Relative Intelligence · Investment Grade Bonds
How iShares Core U.S. Aggregate Bond ETF (AGG) compares with the whole market and its popular alternatives
Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on AGG alone. It places AGG (iShares Core U.S. Aggregate Bond ETF) against 20+ popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where AGG stands in the market, and of the alternatives worth a closer look.
Period covered: AGG's full trading record, from September 2003 through September 2026. The crash tests reach back to 2000 using older funds and the S&P 500. All returns include reinvested dividends. Data as of October 20, 2026.
Data as of October 20, 2026. Full tables and charts read best on a larger screen.
On this page12 sections
Key findings
- Right nowOver the past 6 months, AGG fell 2.6% while the S&P 500 rose 9.1%. That said, both AGG and the S&P 500 are within a few percent of a record high. At a glance ↓
- Fund or market?AGG fell 1.7% over the past 3 months even as the S&P 500 rose 3.9%.
- Long termAGG turned $10,000 into $11,300 over the past decade, against $42,100 in the S&P 500. AGG's 10-year return of 13.3% puts it behind 93% of the ETFs with at least $100 million in assets with that much history. The S&P 500 returned 321%. Growth of $10,000 ↓
- In a crashAGG has tended to fall less than the S&P 500 in crashes, about 23% of the index's decline. The 2022 bear market took 14.5% off AGG, against 24.5% for the S&P 500. That was more than BSV (Vanguard Short-Term Bond ETF, 6.9%) but less than LQD (iShares iBoxx $ Investment Grade Corporate Bond ETF, 21.2%). Crash tests ↓
- DiversificationAgainst the S&P 500, AGG has a correlation of 0.62 over 5 years, less closely than 73% of ETFs with at least $100 million in assets. Next to an index fund it is some diversification, but not a hedge. AGG cushions stocks less than it used to: its correlation with the S&P 500 rose to 0.62 over the past 5 years, from 0.02 in the 5 years before. Market capture ↓
- Better options
- Nearby categories and themes
- VTIP (Vanguard Short-Term Inflation-Protected Securities ETF, treasury bonds) and SCHO (Schwab Short-Term U.S. Treasury ETF, treasury bonds) earned more than AGG with less volatility over the past 5 years. VTIP returned 2.7% a year at 2.9% volatility, against a loss of 0.3% a year at 6.1%.
- Whole market
- 99 of the 3,633 stocks and funds worth at least $500 million earned more than AGG with less volatility over the past 5 years, among them SGOV (iShares 0-3 Month Treasury Bond ETF), VTIP (Vanguard Short-Term Inflation-Protected Securities ETF) and BSV (Vanguard Short-Term Bond ETF).
How much would $10,000 in AGG have grown?
This chart tracks a hypothetical $10,000 investment in AGG over the past 19 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of AGG over the same span and AGG's popular alternatives, among those that traded for the entire period. A second view covers the past 5 years, the period the better options further down the page are judged on. It shows not only where each investment ended up but also how smooth or uneven the path was.
Note: The chart covers the past 19 years rather than AGG's full 23 years, because most of its popular alternatives have not traded that long.
- $10,000 invested in AGG at the end of September 2007 would have grown to $16,715 by September 2026, less than the $70,725 it would have become in SPY, an S&P 500 fund.
- Six of the eight other investments on the chart ended ahead of AGG, and HYG finished highest, at $24,288.
Choose a period
From the end of September 2007 to the end of September 2026. Hover over a fund in the key to pick out its line. 1,449 of the 1,798 stocks and funds worth at least $500 million that traded the whole period ended ahead of AGG; the chart shows 5, closest alternatives first. The other 3 lines are popular alternatives, shown for context.
- SPY (S&P 500)$70,725+607% total · +10.8% a year
- HYG$24,288+143% total · +4.8% a year
- LQD$20,404+104% total · +3.8% a year
- USIG$19,976+99.8% total · +3.7% a year
- IGIB$19,498+95.0% total · +3.6% a year
- BIV$19,114+91.1% total · +3.5% a year
- TIP$17,851+78.5% total · +3.1% a year
- AGG$16,715+67.2% total · +2.7% a year
- IGSB$16,387+63.9% total · +2.6% a year
- BSV$15,493+54.9% total · +2.3% a year
From the end of September 2021 to the end of September 2026. Hover over a fund in the key to pick out its line. 2,610 of the 3,628 stocks and funds worth at least $500 million that traded the whole period ended ahead of AGG; the chart shows 5, closest alternatives first. The other 3 lines are popular alternatives, shown for context.
- SPY (S&P 500)$19,000+90.0% total · +13.7% a year
- SGOV$12,000+20.0% total · +3.7% a year
- HYG$11,691+16.9% total · +3.2% a year
- IGSB$11,134+11.3% total · +2.2% a year
- BSV$10,780+7.8% total · +1.5% a year
- IGIB$10,205+2.0% total · +0.4% a year
- BNDX$9,953−0.5% total · −0.1% a year
- USIG$9,866−1.3% total · −0.3% a year
- SPBO$9,856−1.4% total · −0.3% a year
- AGG$9,694−3.1% total · −0.6% a year
AGG at a glance
This section summarizes the key facts about the fund, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout. These figures serve as the baseline for every comparison that follows.
Note: AGG began trading on September 29, 2003, so every figure here, including its worst decline, covers only the time since then. None of them reflect the dot-com bust.
- AGG's deepest decline since it began trading in 2003 was 18.4%, from August 2020 to October 2022. It has not yet climbed back to that peak.
- Over 22 full calendar years, AGG's best was 2019, when it returned 8.5%, and its worst was 2022, when it lost 13.0%. It lost money in three of those years.
- AGG is 4.0% below its all-time high.
The fund
- Issuer
- IShares
- Began trading
- September 2003
- Expense ratio
- 0.03%per year
- Assets
- $139B
- Category
- Bonds
Returns
- Past 1 year
- −1.9%total return
- Past 3 years
- +16.2%+5.1% a year
- Past 5 years
- −1.5%−0.3% a year
- Past 10 years
- +13.3%+1.3% a year
- Best calendar year
- +8.5%2019
- Worst calendar year
- −13.0%2022
- Losing years
- 3 of 22full calendar years
Risk
- Volatility
- 6.1%typical yearly swing, 5 years
- Sharpe ratio
- -0.02return per unit of risk, 5 years
- Worst decline ever
- −18.4%Aug 2020 to Oct 2022
- From its all-time high
- −4.0%below the peak
AGG against the whole market
Where AGG ranks among every stock and fund, and what across the market has done better.
How does AGG rank among all ETFs?
This section ranks AGG on return, volatility, risk-adjusted return and worst decline against every ETF worth at least $100 million with enough history. Where the comparisons with its popular alternatives show how AGG stacks up against its peers, these rankings show where it stands in the market as a whole.
- AGG's worst decline of the past 10 years ranks in the top 9% of the 951 ETFs with at least $100 million in assets, where the top fell the least.
- AGG's 10-year return ranks in the bottom 7% of the 958 ETFs with at least $100 million in assets with 10 years of history.
Ranked against U.S.-listed ETFs with at least $100M in assets that have enough history for each measure, so the count changes from row to row; smaller ETFs and leveraged funds are left out. Lower volatility and smaller declines rank higher.
| Measure | AGG | Rank | Standing |
|---|---|---|---|
| 1-year return | −1.9% | 2,168 of 2,485 | bottom 14% |
| 3-year return | +16.2% | 1,715 of 1,949 | bottom 13% |
| 5-year return | −1.5% | 1,410 of 1,560 | bottom 11% |
| 10-year return | +13.3% | 893 of 958 | bottom 8% |
| Volatility, 5 years | 6.1% | 193 of 1,560 | top 12% |
| Sharpe ratio, 5 years | -0.02 | 1,451 of 1,560 | bottom 8% |
| Worst decline, past 10 years | −18.4% | 87 of 951 | top 9% |
What has beaten AGG on both return and risk?
Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer). AGG sits where the dashed lines cross. Anything in the green box above and to the left earned more than AGG with smaller swings, a better trade-off over this period on both counts. Past results are no promise, but a name in the box is worth a closer look.
- 99 ETFs worth at least $500 million sit in the green region: each earned more than AGG over the past 5 years with smaller price swings. That is 3% of the 3,633 screened.
- Among those with at least half AGG's swings, BALT has the best return for its risk: 6.3% a year at 3.3% volatility, 46% less than AGG's 6.1%, and a Sharpe ratio (return above cash per unit of volatility) of 1.85 against -0.02 for AGG.
