What is the expense ratio of DGRO vs LQD?

DGRO has an expense ratio of 0.08%, while LQD has an expense ratio of 0.14%.

DGRO vs LQD

iShares Core Dividend Growth ETF vs iShares iBoxx $ Investment Grade Corporate Bond ETF

Last updated: 2026-04-02

DGRO iShares

iShares Core Dividend Growth ETF (DGRO) is an exchange-traded fund issued by iShares that provides exposure to U.S. dividend-paying stocks selected for yield or dividend growth. It charges a low expense ratio of 0.08%. The fund offers a moderate dividend yield of 2.10%. Launched in 2014, the fund has a 12-year track record.

AUM: $36.8B ER: 0.08% Yield: 2.10% Since: Jun 10, 2014

LQD iShares

iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD) is an exchange-traded fund issued by iShares that provides exposure to investment-grade U.S. corporate bonds. It charges a low expense ratio of 0.14%. The fund offers a high dividend yield of 4.53%. Launched in 2002, the fund has a 24-year track record.

AUM: $29.2B ER: 0.14% Yield: 4.53% Since: Jul 22, 2002

Quick Verdict

DGRO has a slightly lower expense ratio (0.08% vs 0.14%), saving about $119 per $10,000 over 10 years. Over the past year, DGRO has significantly outperformed with a 13.9% return vs 0.0%. Income investors may prefer LQD for its higher yield (4.5% vs 2.1%).

Key Metrics

Metric	DGRO	LQD
Expense Ratio	0.08%	0.14%
Dividend Yield	2.1%	4.5%
Fund Family	iShares	iShares
Category	US Dividend	US Investment Grade Corporate

Performance Chart

Indexed to 100 at start (5-year comparison)

DGRO +42.9%

LQD -16.4%

Performance Comparison

Period	DGRO	LQD	Difference
1 Month	-4.90%	-2.04%	-2.86%
3 Months	+0.57%	-1.36%	+1.93%
6 Months	+2.36%	-2.59%	+4.95%
YTD	+0.57%	-1.36%	+1.93%
1 Year	+13.94%	+0.00%	+13.94%
3 Years	+39.53%	-1.16%	+40.69%
5 Years	+42.86%	-16.40%	+59.26%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment	Period	DGRO Fees	LQD Fees	You Save
$10.000	10 years	$159	$278	$119
$10.000	20 years	$686	$1.194	$508
$10.000	30 years	$2.212	$3.841	$1.628
$50.000	10 years	$797	$1.391	$594
$50.000	30 years	$11.061	$19.203	$8.141
$100.000	30 years	$22.123	$38.406	$16.283

Risk Metrics

Based on 5 years of daily returns

Metric	DGRO	LQD
Annualized Volatility	13.9%	8.7%
Max Drawdown	-20.7%	-27.9%
Sharpe Ratio	0.26	-0.89

Dividend Comparison

Metric	DGRO	LQD
Annual Dividend (per share)	$1.47	$4.92
Dividend Yield	2.10%	4.53%
Distribution Frequency	Quarterly	Monthly

Top Holdings

DGRO Top Holdings

Name	Weight
Exxon Mobil CorporationXOM	3.43%
Johnson & JohnsonJNJ	2.94%
JPMorgan Chase & Co.JPM	2.93%
Apple Inc.AAPL	2.87%
Microsoft CorporationMSFT	2.71%
AbbVie Inc.ABBV	2.67%
Broadcom Inc.AVGO	2.49%
The Procter & Gamble CompanyPG	2.14%
Philip Morris International Inc.PM	2.05%
Merck & Co., Inc.MRK	2.05%

Which One Should You Choose?

Choose DGRO if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose DGRO if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

Choose LQD if...

you prioritize dividend income and want higher regular distributions from your portfolio.

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