High-yield low-cost ETFs
Query: US-listed ETFs with dividend yield above 4% and assets above 1 billion dollars, compared by expense ratio · data as of 2026-10-06
Screened US-listed ETFs with dividend yield >4% and AUM >$1B (113 names). Delivered a main table ranked by expense ratio ascending (lowest cost first, capped at 45 rows) with symbol, fund name, ETF type/theme, yield, AUM, expense ratio, 1M/6M/1Y returns, % from 52W high, % above 150D SMA and top holdings, plus a secondary theme roll-up showing where the cheapest high-yield ETFs cluster (core IG/Treasury at 3–4 bps vs credit/EM/active sleeves at 0.25–1%+). Includes qualitative commentary flagging artificial yields (return-of-capital/covered-call/crypto funds) and issuer-sourced fees for large funds missing internal fee data. End-of-day data only.
45 US-listed ETFs yield above 4% with more than $1B in assets as of October 6, 2026. Ranked by expense ratio (lowest cost first) — the cheapest cluster is dominated by iShares/SPDR/Vanguard core bond funds at 3–4 bps, while high-yield credit, EM debt and preferred/TIPS funds sit at the pricier end. End-of-day data only.
Overview
Cheapest high-yield large ETFs, ranked by fee
113 US-listed ETFs cleared both hurdles — a trailing distribution yield above 4% and >$1B in assets — and the list is overwhelmingly fixed income. Fee competition in this corner has been relentless: the three mega-issuers (iShares, Vanguard, SPDR) have pushed core Treasury and investment-grade corporate exposure down to 3–4 basis points, so the very top of the table is effectively a cost tie among interchangeable index sleeves that differ only in duration and credit mix. For a yield-focused allocation, that is the good news — the cheapest broad high-yield liquidity you can buy sits at USHY's 8 bps and SHYG's 30 bps.
Cost dispersion widens sharply as you move down the list. High-yield credit, senior loans, EM debt, preferreds and TIPS cluster in the 0.25–0.50% range, and actively managed or niche sleeves (senior loans, CLOs, multisector bond, commodity/MLP structures) run from 0.40% well past 1%. Over a multi-year hold at a 4%+ starting yield, a 50 bp fee gap is a real, compounding drag on total return — so this table is best read as pay-up-per-unit-of-credit-risk, not just as a fee ranking.
Two structural caveats. First, several high headline yields here are artificial: the biggest distribution numbers (KraneShares China Internet, the MLP funds, and especially the options-income and crypto-linked structures) are return-of-capital or covered-call distributions, not durable coupon — the fee ranking tells you nothing about whether that yield repeats. Second, a few very large funds (BNDX, LQD, HYG, EMB, EFV) are shown with issuer-sourced fees, since they sit outside the internal fee table.
The theme roll-up below shows where the cheap yield actually lives: investment-grade and Treasury-adjacent sectors are the low-cost clusters, while anything credit-intensive or actively managed trades at a premium. All figures are end-of-day.
High-Yield, Large ETFs — Lowest Cost First
| Symbol | Fund Name | ETF Type | ETF Theme | Dividend Yield | AUM ($B) | Expense Ratio | 1M Return | 6M Return | 1Y Return | % from 52W High | % above 150D SMA | Top Holdings | Comments |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| VCIT | Vanguard Intermediate-Term Corp | bond | Intermediate Corporate Bond | 4.23% | 68.7258 | 0.04% | -2.42% | -3.08% | -2.31% | -7.76% | -2.78% | — | The flagship cheap core: essentially the fee floor for investment-grade credit risk, and the single largest AUM in the screen. Best used as a low-cost ballast sleeve; it carries more duration/credit sensitivity than the short-dated alternatives lower in the table. |
