LQD vs HYG — 18-Year Performance Comparison
Investment-Grade Corp Bonds vs High Yield Bonds — backtested 2007–2024
HYG wins$22,983 vs $20,278 on $10,000 over 18 years
LQDInvestment-Grade Corp Bonds
Final value$20,278
CAGR+4.0%
Max drawdown-19.4%
Best year+17% (2019)
Years won8 of 18
HYGHigh Yield Bonds
Final value$22,983
CAGR+4.7%
Max drawdown-17.5%
Best year+29% (2009)
Years won10 of 18
Growth of $10,000
2007–2024LQDHYG
LQD$20,278
HYG$22,983
50/50 mix$21,893
50/50 blend: $21,893 (+4.4%/yr CAGR)
Splitting equally between LQD and HYG would have landed between the two — slightly lower CAGR than HYG but less volatility. Try a custom split →
Year-by-year: LQD vs HYG
| Year | LQD | HYG | Winner |
|---|---|---|---|
| 2024 | +0.9% | +8.0% | HYG |
| 2023 | +9.4% | +11.5% | HYG |
| 2022 | -17.9% | -11.0% | HYG |
| 2021 | -1.8% | +3.8% | HYG |
| 2020 | +11.0% | +4.5% | LQD |
| 2019 | +17.4% | +14.1% | LQD |
| 2018 | -3.8% | -2.0% | HYG |
| 2017 | +7.1% | +6.1% | LQD |
| 2016 | +6.2% | +13.4% | HYG |
| 2015 | -1.3% | -5.0% | LQD |
| 2014 | +8.2% | +1.9% | LQD |
| 2013 | -2.0% | +5.8% | HYG |
| 2012 | +10.6% | +11.7% | HYG |
| 2011 | +9.7% | +6.8% | LQD |
| 2010 | +9.3% | +11.9% | HYG |
| 2009 | +8.4% | +28.5% | HYG |
| 2008 | +2.4% | -17.6% | LQD |
| 2007 | +3.7% | +1.6% | LQD |
More comparisons
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