- Among AGG's popular alternatives, SGOV, IGSB and BSV are in the region. SGOV earned 3.8% a year against a loss of 0.3% a year for AGG, at 0.3% volatility, 95% less than AGG's 6.1%.
Annual return is the annualized total return with dividends reinvested, and volatility the annualized swing in daily prices, both over 5 years. Labeled dots are the strongest picks from the table below and the names called out above, colored by how close they sit to AGG; faint dots are 29 more of the 99 in the green region (the strongest, one per fund family). 3,633 stocks and funds worth at least $500 million were screened. Hover over a dot for its figures.
- Popular alternatives
- Same and neighboring categories, and shared themes
- The whole market
- Others in the green region
- 1 with more than 1.6× AGG's volatility is in the table only
Is there a better investment than AGG?
Investments that beat AGG over the past 5 years on return, volatility, drawdowns, consistency, crash losses or fees, from its popular alternatives out to the whole market.
- Among AGG's popular alternatives, BSV, IGSB and SGOV earned more than AGG with less volatility over the past 5 years. BSV returned 1.7% a year at 2.8% volatility, against a loss of 0.3% a year at 6.1%.
- Looking beyond its popular alternatives, VTIP (treasury bonds) and SCHO (treasury bonds) earned more than AGG with less volatility over the past 5 years. VTIP returned 2.7% a year at 2.9% volatility, against a loss of 0.3% a year at 6.1%.
- Across the whole market, 99 of the 3,633 stocks and funds worth at least $500 million earned more than AGG with less volatility over the past 5 years, among them SGOV, VTIP and BSV.
How this works
The table below lists investments that beat AGG over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes, and, for funds, the same exposure at a lower expense ratio. It checks AGG's popular alternatives first, then the rest of its own and neighboring categories, then every stock and fund worth at least $500 million, and shows the strongest few in each group. The full list of those with a higher return and lower volatility than AGG follows the table.
Annual return is the annualized total return with dividends reinvested. Annual return, volatility and the Sharpe ratio cover 5 years; the worst decline covers the past 10 years. Green marks a better figure than AGG's. "On the frontier" means no other option shown or tested earned more with less volatility. Funds that hold the same thing are shown once. Beyond the popular alternatives, nothing with more than 1.5× AGG's volatility counts as better.
These figures cover the past 5 years. Green marks a better figure than AGG's.
| Investment | Why it is better | Past 5 years | Downside | Long run | Fit | ||||
|---|---|---|---|---|---|---|---|---|---|
| Annual return?higher is better | Volatility?lower is calmer | Sharpe?return per unit of risk | Worst decline?past 10 years | 10Y returntotal | Corr. with AGG?lower diversifies more | Expenseper year | |||
| AGGiShares Core U.S. Aggregate Bond ETF · this page | −0.3% | 6.1% | -0.02 | −18.4% | +13.3% | 1.00 | 0.03% | ||
 SPYState Street SPDR S&P 500 ETF · S&P 500 | +12.7% | 17.1% | 0.79 | −33.7% | +321% | 0.62 | 0.09% | ||
| Popular alternativesbest 6 shownThe investments people most often weigh against AGG. 6 of 26 passed at least one test. | |||||||||
 BSVVanguard Short-Term Bond ETF · Short-Term Bonds | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +1.7% | 2.8% | 0.63 | −8.5% | +20.5% | 0.93 | 0.03% | |
IGSBiShares 1-5 Year Investment Grade Corporate Bond ETF · Investment Grade Bonds | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +2.4% | 3.0% | 0.80 | −13.4% | +29.4% | 0.95 | 0.04% | |
 SGOViShares 0-3 Month Treasury Bond ETF · Treasury Bonds | On the frontierHigher return, lower volatilityHigher Sharpe, smaller worst decline | +3.8% | 0.3% | 13.25 | −0.3% | — | 0.30 | 0.09% | |
 BNDXVanguard Total International Bond ETF · International Bonds | Higher return in most periods | +0.2% | 4.9% | 0.06 | −16.2% | +15.0% | 0.89 | 0.07% | |
HYGiShares iBoxx $ High Yield Corporate Bond ETF · High Yield Bonds | Higher return in most periods | +3.1% | 7.5% | 0.45 | −22.0% | +49.5% | 0.79 | 0.49% | |
 MUBiShares National Muni Bond ETF · Municipal Bonds | Similar return, lower volatility | +0.3% | 4.2% | 0.09 | −13.7% | +17.8% | 0.91 | 0.05% | |
| Same and neighboring categories, and shared themesbest 3 shownEverything else in Investment Grade Bonds and the categories next to it (Treasury Bonds, Core Plus Bonds, Short-Term Bonds, High Yield Bonds), plus AGG's specific themes. 31 of 45 passed at least one test. | |||||||||
 VTIPVanguard Short-Term Inflation-Protected Securities ETF · Treasury Bonds | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +2.7% | 2.9% | 0.94 | −6.3% | +32.7% | 0.71 | 0.03% | |
SCHOSchwab Short-Term U.S. Treasury ETF · Treasury Bonds | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +2.0% | 2.0% | 0.96 | −5.7% | +18.9% | 0.85 | 0.03% | |
BSCRInvesco BulletShares 2027 Corporate Bond ETF · Investment Grade Bonds | Higher return, lower volatilityHigher return in most periods | +1.7% | 4.1% | 0.44 | −17.3% | — | 0.90 | 0.10% | |
| The whole marketbest 7 shownEvery other stock and fund worth at least $500 million. 124 of 3,562 passed at least one test. | |||||||||
JAAAJanus Henderson AAA CLO ETF · CLO Bonds | On the frontierHigher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +5.1% | 1.7% | 2.98 | −2.6% | — | 0.26 | 0.20% | |
BALTInnovator Defined Wealth Shield ETF · Crypto | On the frontierHigher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +6.3% | 3.3% | 1.85 | −4.9% | — | 0.62 | 0.69% | |
VRIGInvesco Variable Rate Investment Grade ETF · Bonds | On the frontierHigher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +4.7% | 1.3% | 3.51 | −13.1% | +40.5% | 0.27 | 0.30% | |
VNLAJanus Henderson Short Duration Income ETF · Bonds | Higher return, lower volatilityHigher Sharpe, smaller worst declineHigher return in most periods | +4.0% | 1.1% | 3.77 | −4.5% | — | 0.67 | 0.25% | |
HYSPIMCO 0-5 Year High Yield Corporate Bond Index Exchange-Traded Fund · Bonds | Higher return, similar volatilityHigher return in most periods | +4.5% | 6.3% | 0.74 | −20.9% | +57.5% | 0.75 | 0.56% | |
 EP-PCEl Paso Energy Capital Trust I PFD CV TR SECS · Preferred Stocks | Higher return in most periods | +5.2% | 8.9% | 0.61 | −25.4% | +37.8% | 0.36 | — | |
IBMQiShares iBonds Dec 2028 Term Muni Bond ETF · Bonds | Similar return, lower volatility | +0.6% | 3.0% | 0.22 | −15.8% | — | 0.88 | 0.10% | |
What these numbers mean for AGG
- Annual return
- AGG lost 0.3% a year over the past 5 years with dividends reinvested, against 12.7% a year for the S&P 500. At that pace, $10,000 became about $9,850. Annual return is the steady yearly rate that would produce the same total result, so investments held over the same span compare fairly. Guide: What is performance and return? →
- Volatility
- AGG's volatility over the past 5 years was 6.1%, 36% of the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, AGG's return lands within 6.1% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump. Guide: Understanding and measuring risk (volatility) →
- Sharpe ratio
- AGG's Sharpe ratio over the past 5 years was -0.02, against 0.79 for the S&P 500, so AGG earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings. Guide: Balancing reward with risk (Sharpe ratio) →
- Worst decline
- AGG's worst fall from a peak to a low over the past 10 years was 18.4%, against 33.7% for the S&P 500. Losses and gains are not symmetric: climbing back from a 18.4% fall takes a 22.6% gain. Guide: Market crash risk and tail risk →
- Correlation
- Over the past 5 years, AGG's monthly returns had a correlation of 0.62 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They often move together: some diversification next to an index fund, but not a cushion. In the table, the correlation column measures each option against AGG instead: the lower it is, the more that option would diversify a AGG holding. Guide: Correlation and diversification →
Show all 99 stocks and funds worth at least $500 million that earned more than AGG with less volatility
Out of 3,633 tested over 5 years. The strongest 35 are listed, best first, with funds that hold the same thing listed once.
