XHB.TO vs. RQO.TO
XHB.TO (iShares Canadian HYBrid Corporate Bond Index ETF) and RQO.TO (RBC Target 2026 Corporate Bond Index ETF) are both Corporate Bonds funds. XHB.TO is passively managed, while RQO.TO is actively managed. Over the past 5 years, XHB.TO returned 2.88%/yr vs 1.59%/yr for RQO.TO. At a 0.46 correlation, their price movements are largely independent.
Performance
XHB.TO vs. RQO.TO - Performance Comparison
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Returns By Period
In the year-to-date period, XHB.TO achieves a 2.00% return, which is significantly higher than RQO.TO's 1.23% return.
XHB.TO
- 1D
- 0.25%
- 1M
- -0.37%
- 6M
- 1.29%
- YTD
- 2.00%
- 1Y
- 5.70%
- 3Y*
- 7.13%
- 5Y*
- 2.88%
- 10Y*
- 3.76%
RQO.TO
- 1D
- 0.05%
- 1M
- 0.24%
- 6M
- 1.17%
- YTD
- 1.23%
- 1Y
- 2.90%
- 3Y*
- 5.11%
- 5Y*
- 1.59%
- 10Y*
- —
XHB.TO vs. RQO.TO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | |
|---|---|---|---|---|---|---|---|
XHB.TO iShares Canadian HYBrid Corporate Bond Index ETF | 2.00% | 5.34% | 8.02% | 10.06% | -9.67% | 0.02% | 2.59% |
RQO.TO RBC Target 2026 Corporate Bond Index ETF | 1.23% | 3.57% | 5.40% | 6.86% | -7.50% | -2.27% | 0.63% |
Correlation
The correlation between XHB.TO and RQO.TO is 0.17, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.17 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.51 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.51 |
Correlation (All Time) Calculated using the full available price history since Sep 18, 2020 | 0.46 |
Over the past year, the correlation between XHB.TO and RQO.TO has dropped to 0.17 - well below their long-term average of 0.46, suggesting their price drivers have been diverging.
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Return for Risk
XHB.TO vs. RQO.TO — Risk / Return Rank
XHB.TO
RQO.TO
XHB.TO vs. RQO.TO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares Canadian HYBrid Corporate Bond Index ETF (XHB.TO) and RBC Target 2026 Corporate Bond Index ETF (RQO.TO). 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.
| XHB.TO | RQO.TO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -2.38 | ||
| Sortino ratioReturn per unit of downside risk | -4.63 | ||
| Omega ratioGain probability vs. loss probability | 1.32 | 2.05 | -0.73 |
| Calmar ratioReturn relative to maximum drawdown | 2.37 | 27.50 | -25.13 |
| Martin ratioReturn relative to average drawdown | 7.92 | 91.66 | -83.73 |
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Drawdowns
XHB.TO vs. RQO.TO - Drawdown Comparison
The maximum XHB.TO drawdown since its inception was -26.50%, which is greater than RQO.TO's maximum drawdown of -12.86%. Use the drawdown chart below to compare losses from any high point for XHB.TO and RQO.TO.
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Drawdown Indicators
| XHB.TO | RQO.TO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -26.50% | -12.86% | -13.64% |
Max Drawdown (1Y)Largest decline over 1 year | -2.42% | -0.11% | -2.31% |
Max Drawdown (3Y)Largest decline over 3 years | -2.91% | -0.93% | -1.98% |
Max Drawdown (5Y)Largest decline over 5 years | -13.94% | -11.65% | -2.29% |
Max Drawdown (10Y)Largest decline over 10 years | -26.50% | — | — |
Current DrawdownCurrent decline from peak | -0.50% | 0.00% | -0.50% |
Average DrawdownAverage peak-to-trough decline | -2.07% | -3.73% | +1.66% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.72% | 0.03% | +0.69% |
Volatility
XHB.TO vs. RQO.TO - Volatility Comparison
iShares Canadian HYBrid Corporate Bond Index ETF (XHB.TO) has a higher volatility of 0.92% compared to RBC Target 2026 Corporate Bond Index ETF (RQO.TO) at 0.15%. This indicates that XHB.TO's price experiences larger fluctuations and is considered to be riskier than RQO.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| XHB.TO | RQO.TO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.92% | 0.15% | +0.77% |
Volatility (6M)Calculated over the trailing 6-month period | 2.71% | 0.47% | +2.24% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.30% | 0.72% | +2.58% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 5.55% | 2.98% | +2.57% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 11.03% | 2.93% | +8.10% |
Dividends
XHB.TO vs. RQO.TO - Dividend Comparison
XHB.TO's dividend yield for the trailing twelve months is around 4.55%, more than RQO.TO's 3.03% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
RQO.TO RBC Target 2026 Corporate Bond Index ETF | 3.03% | 2.66% | 2.56% | 1.98% | 1.86% | 1.97% | 0.52% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
XHB.TO iShares Canadian HYBrid Corporate Bond Index ETF | 4.55% | 4.48% | 4.36% | 4.23% | 4.24% | 3.51% | 3.53% | 3.81% | 4.07% | 4.08% | 4.35% | 4.78% |
Frequently Asked Questions
XHB.TO and RQO.TO have a correlation of 0.17, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
They also come from different issuers: iShares and RBC.
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