ETF Versus

HYG vs USHY

iShares iBoxx $ High Yield Corporate Bond ETF vs iShares Broad USD High Yield Corporate Bond ETF

Last updated: 2026-04-02

HYG iShares

iShares iBoxx $ High Yield Corporate Bond ETF (HYG) is an exchange-traded fund issued by iShares that provides exposure to below-investment-grade U.S. corporate bonds offering higher yields. It charges an above-average expense ratio of 0.49%. The fund offers a high dividend yield of 5.88%. Launched in 2007, the fund has a 19-year track record.

AUM: $16.3B ER: 0.49% Yield: 5.88% Since: Apr 4, 2007
USHY

iShares Broad USD High Yield Corporate Bond ETF (USHY) is an exchange-traded fund that provides exposure to below-investment-grade U.S. corporate bonds offering higher yields. It charges a low expense ratio of 0.08%. The fund offers a high dividend yield of 6.89%. Launched in 2017, the fund has a 9-year track record.

AUM: $24.0B ER: 0.08% Yield: 6.89% Since: Oct 25, 2017

Quick Verdict

USHY is significantly cheaper at 0.08% vs 0.49% expense ratio, saving you approximately $800 per $10,000 invested over 10 years. Both funds have delivered similar 1-year returns (0.9% vs 0.2%), tracking closely. Income investors may prefer USHY for its higher yield (6.9% vs 5.9%).

Key Metrics

Metric HYG USHY
Expense Ratio 0.49% 0.08%
Dividend Yield 5.9% 6.9%
Fund Family iShares N/A
Category US High Yield Bond US High Yield Bond

Performance Chart

Indexed to 100 at start (5-year comparison)

80 85 90 95 100 105 2021-04 2022-06 2023-09 2024-12 2026-04
HYG -8.9%
USHY -10.7%

Performance Comparison

Period HYG USHY Difference
1 Month -1.13% -1.29% +0.16%
3 Months -1.61% -1.84% +0.23%
6 Months -1.82% -2.30% +0.48%
YTD -1.61% -1.84% +0.23%
1 Year +0.86% +0.16% +0.70%
3 Years +5.62% +3.90% +1.72%
5 Years -8.89% -10.74% +1.85%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period HYG Fees USHY Fees You Save
$10.000 10 years $960 $159 $800
$10.000 20 years $4.052 $686 $3.366
$10.000 30 years $12.832 $2.212 $10.620
$50.000 10 years $4.799 $797 $4.002
$50.000 30 years $64.162 $11.061 $53.100
$100.000 30 years $128.324 $22.123 $106.201

Risk Metrics

Based on 5 years of daily returns

Metric HYG USHY
Annualized Volatility 7.6% 7.5%
Max Drawdown -19.3% -19.9%
Sharpe Ratio -0.80 -0.87

Dividend Comparison

Metric HYG USHY
Annual Dividend (per share) $4.67 $2.53
Dividend Yield 5.88% 6.89%
Distribution Frequency Monthly Monthly

Which One Should You Choose?

Choose USHY if...

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

Choose USHY if...

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

Either works if...

you just need broad us high yield bond exposure. Both are solid options — pick whichever your brokerage offers commission-free.

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