| # | Investment | Found in | Annual return | Volatility | Sharpe | Worst decline | 10Y return | Corr. with AGG | Expense |
|---|---|---|---|---|---|---|---|---|---|
| 1 |  BILState Street SPDR Bloomberg 1-3 Month T-Bill ETF · Treasury Bonds | Same or nearby category | +3.7% | 0.3% | 14.05 | −0.2% | +25.8% | 0.27 | 0.14% |
| 2 | JAAAJanus Henderson AAA CLO ETF · CLO Bonds | Whole market | +5.1% | 1.7% | 2.98 | −2.6% | — | 0.26 | 0.20% |
| 3 | BALTInnovator Defined Wealth Shield ETF · Crypto | Whole market | +6.3% | 3.3% | 1.85 | −4.9% | — | 0.62 | 0.69% |
| 4 | VRIGInvesco Variable Rate Investment Grade ETF · Bonds | Whole market | +4.7% | 1.3% | 3.51 | −13.1% | +40.5% | 0.27 | 0.30% |
| 5 | VNLAJanus Henderson Short Duration Income ETF · Bonds | Whole market | +4.0% | 1.1% | 3.77 | −4.5% | — | 0.67 | 0.25% |
| 6 | NEARiShares Short Duration Bond Active ETF · Short-Term Bonds | Same or nearby category | +3.9% | 1.4% | 2.71 | −9.6% | +31.8% | 0.71 | 0.25% |
| 7 | SUBiShares Short-Term National Muni Bond ETF · Municipal Bonds | Whole market | +1.4% | 1.7% | 0.85 | −9.4% | +15.6% | 0.83 | 0.07% |
| 8 | TBUXT. Rowe Price Ultra Short-Term Bond ETF · Bonds | Whole market | +4.1% | 1.1% | 3.85 | −1.8% | — | 0.66 | 0.17% |
| 9 | USTBVictoryShares Short-Term Bond ETF · Bonds | Whole market | +3.6% | 2.0% | 1.73 | −5.3% | — | 0.88 | 0.34% |
| 10 | LMBSFirst Trust Low Duration Opportunities ETF · Mortgage-Backed Securities | Whole market | +3.0% | 2.6% | 1.14 | −6.5% | +25.6% | 0.90 | 0.66% |
| 11 | RAVINorthern Trust Ultra-Short Fixed Income ETF · Bonds | Whole market | +3.8% | 1.4% | 2.61 | −3.7% | +30.8% | 0.53 | 0.26% |
| 12 | VTIPVanguard Short-Term Inflation-Protected Securities ETF · Treasury Bonds | Same or nearby category | +2.7% | 2.9% | 0.94 | −6.3% | +32.7% | 0.71 | 0.03% |
| 13 | MEARiShares Short Maturity Municipal Bond Active ETF · Bonds | Whole market | +2.4% | 1.0% | 2.37 | −2.7% | +19.3% | 0.74 | 0.26% |
| 14 | SPSBState Street SPDR Portfolio Short Term Corporate Bond ETF · Investment Grade Bonds | Same or nearby category | +2.8% | 2.0% | 1.38 | −11.8% | +29.2% | 0.91 | 0.04% |
| 15 | SHYiShares 1-3 Year Treasury Bond ETF · Treasury Bonds | Same or nearby category | +1.8% | 2.0% | 0.89 | −5.7% | +17.7% | 0.86 | 0.15% |
| 16 | LDURPIMCO Enhanced Low Duration Active Exchange-Traded Fund · Bonds | Whole market | +2.4% | 2.1% | 1.13 | −8.7% | +26.7% | 0.79 | 0.54% |
| 17 | STOTState Street DoubleLine Short Duration Total Return Tactical ETF · Bonds | Whole market | +2.9% | 1.7% | 1.65 | −6.1% | +26.0% | 0.81 | 0.45% |
| 18 | JPIBJPMorgan International Bond Opportunities ETF · Bonds | Whole market | +2.5% | 4.2% | 0.62 | −13.1% | — | 0.87 | 0.50% |
| 19 | FLRTPacer Aristotle Pacific Floating Rate High Income ETF · Financials | Whole market | +6.0% | 2.3% | 2.55 | −21.0% | +58.0% | 0.40 | 0.60% |
| 20 | FLOTiShares Floating Rate Bond ETF · Floating Rate Bonds | Whole market | +4.5% | 1.8% | 2.48 | −13.5% | +35.9% | 0.21 | 0.15% |
| 21 | FLTRVanEck IG Floating Rate ETF · Multi-Asset | Whole market | +4.8% | 2.1% | 2.20 | −17.8% | +41.8% | 0.17 | 0.14% |
| 22 | BKLNInvesco Senior Loan ETF · Bank Loans | Whole market | +5.4% | 4.5% | 1.19 | −24.1% | +50.7% | 0.37 | 0.67% |
| 23 | SRLNState Street Blackstone Senior Loan ETF · Bank Loans | Whole market | +4.7% | 3.9% | 1.18 | −22.3% | +54.2% | 0.35 | 0.70% |
| 24 | FTSLFirst Trust Senior Loan Fund · Bonds | Whole market | +5.0% | 3.4% | 1.49 | −22.7% | +52.1% | 0.34 | 0.70% |
| 25 | IAGGiShares Core International Aggregate Bond ETF · International Bonds | Whole market | +1.1% | 4.5% | 0.27 | −13.9% | +20.8% | 0.87 | 0.07% |
| 26 | FLDRFidelity Low Duration Bond Factor ETF · Bonds | Whole market | +3.9% | 1.2% | 3.09 | −12.2% | — | 0.82 | 0.15% |
| 27 | SHYGiShares 0-5 Year High Yield Corporate Bond ETF · High Yield Bonds | Same or nearby category | +4.5% | 5.8% | 0.79 | −19.3% | +56.4% | 0.75 | 0.30% |
| 28 | FLBLFranklin Senior Loan ETF · Bonds | Whole market | +5.2% | 3.9% | 1.35 | −19.5% | — | 0.35 | 0.45% |
| 29 | PREFPrincipal Spectrum Preferred Securities Active ETF · Bonds | Whole market | +2.5% | 4.9% | 0.52 | −23.0% | — | 0.73 | 0.55% |
| 30 | BSCRInvesco BulletShares 2027 Corporate Bond ETF · Investment Grade Bonds | Same or nearby category | +1.7% | 4.1% | 0.44 | −17.3% | — | 0.90 | 0.10% |
| 31 | PHYLPGIM Active High Yield Bond ETF · Bonds | Whole market | +3.3% | 5.7% | 0.60 | −22.1% | — | 0.80 | 0.39% |
| 32 | IBDInspire Corporate Bond ETF · Bonds | Whole market | +1.2% | 5.7% | 0.23 | −16.3% | — | 0.96 | 0.41% |
| 33 | AVSFAvantis Short-Term Fixed Income ETF · Bonds | Whole market | +1.9% | 2.7% | 0.71 | −8.8% | — | 0.94 | 0.15% |
| 34 | HMOPHartford Municipal Opportunities ETF · Bonds | Whole market | +0.8% | 4.0% | 0.22 | −13.1% | — | 0.92 | 0.29% |
| 35 | KORPAmerican Century Diversified Corporate Bond ETF · Bonds | Whole market | +1.3% | 5.5% | 0.26 | −14.9% | — | 0.97 | 0.29% |
AGG against its popular alternatives
The investments people most often weigh against AGG, compared period by period and year by year.
How do AGG's risk and return compare with its alternatives?
This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings. Investments toward the upper left earned more for a smoother ride, and those toward the lower right earned less for a rougher one. The dashed lines cross at AGG, which divides the map into what did better or worse on each measure.
- Ten of the 24 popular alternatives, led by SGOV, IGSB and BSV, were both more rewarding and calmer than AGG over the past 5 years, earning a higher annual return with lower volatility.
- Over the past 5 years, AGG returned -0.3% a year, less than the S&P 500's 12.7%, with lower volatility (6.1% against 17.1%).
Green points earned more than AGG with less volatility; red points earned less with more. Hover over a point for its figures. Total returns with dividends reinvested, annualized.