| IGIB | iShares 5-10 Year Investment Gr | bond | Corporate Bonds | 4.27% | 18.2185 | 0.04% | -2.49% | -2.99% | -2.26% | -7.74% | -2.78% | XTSLA | — |
| USIG | iShares Broad USD Investment Gr | bond | Investment Grade Corporate Bonds | 4.16% | 17.3784 | 0.04% | -2.29% | -2.71% | -2.18% | -7.67% | -2.51% | XTSLA | — |
| IGLB | iShares 10 Year Investment Gra | bond | Investment Grade Corporate Bonds | 4.78% | 2.637 | 0.04% | -4.04% | -5.91% | -6.84% | -13.33% | -5.12% | XTSLA | — |
| BNDX | Vanguard Total International Bo | bond | International Bonds | 4.19% | 122.0321 | 0.07% | -1.02% | -0.79% | -0.79% | -6.13% | -1.19% | — | Enormous asset base for a hedged international bond fund. Currency-hedged exposure means the high yield reflects foreign sovereign and corporate coupons, not FX carry — useful diversification versus a USD-only credit sleeve, but it re-prices with global rate expectations rather than US rates alone. |
| USHY | iShares Broad USD High Yield Co | bond | High Yield Corporate Bonds | 5.93% | 26.8251 | 0.08% | -1.91% | 0.08% | 1.70% | -5.58% | -0.79% | XTSLA | The cheapest way in the entire screen to own broad US high yield. For an investor willing to accept credit risk, this is the highest-yield-per-basis-point core option here; spread compression is the bull case, a default cycle the risk. |
| IBDW | iShares iBonds Dec 2031 Term Co | bond | Corporate Bonds | 4.12% | 2.389 | 0.10% | -1.65% | -1.84% | -0.83% | -6.14% | -1.72% | XTSLA | — |
| DMXF | iShares ESG Advanced MSCI EAFE ETF | country | EAFE ESG | 4.14% | 1.145 | 0.12% | -2.37% | 13.64% | 15.78% | -2.65% | 4.14% | ASML.AS, NOVN.SW, 8306.T, SAP.DE, ALV.DE, SU.PA, CBA.AX, 6857.T, 8035.T, 8316.T | A high-yield outlier among equity ETFs — the yield comes from developed-market value names (banks, energy, insurers), not bonds. Adds equity beta and an FX overlay to what is otherwise a fixed-income table, so it is not a like-for-like swap for a credit fund. |
| LQD | iShares iBoxx $ Investment Grad | bond | Investment Grade Bonds | 4.08% | 29.7827 | 0.14% | -2.75% | -4.08% | -4.08% | -9.55% | -3.48% | XTSLA | The default institutional investment-grade corporate vehicle. Highest liquidity in the screen's credit cohort, which matters if it is used as a trading or collateral sleeve rather than a hold. |
| MTBA | Simplify MBS ETF | bond | Mortgage-Backed Securities | 5.25% | 1.5674 | 0.15% | -2.63% | -2.91% | -1.60% | -7.84% | -2.62% | SBIL | Actively managed agency MBS with a notably higher yield than the index-MBS complex, leaning on prepayment and spread positioning. Fee is well above the passive MBS alternatives — a deliberate bet on active management paying for itself. |
| IGEB | iShares Investment Grade System | bond | Investment Grade Bonds | 4.46% | 1.3633 | 0.18% | -2.23% | -2.67% | -2.21% | -7.95% | -2.51% | XTSLA | — |
| SHYG | iShares 0-5 Year High Yield Cor | bond | High Yield Corporate Short | 5.99% | 7.5844 | 0.30% | -1.19% | 0.97% | 2.63% | -4.71% | -0.05% | XTSLA | Short-duration high yield: meaningfully less rate sensitivity than the longer HY funds but the same credit-spread exposure. Useful if the concern is a backup in Treasury yields rather than rising defaults. |
| IMTM | iShares MSCI Intl Momentum Factor ETF | theme | International Momentum | 4.35% | 4.013 | 0.30% | -1.64% | 10.07% | 16.13% | -2.32% | 3.11% | ASML.AS, RY, HSBA.L, TD, NOVN.SW, 285A.T, 8306.T, ROP.SW, BHP.AX, SHEL.L | — |
