PERFORMANCE

What you need to know about bond indexing

Various bond index strategies, like iShares bond ETFs, have strong performance within their Morningstar categories across a broad range of sectors.

Similar to equity ETFs, many bond ETFs have delivered competitive returns across a variety of sectors, ranking above median in many categories over the long-term.

In general, we would expect an index exposure to deliver the “market return.” However, many iShares bond ETFs have competitive performance relative to other ETFs and mutual funds.

While performance rankings change over time, certain iShares bond ETFs have tended to be above median of performance in their respective Morningstar categories.

MORNINGSTAR CATEGORY PERCENTILE RANKINGS BASED ON TOTAL RETURN

Like equities, an index strategy does not necessarily mean average returns.

 

  % Rank in Category
(based on total return)		 Number of Funds Rated in Category
Ticker ETF name Morningstar fund category 1
Year		 5
Year		 10
Year		 1
Year		 5
Year		 10
Year
AGG iShares Core U.S. Aggregate Bond ETF Intermediate Core Bond 34% 39% 39% 453 372 275
LQD iShares iBoxx $ Investment Grade Corporate Bond ETF Corporate Bond 97% 67% 48% 214 170 99
MUB iShares National Muni Bond ETF Muni National Interm 37% 31% 28% 304 248 184
TIP iShares TIPS Bond ETF Inflation-Protected Bond 65% 58% 52% 211 189 133
EMB iShares J.P. Morgan USD Emerging Markets Bond ETF Emerging Markets Bond 86% 59% 48% 270 223 103
HYG iShares iBoxx $ High Yield Corporate Bond ETF High Yield Bond 65% 63% 69% 682 579 414

Source: Morningstar, as of 12/31/22. Comparison universe is ETFs and mutual funds in the Morningstar category and uses total return. Total return represents changes to the NAV and accounts for distributions from the funds (excluding any applicable sales charges). Percentile ranking in category represents outperformance of the fund’s total return relative to all funds that have the same Morningstar Category. Past performance does not guarantee future results.