
VWO Sharpe Ratio Rank: 4747
Sharpe Ratio Rank
VWO Sortino Ratio Rank: 4747
Sortino Ratio Rank
VWO Omega Ratio Rank: 5050
Omega Ratio Rank
VWO Calmar Ratio Rank: 4949
Calmar Ratio Rank
VWO Martin Ratio Rank: 5151
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.

VWO vs. HYGI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Emerging Markets ETF (VWO) 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.

VWOHYGIDifference
Sharpe ratioReturn per unit of total volatility
1.49

—

—

Sortino ratioReturn per unit of downside risk
2.08

—

—

Omega ratioGain probability vs. loss probability

1.28

—

—

Calmar ratioReturn relative to maximum drawdown

2.18

—

—

Martin ratioReturn relative to average drawdown

7.79

—

—

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

VWO vs. HYGI - Sharpe Ratio Comparison

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Sharpe Ratios by Period

VWOHYGIDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

1.49

—

—

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.27

—

—

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.45

—

—

Sharpe Ratio (All Time)

Calculated using the full available price history

0.26

—

—

Drawdowns

VWO vs. HYGI - Drawdown Comparison

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Drawdown Indicators

VWOHYGIDifference

Max Drawdown

Largest peak-to-trough decline

-67.68%

—

—

Max Drawdown (1Y)

Largest decline over 1 year

-11.17%

—

—

Max Drawdown (3Y)

Largest decline over 3 years

-17.37%

—

—

Max Drawdown (5Y)

Largest decline over 5 years

-32.60%

—

—

Max Drawdown (10Y)

Largest decline over 10 years

-36.39%

—

—

Current Drawdown

Current decline from peak

-4.67%

—

—

Average Drawdown

Average peak-to-trough decline

-15.81%

—

—

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.12%

—

—

Volatility

VWO vs. HYGI - Volatility Comparison

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Volatility by Period

VWOHYGIDifference

Volatility (1M)

Calculated over the trailing 1-month period

6.29%

—

—

Volatility (6M)

Calculated over the trailing 6-month period

13.80%

—

—

Volatility (1Y)

Calculated over the trailing 1-year period

16.37%

—

—

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

17.45%

—

—

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

19.23%

—

—

VWO vs. HYGI - Expense Ratio Comparison

VWO has a 0.08% expense ratio, which is lower than HYGI's 0.52% expense ratio.

Dividends

VWO vs. HYGI - Dividend Comparison

VWO's dividend yield for the trailing twelve months is around 2.49%, while HYGI has not paid dividends to shareholders.

PositionTTM20252024202320222021202020192018201720162015
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%0.00%
VWO
Vanguard FTSE Emerging Markets ETF		2.49%2.79%3.20%3.52%4.11%2.63%1.91%3.23%2.88%2.30%2.52%3.26%

Frequently Asked Questions

VWO and HYGI have a correlation of 0.14, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

On fees, VWO is cheaper at 0.08% per year. The better choice depends on whether you care most about return, fees, risk, or income.

VWO is cheaper with a 0.08% expense ratio, compared with 0.52% for HYGI.

VWO has the higher dividend yield at 2.49%, compared with 0.97% for HYGI.

VWO is categorized as Emerging Markets Equities, while HYGI is Inflation-Protected Bonds. VWO tracks FTSE Emerging 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: 0.08% for VWO and 0.52% for HYGI.

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