| EFV | iShares MSCI EAFE Value ETF | country | Developed Markets Value | 4.63% | 30.1201 | 0.31% | -4.85% | 7.55% | 20.67% | -4.97% | 2.07% | HSBA.L, SHEL.L, NESN.SW, 8306.T, ALV.DE, ROP.SW, 7203.T, NOVN.SW, TTE.PA, BBVA.MC | Large, cheap developed-markets value equity fund with a bond-like yield. Serves as the equity-income diversifier in this list; performance is tied to non-US value cycles and a weaker dollar would help translation. |
| GTO | Invesco Total Return Bond ETF | bond | Total Return Bond | 4.14% | 2.3058 | 0.35% | -2.57% | -2.68% | -1.68% | -6.97% | -2.63% | AGPXX | — |
| HYDB | iShares High Yield Systematic B | bond | High Yield Bonds | 5.97% | 1.6266 | 0.35% | -2.23% | -0.14% | 1.25% | -5.90% | -1.11% | XTSLA | — |
| JCPB | JPMorgan Core Plus Bond ETF | bond | Core Plus Bond | 4.24% | 12.442 | 0.37% | -2.46% | -2.68% | -1.26% | -7.29% | -2.52% | MGMXX | One of the larger actively managed core-plus bond funds, meaning it can reach into credit, securitized and non-US sectors beyond its benchmark. The active flexibility is the pitch, and the fee reflects it. |
| EMB | iShares J.P. Morgan USD Emergin | bond | Emerging Markets Bonds | 4.48% | 14.1626 | 0.39% | -3.25% | -0.65% | 0.60% | -6.95% | -2.55% | XTSLA | Sovereign and quasi-sovereign EM dollar debt — a different risk factor from US high yield, driven by EM spreads, the dollar and global risk appetite. A weaker dollar or falling EM risk premia would be the tailwind. |
| HIMU | iShares High Yield Muni Active | bond | High Yield Municipal Bonds | 4.76% | 2.2514 | 0.39% | -3.90% | -3.50% | -2.03% | -8.83% | -4.46% | MCSXX | High-yield municipal exposure, where the tax-equivalent yield for a top-bracket investor is well above the headline number — the reason to hold munis is after-tax income, not headline yield. Credit risk here is issuer-specific and idiosyncratic. |
| PHYL | PGIM Active High Yield Bond ETF | bond | High Yield Bonds | 5.26% | 1.3012 | 0.39% | -1.89% | 0.03% | 1.41% | -5.85% | -1.06% | PAAA | — |
| FLXR | TCW Flexible Income ETF | bond | Flexible Income Bonds | 5.29% | 3.2102 | 0.40% | -1.65% | -0.31% | 1.28% | -5.28% | -1.00% | TGCXX, TPYTX | — |
| FLHY | Franklin High Yield Corporate E | bond | High Yield Corporate | 5.62% | 1.1644 | 0.40% | -2.01% | 0.20% | 2.43% | -4.82% | -0.83% | INFXX | — |
| BSJQ | Invesco BulletShares 2026 High | bond | High Yield Corporate Bonds | 4.70% | 1.0416 | 0.43% | 0.01% | 0.98% | 2.81% | -2.66% | 0.60% | AGPXX | — |
| MLPX | Global X MLP & Energy Infrastructure ETF | theme | MLP & Energy Infrastructure | 4.23% | 3.5427 | 0.45% | -4.15% | 1.08% | 21.40% | -6.63% | -0.77% | WMB, TRP.TO, ENB.TO, KMI, OKE, TRGP, LNG, MPLX, ET, PPL.TO | — |
| JFLX | JPMorgan Flexible Debt ETF | bond | Flexible Debt | 4.07% | 1.3503 | 0.45% | -1.40% | 0.67% | 1.71% | -3.82% | -0.72% | JIMXX | — |
| XT | iShares Future Exponential Technologies ETF | theme | Exponential Technologies | 6.66% | 4.0737 | 0.46% | 3.80% | 24.28% | 28.53% | 0.00% | 9.17% | MSFT, NVDA, LLY, TSLA, TXN, JNJ, PANW, AMZN, ADI, ABBV | The 6.6% headline is a distribution artifact of the fund's structure, not a durable yield. Treat the yield with heavy skepticism; this is a growth-oriented, thematic equity fund screened in only by its payout rate. |
| JBBB | Janus Henderson B-BBB CLO ETF | bond | CLO | 5.25% | 1.1969 | 0.47% | 0.21% | 4.24% | 4.86% | -1.94% | 1.95% | JAAA | BBB/BB-rated CLO tranches: floating-rate, credit-risk-transfer exposure with a structurally higher yield than similarly-rated corporate bonds. The risk is a spike in loan defaults and downgrades, which can quickly erode CLO tranche NAV. |
