What if you invested monthly in a High-yield bond ETF (HYG) for 15 years?
See how a 15-year monthly investment into HYG, which holds high-yield ('junk') corporate bonds from lower-rated companies, would have looked. Despite the 'bond' label, it tends to swing along with stocks.
Investment conditions
Asset · High-yield bond ETF (HYG)
Method · Recurring monthly investment
Period · 2011-07-01 ~ 2026-07-01
Amount · $222 / month
As of · 2026-07-01
Key metrics
These results do not reflect taxes. Based on historical data.
Risk & recovery
As important as returns. This service does not hide maximum drawdown or loss periods.
Maximum drawdown (MDD)
-21.4%
Largest drop from peak
Longest loss period
2months
Months in loss: 3
Recovery period
4months
Growth over time
Invested principal (dashed) and portfolio value (solid). Values below match the calculation.
Total invested $40,222 → Final value $57,745 (+43.6%), Maximum drawdown (MDD) -21.4%
Why this period and asset
HYG holds corporate bonds from companies rated below investment grade (high-yield, often called 'junk' bonds). Because default risk is higher, they pay more interest, but when the economy weakens, default fears rise and prices can fall sharply. HYG is more sensitive to the economy and credit risk than to rates, and it fell like stocks during the 2020 COVID crash and other recession-fear episodes. In other words, despite the 'bond' name, it tends to move in sync with stocks.
Interpreting the result
High-yield bonds are safer to think of as an asset whose risk-return profile is closer to stocks than to typical bonds. Check the maximum drawdown, underwater period, and recovery time on the results screen to see the risk behind the high yield. Unlike Treasuries or aggregate bonds, they can fall together with stocks in a downturn, so diversification cannot be assumed in every regime. Monthly investing only spreads out timing; it does not remove losses.
Caveats & limits
High-yield carries elevated corporate default risk and can plunge during recessions. As a foreign asset, exchange rates affect won-denominated returns, and expense ratios, trading costs, and taxes on distributions lower performance. Be careful not to overlook risk while focusing only on the high yield. Past performance does not guarantee the future, and this page does not recommend buying.
Data sources & limits
- Price data source: Yahoo Finance / FinanceDataReader
- Collected on: 2026-07-23
- Effective trading date: 2026-07-01
- Price basis: 复权收盘价(已反映股息与拆股)
- Trading fees and taxes are not reflected — figures are pre-tax.
- Based on historical data; does not guarantee future returns.
Frequently asked questions
High-yield pays more interest, so why is it risky?
It pays more precisely because the issuing companies have higher default risk. The high yield is compensation for that risk, so when the economy weakens, prices can fall by more than the interest earned, producing losses.
Is HYG closer to stocks or bonds?
It is called a bond, but its risk-return profile is closer to stocks. Being sensitive to the economy and credit risk, it tends to fall alongside stocks in downturns, unlike the diversification Treasuries can provide.
Can monthly investing reduce high-yield losses?
Dollar-cost averaging only spreads out timing; it does not remove losses. Because high-yield can have a large maximum drawdown in sharp declines, be sure to check the underwater period and recovery time.
Related scenarios
📋 结果基于历史数据计算,过去的收益不代表未来的收益。
📋 本服务旨在帮助理解投资、供教育之用,并非投资建议。