All figures
| Investment | Annual return | Volatility |
|---|---|---|
| SPY S&P 500State Street SPDR S&P 500 ETF | +12.7% | 17.1% |
| SGOV iShares 0-3 Month Treasury Bond ETF | +3.8% | 0.3% |
| HYG iShares iBoxx $ High Yield Corporate Bond ETF | +3.1% | 7.5% |
| IGSB iShares 1-5 Year Investment Grade Corporate Bond ETF | +2.4% | 3.0% |
| BSV Vanguard Short-Term Bond ETF | +1.7% | 2.8% |
| IGIB iShares 5-10 Year Investment Grade Corporate Bond ETF | +0.8% | 6.6% |
| JCPB JPMorgan Core Plus Bond ETF | +0.6% | 5.4% |
| FBND Fidelity Total Bond ETF | +0.3% | 6.0% |
| MUB iShares National Muni Bond ETF | +0.3% | 4.2% |
| BNDX Vanguard Total International Bond ETF | +0.2% | 4.9% |
| TOTL State Street DoubleLine Total Return Tactical ETF | +0.1% | 5.7% |
| SPBO State Street SPDR Portfolio Corporate Bond ETF | +0.1% | 7.2% |
| USIG iShares Broad USD Investment Grade Corporate Bond ETF | +0.1% | 6.8% |
| IUSB iShares Core Universal USD Bond ETF | +0.1% | 5.9% |
| VMBS Vanguard Mortgage-Backed Securities ETF | +0.1% | 6.9% |
| BOND PIMCO Active Bond Exchange-Traded Fund | −0.1% | 5.9% |
| TIP iShares TIPS Bond ETF | −0.1% | 6.2% |
| BIV Vanguard Intermediate-Term Bond ETF | −0.1% | 6.4% |
| MBB iShares MBS ETF | −0.2% | 7.0% |
| AGG This pageiShares Core U.S. Aggregate Bond ETF | −0.3% | 6.1% |
| SCHZ Schwab U.S. Aggregate Bond ETF | −0.3% | 6.1% |
| BND Vanguard Total Bond Market ETF | −0.4% | 6.1% |
| GTO Invesco Total Return Bond ETF | −0.4% | 5.7% |
| GOVT iShares U.S. Treasury Bond ETF | −0.7% | 6.0% |
| LQD iShares iBoxx $ Investment Grade Corporate Bond ETF | −0.9% | 8.7% |
| BLV Vanguard Long-Term Bond ETF | −4.6% | 12.9% |
Has AGG consistently beaten its popular alternatives?
This section compares AGG with the investments people most often weigh against it, checking each one over eight periods from one month to ten years. Counting how often an alternative earned more than AGG helps separate lasting outperformance from a single strong stretch.
- Four of the 28 popular alternatives, led by IGSB, HYG and BSV, outperformed AGG in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- IGSB outperformed AGG in every long-term period and in all but one short-term period, the most consistent record in the group.
- SGOV, IGSB and BSV earned more for the risk they took than AGG (a higher Sharpe ratio) and fell less in their worst decline of the past 10 years.
A green cell means the alternative earned more than AGG over that period. "Qualified" marks those that did so in at least 3 of 5 short-term periods and 2 of 3 long-term periods.
| Investment | Periods outperformed | Short term | Long term | Risk · 5 years | Fund | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1M | 3M | 6M | YTD | 1Y | 3Y | 5Y | 10Y | Volatilitylower is calmer | Sharpehigher is better | Worst declinepast 10 years | Expense | Assets | Overlapsame sectors | ||
| AGG iShares Core U.S. Aggregate Bond ETF (this page) | — | −0.6% | −1.7% | −2.6% | −1.7% | −1.9% | +16.2% | −1.5% | +13.3% | 6.1% | -0.02 | −18.4% | 0.03% | $139B | — |
| IGSB QualifiediShares 1-5 Year Investment Grade Corporate Bond ETF | 5/5 short3/3 longAll-weather | −0.1% | −0.9% | −0.8% | 0.0% | +0.7% | +17.3% | +12.4% | +29.4% | 3.0% | 0.80 | −13.4% | 0.04% | $23B | — |
| HYG QualifiediShares iBoxx $ High Yield Corporate Bond ETF | 3/5 short3/3 long | −1.9% | −2.1% | −1.8% | −0.4% | +0.7% | +27.5% | +16.8% | +49.5% | 7.5% | 0.45 | −22.0% | 0.49% | $17B | — |
| BSV QualifiedVanguard Short-Term Bond ETF | 5/5 short2/3 long | +0.1% | −0.4% | −0.5% | +0.1% | +0.7% | +14.1% | +8.8% | +20.5% | 2.8% | 0.63 | −8.5% | 0.03% | $70B | — |
| BNDX QualifiedVanguard Total International Bond ETF | 5/5 short2/3 long | 0.0% | −1.0% | −1.2% | −0.7% | −1.4% | +13.4% | +0.8% | +15.0% | 4.9% | 0.06 | −16.2% | 0.07% | $122B | — |
| IGIB BondsiShares 5-10 Year Investment Grade Corporate Bond ETF | 0/5 short3/3 long | −1.0% | −2.8% | −3.7% | −2.8% | −2.7% | +21.9% | +3.9% | +28.8% | 6.6% | 0.15 | −20.6% | 0.04% | $19B | — |
| SPBO BondsState Street SPDR Portfolio Corporate Bond ETF | 0/5 short3/3 long | −1.0% | −1.9% | −2.8% | −1.7% | −2.2% | +20.5% | +0.4% | +25.1% | 7.2% | 0.05 | −22.0% | 0.03% | $2.1B | — |
| USIG BondsiShares Broad USD Investment Grade Corporate Bond ETF | 0/5 short3/3 long | −0.9% | −2.2% | −3.0% | −2.1% | −2.5% | +19.7% | +0.3% | +23.5% | 6.8% | 0.04 | −21.4% | 0.04% | $18B | — |
| FBND IndustrialsFidelity Total Bond ETF | 0/5 short3/3 long | −0.9% | −2.0% | −2.8% | −1.7% | −1.9% | +17.8% | +1.5% | +21.9% | 6.0% | 0.08 | −17.3% | 0.36% | $28B | — |
| BOND BondsPIMCO Active Bond Exchange-Traded Fund | 0/5 short3/3 long | −0.9% | −2.4% | −3.1% | −1.9% | −1.9% | +19.5% | −0.3% | +19.3% | 5.9% | 0.02 | −19.7% | 0.56% | $8.5B | — |
| IUSB BondsiShares Core Universal USD Bond ETF | 0/5 short3/3 long | −0.7% | −1.7% | −2.4% | −1.5% | −1.6% | +17.5% | +0.2% | +16.9% | 5.9% | 0.04 | −17.9% | 0.06% | $49B | — |
| BIV BondsVanguard Intermediate-Term Bond ETF | 0/5 short3/3 long | −0.7% | −2.2% | −3.3% | −2.6% | −2.7% | +16.8% | −0.7% | +15.7% | 6.4% | 0.01 | −18.9% | 0.03% | $50B | — |
| TIP BondsiShares TIPS Bond ETF | 2/5 short2/3 long | −0.2% | −1.7% | −2.1% | −0.7% | −1.5% | +13.3% | −0.3% | +23.5% | 6.2% | 0.02 | −14.5% | 0.18% | $14B | — |
| JCPB BondsJPMorgan Core Plus Bond ETF | 1/5 short2/3 long | −0.8% | −1.8% | −2.5% | −1.3% | −1.3% | +19.8% | +3.0% | — | 5.4% | 0.14 | −16.7% | 0.40% | $16B | — |
| GTO BondsInvesco Total Return Bond ETF | 0/5 short2/3 long | −1.0% | −2.1% | −2.8% | −1.7% | −1.7% | +18.3% | −2.1% | +25.8% | 5.7% | -0.05 | −20.6% | 0.35% | $2.5B | — |
| LQD BondsiShares iBoxx $ Investment Grade Corporate Bond ETF | 0/5 short2/3 long | −1.4% | −2.4% | −3.9% | −2.9% | −3.9% | +19.7% | −4.3% | +20.5% | 8.7% | -0.06 | −25.0% | 0.14% | $29B | — |