| COMT | iShares GSCI Commodity Dynamic Roll Strategy ETF | commodity | Commodity Index | 5.18% | 1.1529 | 0.48% | 3.36% | 7.58% | 50.68% | -2.64% | 9.70% | XTSLA | — |
| HYG | iShares iBoxx $ High Yield Corp | bond | High Yield Corporate Bonds | 5.08% | 16.1063 | 0.49% | -1.95% | -0.15% | 1.38% | -4.93% | -0.98% | XTSLA | The most liquid US high-yield index ETF and a benchmark for the asset class. Nearly 3x the fee of the cheaper broad HY alternative, largely the price of its liquidity and index-brand depth. |
| JPIB | JPMorgan International Bond Opp | bond | International Bonds | 4.12% | 2.0097 | 0.50% | -1.61% | -0.02% | 0.02% | -5.40% | -1.15% | MGMXX | — |
| EWH | iShares MSCI Hong Kong Index Fund | country | Hong Kong | 4.79% | 1.0895 | 0.50% | -6.81% | -5.51% | 5.17% | -11.93% | -4.08% | 1299.HK, 0388.HK, 0001.HK, 2388.HK, 0002.HK, 0669.HK, 0016.HK, 0823.HK, 0006.HK, 0003.HK | Hong Kong equity income with a high headline yield — but this is a concentrated, politically and macro-sensitive single-market bet, not a stable income sleeve. The yield is the compensation for that country risk. |
| BOND | PIMCO Active Bond Exchange-Trad | bond | Active Bond | 4.56% | 8.0392 | 0.54% | -3.32% | -3.60% | -2.11% | -8.41% | -3.33% | PMBS | A long-running actively managed multisector bond fund from a specialist credit manager; the fee buys duration and sector flexibility, including securitized and non-US exposure, that index core funds cannot access. |
| FTCB | First Trust Core Investment Gra | bond | Investment Grade Corporate | 4.86% | 2.459 | 0.56% | -3.52% | -3.83% | -3.01% | -8.61% | -3.71% | MISXX | — |
| EVLN | Eaton Vance Floating-Rate ETF | bond | Floating Rate Bonds | 5.07% | 1.3481 | 0.60% | -0.58% | 3.33% | 4.00% | -2.96% | 1.24% | MVRXX | Floating-rate exposure: coupons reset with short-term rates, so income rises with the policy rate and the fund carries little duration risk. The trade-off is credit risk concentrated in levered corporate borrowers. |
| PYLD | PIMCO Multisector Bond Active E | bond | Multisector Bond | 5.51% | 13.6928 | 0.64% | -2.11% | -0.46% | 0.98% | -6.22% | -1.36% | RZ26 | Large active multisector fund that leans hard into credit and securitized yield for a higher distribution than index core. Attractive income, but the active duration and credit calls are the return driver. |
| BKLN | Invesco Senior Loan ETF | bond | Senior Loan | 5.28% | 7.1544 | 0.65% | 0.12% | 3.29% | 4.42% | -2.56% | 1.97% | IUGXX | The largest senior-loan ETF: a pure floating-rate, low-duration credit play. Income tracks short rates, making it a natural hedge against rising yields, at the cost of credit exposure to below-investment-grade issuers. |
| URA | Global X Uranium ETF | theme | Uranium | 4.99% | 7.0635 | 0.69% | -9.25% | -12.83% | -11.70% | -32.37% | -10.79% | CCO.TO, NXE.TO, OKLO, UEC, KAP, PDN.AX, EFR.TO, XE, LEU | The yield is a red herring — this is a uranium-miner equity fund whose payout is incidental. Included by the screen's yield filter, but it should be assessed as a volatile commodity-equity bet, not income. |
| KWEB | KraneShares CSI China Internet ETF | theme | China Internet | 8.54% | 6.2258 | 0.69% | -5.80% | -12.54% | -38.96% | -42.76% | -9.86% | 0700.HK, 9988.HK, PDD, 3690.HK, 9999.HK, 0992.HK, 2423.HK, 9618.HK, 9961.HK, 9888.HK | The highest headline yield in the table is an exceptional, non-recurring distribution from a China internet equity fund. It has no relation to a sustainable income stream and should be treated as a one-off. |
