HIX vs HYG: Correlation
Western Asset High Income Fund II Inc. (HIX) and iShares iBoxx High Yield Corporate Bond ETF (HYG) show a strong relationship: their 3-year correlation of weekly returns is 0.68.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are HIX and HYG?
Over the past 3 years, HIX and HYG moved with a correlation of 0.68, which is strong. Recent behaviour matches the longer record: 0.68 over 1 year against 0.68 over 3. Over 5 years the correlation is 0.68, and the annualized covariance of weekly returns is 42.6 %².
HYG is one of the assets that tracks HIX most closely: it ranks #3 out of the 11 assets we track against HIX. Twelve-month performance is nearly a tie, at +5.0% for HIX and +4.6% for HYG. Note the risk asymmetry: HIX runs 2.9 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
HIX vs HYG: side by side
| HIX (Western Asset High Income Fund II Inc.) | HYG (iShares iBoxx High Yield Corporate Bond ETF) | |
|---|---|---|
| 1-year return | +5.0% | +4.6% |
| 5-year return | -2.9% | +19.9% |
| Volatility (ann.) | 13.4% | 4.7% |
| Beta vs S&P 500 | 0.55 | 0.22 |
| Max drawdown (3Y) | -13.8% | -4.6% |
| Market cap | $0.4B | – |
| P/E (trailing) | 7.6 | – |
| Dividend yield | 15.04% | 5.94% |
| Expense ratio | – | 0.49% |
| Assets under management | – | $17.1B |
| Sector / category | US Listed | ETF · Bonds |
HYG is a High Yield Bond fund from iShares: $17.1B under management, a 0.49% expense ratio, a 5.94% trailing dividend yield.
Year-by-year returns
| Year | HIX | HYG |
|---|---|---|
| 2022 | -24.6% | -11.0% |
| 2023 | +15.7% | +11.5% |
| 2024 | -3.1% | +8.0% |
| 2025 | +13.6% | +8.6% |
| 2026 | +3.3% | +2.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are HIX and HYG good diversifiers for each other?
Only partially. A correlation of 0.68 means HIX and HYG share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between HIX and HYG?
As of 2026-08-27, the correlation of weekly returns between HIX and HYG is 0.68 over 3 years, 0.68 over 1 year and 0.68 over 5 years.
Is HYG a good diversifier for HIX?
Only partially. A correlation of 0.68 means HIX and HYG share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.68 mean?
A reading of 0.68 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/hix-vs-hyg.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/hix-vs-hyg/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: HIX correlations · HYG correlations