| MUB BondsiShares National Muni Bond ETF | 0/5 short2/3 long | −0.2% | −3.0% | −3.2% | −2.2% | −1.7% | +10.8% | +1.5% | +17.8% | 4.2% | 0.09 | −13.7% | 0.05% | $51B | — |
| TOTL BondsState Street DoubleLine Total Return Tactical ETF | 0/5 short2/3 long | −0.4% | −2.2% | −3.3% | −2.7% | −2.6% | +17.4% | +0.7% | +12.7% | 5.7% | 0.05 | −16.5% | 0.55% | $3.7B | — |
| VMBS BondsVanguard Mortgage-Backed Securities ETF | 0/5 short2/3 long | −0.8% | −2.6% | −3.3% | −1.9% | −1.5% | +19.2% | +0.3% | +10.6% | 6.9% | 0.04 | −17.3% | 0.03% | $17B | — |
| MBB BondsiShares MBS ETF | 0/5 short2/3 long | −0.8% | −2.6% | −3.5% | −2.1% | −1.9% | +18.5% | −0.8% | +9.5% | 7.0% | 0.01 | −17.7% | 0.04% | $35B | — |
| SGOV BondsiShares 0-3 Month Treasury Bond ETF | 5/5 short1/3 long | +0.3% | +0.6% | +1.5% | +2.6% | +3.4% | +13.8% | +20.3% | — | 0.3% | 13.25 | −0.3% | 0.09% | $116B | — |
| SCHZ BondsSchwab U.S. Aggregate Bond ETF | 0/5 short1/3 long | −0.6% | −1.7% | −2.6% | −1.6% | −1.9% | +16.2% | −1.6% | +15.0% | 6.1% | -0.02 | −18.7% | 0.03% | $11B | — |
| BLV BondsVanguard Long-Term Bond ETF | 0/5 short1/3 long | −1.8% | −3.2% | −5.3% | −4.1% | −6.8% | +16.7% | −21.1% | +1.8% | 12.9% | -0.30 | −38.3% | 0.03% | $7.8B | — |
| CGCP BondsCapital Group Core Plus Income ETF | 0/5 short1/3 long | −1.1% | −2.2% | −3.0% | −2.1% | −2.0% | +18.5% | — | — | — | — | −15.1% | 0.34% | $8.4B | — |
| DFCF BondsDimensional - Core Fixed Income ETF | 0/5 short1/3 long | −0.7% | −2.1% | −2.9% | −1.9% | −2.1% | +17.2% | — | — | — | — | −19.6% | 0.18% | $12B | — |
| BND BondsVanguard Total Bond Market ETF | 0/5 short0/3 long | −0.6% | −2.0% | −2.8% | −1.8% | −2.1% | +15.7% | −1.8% | +13.2% | 6.1% | -0.03 | −18.6% | 0.03% | $389B | — |
| SPAB BondsState Street SPDR Portfolio Aggregate Bond ETF | 0/5 short0/3 long | −0.7% | −1.8% | −2.6% | −1.6% | −1.9% | +16.1% | −1.6% | +13.1% | 6.0% | -0.02 | −18.5% | 0.03% | $10B | — |
| GOVT BondsiShares U.S. Treasury Bond ETF | 0/5 short0/3 long | −0.2% | −1.3% | −2.2% | −1.5% | −1.8% | +12.7% | −3.5% | +7.1% | 6.0% | -0.09 | −19.1% | 0.05% | $42B | — |
| BKAG BondsBNY Mellon Core Bond ETF | 0/5 short0/3 long | −0.6% | −1.7% | −2.5% | −1.8% | −1.9% | +16.1% | −1.8% | — | 6.1% | -0.03 | −18.5% | 0.00% | $1.5B | — |
How did AGG do year by year?
This table shows each investment's total return in every full calendar year since 2004, along with where AGG ranked among its popular alternatives each year. Annual results reveal how consistently each one kept pace with AGG and how far its good and bad years diverged, detail that multiyear averages tend to smooth over.
Note: AGG began trading on September 29, 2003, so the table starts with 2004, its first full calendar year, and cannot show how it fared during the dot-com bust.
- AGG finished ahead of the S&P 500 in five of its 22 full calendar years, and behind it in each of the last three.
- Among its popular alternatives, JCPB came out ahead of AGG most often, in five of the six years both traded.
- Ranked against its popular alternatives each year, AGG finished in the top quarter in one of 18 years and in the bottom quarter in three. In 2025, it ranked 16 of 26.
Newest year first. Green marks a year in which the fund came out ahead of AGG; gray means the two finished within a fraction of a point. The rank row places AGG among the alternatives that traded the full year; dark green is the top quarter and red the bottom quarter.
| Investment | Years ahead of AGG | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| AGG This pageiShares Core U.S. Aggregate Bond ETF | — | +7.2% | +1.3% | +5.7% | −13.0% | −1.8% | +7.5% | +8.5% | +0.1% | +3.6% | +2.4% | +0.5% | +6.0% | −2.0% | +3.8% | +7.7% | +6.3% | +3.0% | +7.9% | +6.6% | +3.9% | +2.3% | +3.8% |
| Rank among alternatives | Top quarter in 1 of 18 | 16 of 26 | 22 of 26 | 16 of 26 | 13 of 26 | 20 of 25 | 14 of 24 | 14 of 23 | 10 of 23 | 13 of 23 | 14 of 22 | 12 of 21 | 11 of 19 | 9 of 18 | 10 of 17 | 8 of 15 | 7 of 14 | 11 of 13 | 3 of 13 | — | — | — | — |
| SPY S&P 500State Street SPDR S&P 500 ETF | 17 of 22 | +17.7% | +24.9% | +26.2% | −18.2% | +28.7% | +18.3% | +31.2% | −4.6% | +21.7% | +12.0% | +1.2% | +13.5% | +32.3% | +16.0% | +1.9% | +15.1% | +26.4% | −36.8% | +5.1% | +15.9% | +4.8% | +10.7% |
| IGSB iShares 1-5 Year Investment Grade Corporate Bond ETF | 7 of 18 | +7.0% | +5.0% | +6.4% | −5.7% | −0.6% | +5.4% | +7.1% | +1.3% | +1.3% | +1.8% | +0.6% | +0.7% | +1.1% | +2.9% | +1.8% | +2.9% | +7.1% | +3.8% | — | — | — | — |
| HYG iShares iBoxx $ High Yield Corporate Bond ETF | 12 of 18 | +8.6% | +8.0% | +11.6% | −11.0% | +3.8% | +4.5% | +14.1% | −2.0% | +6.1% | +13.4% | −5.0% | +1.9% | +5.7% | +11.7% | +6.7% | +11.9% | +28.5% | −17.6% | — | — | — | — |
| BSV Vanguard Short-Term Bond ETF | 6 of 18 | +6.0% | +3.8% | +4.9% | −5.5% | −1.1% | +4.7% | +5.0% | +1.3% | +1.2% | +1.3% | +0.9% | +1.3% | +0.1% | +2.0% | +2.9% | +3.9% | +1.5% | +8.5% | — | — | — | — |
| BNDX Vanguard Total International Bond ETF | 6 of 12 | +2.9% | +3.6% | +8.8% | −12.8% | −2.3% | +4.6% | +7.8% | +2.8% | +2.4% | +4.6% | +1.2% | +8.8% | — | — | — | — | — | — | — | — | — | — |
| IGIB iShares 5-10 Year Investment Grade Corporate Bond ETF | 9 of 18 | +9.6% | +3.5% | +9.2% | −14.0% | −1.7% | +9.7% | +14.6% | −0.7% | +3.5% | +3.3% | +0.6% | +3.9% | −0.4% | +7.2% | +5.8% | +6.8% | +12.7% | −0.7% | — | — | — | — |
| SPBO State Street SPDR Portfolio Corporate Bond ETF | 9 of 14 | +7.8% | +2.6% | +8.8% | −15.7% | −1.4% | +10.3% | +14.7% | −1.8% | +5.4% | +5.0% | −1.5% | +8.2% | −1.5% | +8.3% | — | — | — | — | — | — | — | — |
| USIG iShares Broad USD Investment Grade Corporate Bond ETF | 12 of 18 | +7.9% | +2.6% | +8.7% | −15.3% | −1.3% | +9.4% | +14.0% | −2.2% | +5.7% | +5.6% | −1.5% | +8.2% | −2.2% | +7.6% | +9.2% | +8.4% | +11.1% | +0.2% | — | — | — | — |
