IEI Offers Lower Risk While IGIB Delivers a Higher Yield

IEI Offers Lower Risk While IGIB Delivers a Higher Yield Cory Renauer, The Motley Fool Sat, April 11, 2026 at 2:59 PM EDT 4 min read The iShares 5-10 Year Investment Grade Corporate Bond ETF (NASDAQ:IGIB) stands out for its lower cost and higher yield, while the iShares 3-7 Year Treasury Bond ETF (NASDAQ:IEI) offers lower volatility and a more conservative Treasury-only approach. Both IGIB and IEI are popular bond ETFs from iShares, but they serve different roles. IGIB focuses on intermediate-term investment-grade corporate bonds, while IEI targets U.S. Treasuries with slightly shorter maturities. This comparison highlights the key differences in cost, risk, and portfolio construction for investors considering these two fixed income funds. Snapshot (cost & size) Metric IGIB IEI Issuer IShares IShares Expense ratio 0.04% 0.15% 1-yr return (as of 2026-04-10) 9.12% 4.41% Dividend yield 4.7% 3.6% AUM $17.7 billion $18.8 billion The 1-yr return represents total return over the trailing 12 months. IEI comes with a notably higher expense ratio, costing nearly four times as much as IGIB. IGIB not only looks more affordable, but it also delivers a higher dividend yield, which may appeal to income-focused investors. Performance & risk comparison Metric IGIB IEI Max drawdown (5 y) (20.62%) (13.88%) Growth of $1,000 over 5 years $1,086 $1,025 What's inside IEI holds a concentrated portfolio of just eighty-three U.S. Treasury bonds with maturities between three and seven …