| SRLN | State Street Blackstone Senior | bond | Senior Loans | 6.06% | 5.2815 | 0.70% | -0.08% | 4.19% | 4.71% | -3.01% | 2.11% | GVMXX | Blackstone-branded senior loans with an actively managed credit-selection overlay; the premium fee over passive loan funds is the bet that active credit picking avoids the worst defaults in a downturn. |
| FTSL | First Trust Senior Loan Fund | bond | Senior Loans | 5.30% | 2.3005 | 0.70% | -0.23% | 2.65% | 3.54% | -3.15% | 1.19% | MISXX | — |
| XOVR | ERShares Private-Public Crossover ETF | other | Private-Public Crossover | 46.51% | 2.0234 | 0.75% | 5.99% | 30.93% | 5.78% | -0.54% | 14.67% | NVDA, GOOGL, META, VEEV, DASH, FTNT, HOOD, ANET, RDDT | A ~46% yield is almost entirely a special/return-of-capital distribution, not income — this is a crossover private/public equity strategy filtered in by an accounting artifact. Ignore the yield as a signal. |
| MLPA | Global X MLP ETF | theme | Energy MLPs | 7.33% | 2.1027 | 0.77% | -4.14% | 5.01% | 23.08% | -5.02% | 1.99% | ET, EPD, MPLX, PAA, WES, SUN, HESM, CQP, USAC, GEL | Energy MLP structure: the high yield is genuine midstream cash flow, but MLPs carry commodity-linked and partnership tax treatment that makes it materially different from holding a bond-like ETF. K-1 reporting applies. |
| ALLW | State Street Bridgewater All Weather ETF | other | All Weather Allocation | 4.46% | 1.5225 | 0.85% | -4.54% | -1.06% | 6.98% | -5.37% | -2.39% | GVMXX, SPYM | — |
| BITO | ProShares Bitcoin ETF | commodity | Bitcoin | 21.32% | 1.6989 | 0.95% | 6.77% | 21.93% | -32.82% | -44.82% | 18.12% | IQMM | A bitcoin futures fund whose yield reflects distribution mechanics of the futures-roll structure, not income. This is a high-volatility crypto exposure, not a yield instrument — the screen's yield column is misleading here. |
| AMLP | Alerian MLP ETF | theme | MLP | 7.62% | 12.1402 | 1.01% | -4.07% | 5.29% | 24.05% | -4.88% | 2.15% | SUN, ET, PAA, WES, MPLX, EPD, HESM, CQP, USAC, GEL | Large, liquid MLP C-corp fund — the tax-simplified alternative to K-1 MLP structures, though its corporate structure layers on an entity-level tax drag. Yield is real energy-infrastructure cash flow. |
Where Cheap High-Yield ETFs Cluster (by Theme)
| ETF Theme | # of Funds | Cheapest Expense Ratio | Avg Expense Ratio | Avg Dividend Yield | Combined AUM ($B) |
|---|---|---|---|---|---|
| Intermediate Corporate Bond | 1 | 0.04% | 0.04% | 4.23% | 68.7 |
| Corporate Bonds | 2 | 0.04% | 0.07% | 4.19% | 20.6 |
| Investment Grade Corporate Bonds | 2 | 0.04% | 0.04% | 4.47% | 20 |
| International Bonds | 2 | 0.07% | 0.29% | 4.16% | 124 |
| High Yield Corporate Bonds | 3 | 0.08% | 0.33% | 5.24% | 44 |
| EAFE ESG | 1 | 0.12% | 0.12% | 4.14% | 1.1 |
| Investment Grade Bonds | 2 | 0.14% | 0.16% | 4.27% | 31.1 |
| Mortgage-Backed Securities | 1 | 0.15% | 0.15% | 5.26% | 1.6 |
| High Yield Corporate Short | 1 | 0.30% | 0.30% | 5.98% | 7.6 |
| International Momentum | 1 | 0.30% | 0.30% | 4.35% | 4 |
| Developed Markets Value | 1 | 0.31% | 0.31% | 4.63% | 30.1 |
| High Yield Bonds | 2 | 0.35% | 0.37% | 5.62% | 2.9 |
| Total Return Bond | 1 | 0.35% | 0.35% | 4.14% | 2.3 |
| Core Plus Bond | 1 | 0.37% | 0.37% | 4.24% | 12.4 |
| Emerging Markets Bonds | 1 | 0.39% | 0.39% | 4.48% | 14.2 |
| High Yield Municipal Bonds | 1 | 0.39% | 0.39% | 4.76% | 2.3 |
| Flexible Income Bonds | 1 | 0.40% | 0.40% | 5.29% | 3.2 |
| High Yield Corporate | 1 | 0.40% | 0.40% | 5.62% | 1.2 |
| MLP & Energy Infrastructure | 1 | 0.45% | 0.45% | 4.23% | 3.5 |
| Flexible Debt | 1 | 0.45% | 0.45% | 4.07% | 1.4 |
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