| FBND Fidelity Total Bond ETF | 6 of 11 | +7.6% | +2.1% | +6.8% | −12.5% | −0.4% | +9.4% | +9.8% | −0.6% | +3.5% | +6.7% | −1.0% | — | — | — | — | — | — | — | — | — | — | — |
| BOND PIMCO Active Bond Exchange-Traded Fund | 8 of 13 | +8.4% | +2.8% | +6.5% | −14.6% | −0.8% | +7.8% | +8.5% | +0.4% | +4.8% | +2.8% | +1.2% | +6.6% | −1.3% | — | — | — | — | — | — | — | — | — |
| IUSB iShares Core Universal USD Bond ETF | 4 of 11 | +7.4% | +2.1% | +6.2% | −13.0% | −1.3% | +7.6% | +9.1% | −0.3% | +3.8% | +4.0% | +0.4% | — | — | — | — | — | — | — | — | — | — | — |
| BIV Vanguard Intermediate-Term Bond ETF | 9 of 18 | +8.5% | +1.6% | +6.1% | −13.2% | −2.4% | +9.7% | +10.3% | −0.2% | +3.6% | +2.3% | +1.0% | +6.7% | −3.6% | +6.7% | +11.1% | +9.1% | +3.9% | +7.8% | — | — | — | — |
| TIP iShares TIPS Bond ETF | 9 of 22 | +6.8% | +1.7% | +3.8% | −12.3% | +5.7% | +10.8% | +8.4% | −1.4% | +2.9% | +4.7% | −1.8% | +3.6% | −8.5% | +6.4% | +13.3% | +6.1% | +8.9% | +0.1% | +12.0% | +0.3% | +2.5% | +8.3% |
| JCPB JPMorgan Core Plus Bond ETF | 5 of 6 | +8.0% | +2.9% | +7.1% | −12.9% | −0.5% | +9.2% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| GTO Invesco Total Return Bond ETF | 5 of 11 | +7.2% | +2.6% | +6.0% | −14.8% | −0.4% | +10.8% | +11.7% | −0.8% | +7.4% | — | — | — | — | −50.0% | −14.3% | — | — | — | — | — | — | — |
| LQD iShares iBoxx $ Investment Grade Corporate Bond ETF | 12 of 22 | +7.9% | +0.9% | +9.4% | −17.9% | −1.8% | +11.0% | +17.4% | −3.8% | +7.0% | +6.2% | −1.3% | +8.2% | −2.0% | +10.6% | +9.8% | +9.3% | +8.4% | +2.4% | +3.7% | +4.2% | +1.1% | +5.7% |
| MUB iShares National Muni Bond ETF | 6 of 18 | +3.8% | +1.3% | +5.6% | −7.3% | +1.0% | +5.1% | +7.0% | +0.9% | +4.7% | −0.2% | +2.3% | +6.4% | −6.2% | +2.2% | +9.2% | −3.5% | +3.2% | −2.1% | — | — | — | — |
| TOTL State Street DoubleLine Total Return Tactical ETF | 4 of 10 | +7.7% | +3.1% | +5.6% | −11.6% | −1.0% | +3.6% | +6.9% | +0.8% | +3.5% | +2.8% | — | — | — | — | — | — | — | — | — | — | — | — |
| VMBS Vanguard Mortgage-Backed Securities ETF | 5 of 16 | +8.4% | +1.7% | +5.3% | −11.8% | −1.3% | +3.8% | +6.2% | +0.9% | +2.5% | +1.3% | +1.6% | +5.9% | −1.3% | +2.2% | +6.0% | +5.5% | — | — | — | — | — | — |
| MBB iShares MBS ETF | 5 of 18 | +8.4% | +1.3% | +5.0% | −11.7% | −1.6% | +4.1% | +6.2% | +0.8% | +2.5% | +1.3% | +1.1% | +6.4% | −1.9% | +2.0% | +5.9% | +5.6% | +4.7% | +7.8% | — | — | — | — |
| SGOV iShares 0-3 Month Treasury Bond ETF | 3 of 5 | +4.2% | +5.3% | +5.1% | +1.6% | +0.1% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| SCHZ Schwab U.S. Aggregate Bond ETF | 1 of 14 | +7.2% | +1.3% | +5.6% | −13.2% | −1.7% | +7.4% | +8.7% | −0.1% | +5.4% | +2.2% | +0.4% | +6.3% | −2.0% | +3.4% | — | — | — | — | — | — | — | — |
| BLV Vanguard Long-Term Bond ETF | 10 of 18 | +6.4% | −3.7% | +7.4% | −27.0% | −2.9% | +15.8% | +19.0% | −4.2% | +10.7% | +6.8% | −4.0% | +20.3% | −9.0% | +8.0% | +22.9% | +10.0% | 0.0% | +10.3% | — | — | — | — |
| DFCF Dimensional - Core Fixed Income ETF | 3 of 4 | +7.9% | +1.8% | +7.0% | −14.5% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| BND Vanguard Total Bond Market ETF | 1 of 18 | +7.1% | +1.4% | +5.7% | −13.1% | −1.9% | +7.7% | +8.8% | −0.1% | +3.6% | +2.5% | +0.6% | +5.8% | −2.1% | +3.9% | +7.9% | +6.2% | +3.6% | +6.9% | — | — | — | — |
| GOVT iShares U.S. Treasury Bond ETF | 2 of 13 | +3.8% | +3.0% | +4.2% | −13.4% | −1.1% | +7.3% | +7.3% | +0.3% | +2.2% | +0.8% | +0.9% | +4.7% | −2.5% | — | — | — | — | — | — | — | — | — |
Risk and diversification
How AGG has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.
What were AGG's worst declines?
A drawdown is the decline from a peak to the lowest point before a new high. This section presents AGG's four deepest drawdowns since it began trading in 2003, alongside the S&P 500's return over the same dates, and how long each took to recover. Together, these figures show how much an investor could have lost and how long it took to get back to even.
Note: AGG began trading on September 29, 2003, so this list cannot include the dot-com bust. The crash tests on this page show how older funds and the S&P 500 fared through those years.
- Not every decline was the market's doing: AGG fell 18.4% from August 2020 to October 2022, while the S&P 500 rose 14.4%.
- In two of AGG's four worst declines, it fell less than the S&P 500 did over the same dates.
- None of these declines kept AGG below its old high for long; the longest climb back took eight months.
Green means AGG fell less than the S&P 500 over the same dates. Based on daily closing prices with dividends reinvested.
| During | AGG fell | S&P 500, same dates | Peak | Low | Time to the low | Back at the peak | Time to recover |
|---|---|---|---|---|---|---|---|
| 2022 bear market | −18.4% | +14.4% | Aug 2020 | Oct 2022 | 2.2 years | Not yet | — |
| 2008 financial crisis | −12.8% | −27.8% | Sep 2008 | Oct 2008 | 1 month | Dec 2008 | 2 months |
| Covid crash | −9.6% | −19.3% | Mar 2020 | Mar 2020 | Under a month | May 2020 | 2 months |
| No named crash | −5.1% | +4.4% | May 2013 | Sep 2013 | 4 months | May 2014 | 8 months |
How did AGG do in stock market crashes?
This section measures how far AGG, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000. A smaller decline means an investment held up better, and comparing results across crashes shows whether that resilience was consistent or a one-off.
Note: AGG began trading on September 29, 2003, so its row reads "Not yet trading" for the dot-com bust. The older alternatives and the S&P 500 show how those crashes played out.
- AGG fell less than the S&P 500 in all nine crashes it has traded through. The clearest case was the 2008 financial crisis, when AGG fell 12.8% and the S&P 500 fell 55.2%.
- Among its popular alternatives, BSV held up best, falling less than AGG in six of the nine crashes they both traded through.
Newest crash first. Each figure is the fund's deepest fall within the crash window; green means a smaller fall than AGG.
| Investment | Held up better | 2023 regional bank crisisMar 2023 | 2022 bear marketJan 2022 | Covid crashFeb 2020 | Late-2018 sell-offSep 2018 | February 2018 volatility shockFeb 2018 | 2015 China and oil sell-offAug 2015 | 2011 euro debt crisisJul 2011 | 2010 flash crashMay 2010 | 2008 financial crisisOct 2007 | Dot-com bustMar 2000 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| AGG This pageiShares Core U.S. Aggregate Bond ETF | — | 0.0% | −14.5% | −9.6% | −1.1% | −0.8% | −1.5% | −1.3% | −0.4% | −12.8% | Not yet trading |
| SPY S&P 500State Street SPDR S&P 500 ETF | 0 of 9 | −3.4% | −24.5% | −33.7% | −19.3% | −6.5% | −12.8% | −17.9% | −1.5% | −55.2% | −47.5% |
| IGSB iShares 1-5 Year Investment Grade Corporate Bond ETF | 5 of 9 | 0.0% | −7.8% | −13.4% | −0.3% | −0.1% | −0.6% | −1.3% | −0.7% | −11.5% | — |
| HYG iShares iBoxx $ High Yield Corporate Bond ETF | 0 of 9 | −1.1% | −15.3% | −22.0% | −6.4% | −1.5% | −10.5% | −9.8% | 0.0% | −34.2% | — |
| BSV Vanguard Short-Term Bond ETF | 6 of 9 | 0.0% | −6.9% | −4.7% | −0.3% | −0.2% | −1.0% | −0.5% | −0.1% | −7.0% | — |
| BNDX Vanguard Total International Bond ETF | 3 of 6 | 0.0% | −13.7% | −5.9% | −0.8% | −0.2% | −1.1% | — | — | — | — |
| IGIB iShares 5-10 Year Investment Grade Corporate Bond ETF | 0 of 9 | 0.0% | −17.3% | −16.2% | −1.4% | −0.5% | −1.4% | −1.8% | −0.7% | −14.5% | — |
| SPBO State Street SPDR Portfolio Corporate Bond ETF | 0 of 7 | 0.0% | −18.6% | −20.0% | −1.9% | −0.8% | −2.3% | −1.8% | — | — | — |
| USIG iShares Broad USD Investment Grade Corporate Bond ETF | 0 of 9 | −0.1% | −18.1% | −18.9% | −1.9% | −1.0% | −2.1% | −2.4% | −0.7% | −22.2% | — |
| FBND Fidelity Total Bond ETF | 0 of 6 | 0.0% | −14.4% | −16.1% | −1.1% | −1.4% | −3.2% | — | — | — | — |
| BOND PIMCO Active Bond Exchange-Traded Fund | 0 of 6 | 0.0% | −16.5% | −10.9% | −1.1% | −0.7% | −1.8% | — | — | — | — |
| IUSB iShares Core Universal USD Bond ETF | 0 of 6 | 0.0% | −14.8% | −9.9% | −1.1% | −0.8% | −1.7% | — | — | — | — |
| BIV Vanguard Intermediate-Term Bond ETF | 0 of 9 | 0.0% | −15.3% | −9.2% | −1.0% | −0.7% | −2.3% | −1.6% | 0.0% | −13.6% | — |
| TIP iShares TIPS Bond ETF | 0 of 9 | 0.0% | −14.3% | −11.2% | −2.0% | −1.1% | −2.5% | −3.8% | −0.2% | −14.4% | — |
| JCPB JPMorgan Core Plus Bond ETF | 1 of 3 | 0.0% | −14.3% | −6.1% | — | — | — | — | — | — | — |
| GTO Invesco Total Return Bond ETF | 1 of 8 | 0.0% | −17.2% | −11.3% | −2.8% | −0.9% | 0.0% | −31.8% | −5.3% | — | — |
| LQD iShares iBoxx $ Investment Grade Corporate Bond ETF | 0 of 9 | −0.1% | −21.3% | −21.8% | −2.6% | −1.2% | −2.7% | −3.2% | 0.0% | −21.5% | — |
| MUB iShares National Muni Bond ETF | 3 of 9 | 0.0% | −10.6% | −13.7% | −1.4% | −0.2% | −0.8% | −1.4% | −0.1% | −13.9% | — |
| TOTL State Street DoubleLine Total Return Tactical ETF | 2 of 6 | 0.0% | −13.2% | −7.3% | −0.7% | −0.6% | −1.3% | — | — | — | — |
| VMBS Vanguard Mortgage-Backed Securities ETF | 2 of 8 | 0.0% | −14.4% | −5.1% | −1.1% | −0.6% | −0.9% | −1.1% | −5.1% | — | — |
| MBB iShares MBS ETF | 3 of 9 | 0.0% | −14.4% | −4.3% | −1.1% | −0.6% | −1.0% | −0.8% | 0.0% | −3.8% | — |
| SGOV iShares 0-3 Month Treasury Bond ETF | 1 of 2 | 0.0% | 0.0% | — | — | — | — | — | — | — | — |
| SCHZ Schwab U.S. Aggregate Bond ETF | 0 of 7 | 0.0% | −14.6% | −10.3% | −1.1% | −0.7% | −1.6% | −1.4% | — | — | — |
| BLV Vanguard Long-Term Bond ETF | 0 of 9 | 0.0% | −28.5% | −20.0% | −4.0% | −2.4% | −3.5% | −4.3% | −1.3% | −12.7% | — |
| DFCF Dimensional - Core Fixed Income ETF | 0 of 2 | 0.0% | −17.2% | — | — | — | — | — | — | — | — |
| BND Vanguard Total Bond Market ETF | 2 of 9 | 0.0% | −14.6% | −8.7% | −1.1% | −0.9% | −1.5% | −1.1% | −0.2% | −9.3% | — |
| GOVT iShares U.S. Treasury Bond ETF | 3 of 6 | 0.0% | −13.0% | −4.6% | −0.9% | −0.3% | −2.1% | — | — | — | — |
How closely does AGG move with the S&P 500?
Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell. An investment that captures more of the gains than the losses has compounded ahead of the market over time. This section compares AGG with its popular alternatives on both measures, and on beta (how strongly each has moved with the market), over the past 10 years.
- Over the past 10 years, AGG captured 12% of the S&P 500's gains in rising months and 17% of its losses in falling months, with a beta of 0.14. Its share of the market's losses was slightly larger than its share of the gains.
- 13 of the 22 popular alternatives had a higher capture ratio (upside capture divided by downside capture) than AGG's 0.71, led by BSV, IGSB and TIP.
- IGSB took just 8% of the S&P 500's losses, against 17% for AGG, while still keeping 13% of its gains.
Monthly total returns over the past 10 years, measured against SPY. 100% capture or a beta of 1.00 means moving in line with the S&P 500. Green marks a better figure than AGG's: more upside, less downside or a higher capture ratio. Sorted by capture ratio.
| Investment | Upside capture | Downside capture | Capture ratio | Beta |
|---|---|---|---|---|
| AGG This pageiShares Core U.S. Aggregate Bond ETF | 12% | 17% | 0.71 | 0.14 |
| BSV Vanguard Short-Term Bond ETF | 7% | 3% | 2.75 | 0.04 |
| IGSB iShares 1-5 Year Investment Grade Corporate Bond ETF | 13% | 8% | 1.55 | 0.11 |
| TIP iShares TIPS Bond ETF | 15% | 17% | 0.87 | 0.18 |
| HYG iShares iBoxx $ High Yield Corporate Bond ETF | 34% | 40% | 0.84 | 0.39 |
| BNDX Vanguard Total International Bond ETF | 11% | 13% | 0.83 | 0.14 |
| FBND Fidelity Total Bond ETF | 17% | 21% | 0.80 | 0.18 |
| GTO Invesco Total Return Bond ETF | 19% | 24% | 0.80 | 0.22 |
| IGIB iShares 5-10 Year Investment Grade Corporate Bond ETF | 22% | 29% | 0.78 | 0.27 |
| MUB iShares National Muni Bond ETF | 14% | 18% | 0.76 | 0.14 |
| IUSB iShares Core Universal USD Bond ETF | 15% | 20% | 0.74 | 0.16 |
| BIV Vanguard Intermediate-Term Bond ETF | 13% | 18% | 0.74 | 0.15 |
| BOND PIMCO Active Bond Exchange-Traded Fund | 16% | 22% | 0.73 | 0.19 |
| SPBO State Street SPDR Portfolio Corporate Bond ETF | 22% | 31% | 0.72 | 0.27 |
| USIG iShares Broad USD Investment Grade Corporate Bond ETF | 22% | 31% | 0.71 | 0.27 |
| SCHZ Schwab U.S. Aggregate Bond ETF | 14% | 20% | 0.71 | 0.16 |
| GOVT iShares U.S. Treasury Bond ETF | 6% | 8% | 0.71 | 0.06 |
| TOTL State Street DoubleLine Total Return Tactical ETF | 13% | 18% | 0.69 | 0.15 |
| BND Vanguard Total Bond Market ETF | 13% | 19% | 0.69 | 0.15 |
| LQD iShares iBoxx $ Investment Grade Corporate Bond ETF | 25% | 39% | 0.64 | 0.33 |
| VMBS Vanguard Mortgage-Backed Securities ETF | 13% | 20% | 0.64 | 0.13 |
| MBB iShares MBS ETF | 13% | 21% | 0.62 | 0.14 |
| BLV Vanguard Long-Term Bond ETF | 21% | 45% | 0.48 | 0.32 |
What diversifies AGG?
Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions). This section lists large ETFs and stocks whose returns have had a low correlation with AGG's. Because such investments tend not to fall at the same time, pairing AGG with them can reduce a portfolio's overall swings.
- MPC made money in three of the three calendar years in which AGG lost money.
- Among large ETFs, DXJ, EMLP and HDV have moved largely independently of AGG over the past 5 years, with correlations of 0.49 or lower, and each still earned a positive 5-year return.
- Moving a fifth of the money in AGG into DXJ would have cut the portfolio's volatility by 3% over the past 5 years and raised its annual return (-0.6% for AGG alone, +4.5% for the mix).
Only ETFs with at least $1.0B in assets and stocks worth at least $10B, with a correlation below 0.5 over the past 5 years and a positive return, are included, ranked by Sharpe ratio; funds that hold the same thing are shown once. The year columns are the years in which AGG lost money. The last two columns show a portfolio that is 80% AGG and 20% the other investment, rebalanced monthly.
ETFs
| Investment | Correlation | 5Y return | Sharpe | 2022 | 2021 | 2013 | 80/20 mix volatility | 80/20 mix annual return |
|---|---|---|---|---|---|---|---|---|
| AGG iShares Core U.S. Aggregate Bond ETF (this page) | 1.00 | −1.5% | -0.02 | −13.0% | −1.8% | −2.0% | 6.6% | −0.6% |
| DXJ InternationalWisdomTree Japan Hedged Equity Fund | 0.23 | +225% | 1.34 | +6.0% | +18.0% | +41.3% | 6.3% | +4.5% |
| EMLP Broad MarketFirst Trust North American Energy Infrastructure Fund | 0.48 | +101% | 1.04 | +10.4% | +23.1% | +16.6% | 7.1% | +2.5% |
| HDV Dividend & IncomeiShares Core High Dividend ETF | 0.49 | +83.3% | 1.00 | +7.1% | +19.6% | +23.8% | 7.1% | +1.9% |
| GLD CommoditiesSPDR Gold Shares | 0.41 | +126% | 0.96 | −0.8% | −4.2% | −28.3% | 7.3% | +3.1% |
| SPMO Broad MarketInvesco S&P 500 Momentum ETF | 0.41 | +136% | 0.93 | −10.4% | +22.7% | — | 7.9% | +3.8% |
| XLE EnergyState Street Energy Select Sector SPDR ETF | 0.09 | +177% | 0.93 | +64.4% | +53.3% | +26.3% | 7.7% | +4.3% |
| AMLP EnergyAlerian MLP ETF | 0.20 | +111% | 0.89 | +25.5% | +39.1% | +18.6% | 7.0% | +3.2% |
| PTLC Broad MarketPacer Trendpilot US Large Cap ETF | 0.46 | +57.4% | 0.83 | −8.6% | +27.0% | — | 6.6% | +1.6% |
Stocks
| Investment | Correlation | 5Y return | Sharpe | 2022 | 2021 | 2013 | 80/20 mix volatility | 80/20 mix annual return |
|---|---|---|---|---|---|---|---|---|
| AGG iShares Core U.S. Aggregate Bond ETF (this page) | 1.00 | −1.5% | -0.02 | −13.0% | −1.8% | −2.0% | 6.6% | −0.6% |
| CAH Medical - DistributionCardinal Health, Inc. | 0.23 | +479% | 1.55 | +54.1% | −0.4% | +66.0% | 8.2% | +6.7% |
| CLS Hardware, Equipment & PartsCelestica Inc. | 0.10 | +3,143% | 1.47 | +1.3% | +37.9% | +27.6% | 13.3% | +18.5% |
| FIX Engineering & ConstructionComfort Systems USA, Inc. | 0.19 | +1,636% | 1.46 | +17.0% | +89.0% | +61.7% | 11.2% | +14.8% |
| MCK Medical - DistributionMcKesson Corporation | 0.10 | +413% | 1.44 | +51.8% | +44.2% | +67.7% | 7.6% | +6.2% |
| MPC Oil & Gas Refining & MarketingMarathon Petroleum Corporation | 0.08 | +690% | 1.41 | +86.6% | +61.0% | +48.6% | 8.7% | +8.6% |
Common questions
What was AGG's worst drawdown?
AGG's deepest decline since it began trading in 2003 was 18.4%, from August 2020 to October 2022. It has not yet climbed back to that peak. Because AGG launched in September 2003, that record does not include the dot-com bust.
What were AGG's best and worst years?
Over 22 full calendar years, AGG's best year was 2019, when it returned 8.5%. Its worst was 2022, with a return of -13.0%.
Is there a better investment than AGG?
Among AGG's popular alternatives, BSV, IGSB and SGOV earned more than AGG with less volatility over the past 5 years. BSV returned 1.7% a year at 2.8% volatility, against a loss of 0.3% a year at 6.1%. Looking beyond its popular alternatives, VTIP (treasury bonds) and SCHO (treasury bonds) earned more than AGG with less volatility over the past 5 years. VTIP returned 2.7% a year at 2.9% volatility, against a loss of 0.3% a year at 6.1%.
Is AGG more volatile than the S&P 500?
No. AGG's volatility over the past 5 years was 6.1%, 36% of the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, AGG's return lands within 6.1% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.
What is AGG's Sharpe ratio?
AGG's Sharpe ratio over the past 5 years was -0.02, against 0.79 for the S&P 500, so AGG earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.
How correlated is AGG with the S&P 500?
Over the past 5 years, AGG's monthly returns had a correlation of 0.62 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They often move together: some diversification next to an index fund, but not a cushion. In the table, the correlation column measures each option against AGG instead: the lower it is, the more that option would diversify a AGG holding.
What are the best alternatives to AGG?
Of the 28 popular alternatives we compared, four outperformed AGG in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: IGSB, HYG and BSV.
Did AGG outperform the S&P 500?
AGG finished ahead of the S&P 500 (SPY) in five of 22 full calendar years. In 2025, it returned +7.2%, against +17.7% for the index.
How did AGG do in stock market crashes?
AGG fell less than the S&P 500 (SPY) in nine of the nine major crashes it has traded through, and further in no. The clearest case was the 2008 financial crisis, when AGG fell 12.8% and the S&P 500 fell 55.2%.
What diversifies AGG?
These had a low correlation with AGG over the past 5 years and still earned a positive 5-year return: among large ETFs, DXJ (correlation 0.23), EMLP (correlation 0.48) and HDV (correlation 0.49); among large stocks, CAH (correlation 0.23), CLS (correlation 0.10) and FIX (correlation 0.19). A correlation near zero means the two have moved largely independently.
How we measure
- Short-term periods are 1M, 3M, 6M, YTD, 1Y; long-term periods are 3Y, 5Y, 10Y. An investment outperformed in a period when its total return, with dividends reinvested, was higher than AGG's. Returns within 0.5 points or 3% of AGG's, whichever is larger, count as a tie.
- "Qualified" means outperforming in at least 3 of 5 short-term periods and 2 of 3 long-term periods. "All-weather" means outperforming in every long-term period and all but one short-term period.
- Popular alternatives are the funds and stocks most often compared with this one. We include only those that trade today, are not leveraged or inverse, and hold at least $200 million.
- Volatility is the annualized standard deviation of daily returns over 5 years, a measure of how much the price typically swings in a year. The Sharpe ratio is the return above cash for each unit of that volatility.
- A decline, or drawdown, runs from a peak to the lowest close before the next high. The worst decline ever uses all the price history we have; comparisons between funds use the past 10 years so that younger funds are judged on the same stretch.
- Sector overlap is the share of assets two funds hold in the same sectors. Correlation and the mixed-portfolio figures use monthly returns.
- Upside and downside capture follow Morningstar's definition: the compound monthly return in the months the S&P 500 rose (or fell), divided by the S&P 500's compound return in those months. Beta measures how strongly monthly returns have moved with the S&P 500. All three use the same window for every investment.
- Figures are computed from daily adjusted prices and update after each trading day. Past performance does not predict future results.
More research
Popular alternatives to AGG
- BSVVanguard Short-Term Bond ETF
- BNDXVanguard Total International Bond ETF
IUSBiShares Core Universal USD Bond ETF
BIVVanguard Intermediate-Term Bond ETF- MUBiShares National Muni Bond ETF
- SGOViShares 0-3 Month Treasury Bond ETF
BNDVanguard Total Bond Market ETF
GOVTiShares U.S. Treasury Bond ETF
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