Vanguard Distilled Optimization 3

The chart shows the growth of an initial investment of $10,000 in Vanguard Distilled Optimization 3, comparing it to the performance of the S&P 500 index or another benchmark. All prices have been adjusted for splits and dividends. The portfolio is rebalanced Every 3 months.

Based on dividend-adjusted daily data since Jun 30, 2022, Vanguard Distilled Optimization 3's average daily return is +0.06%, while the average monthly return is +1.12%. At this rate, an investment would double in approximately 5.2 years.

Historically, 67% of months were positive and 33% were negative. The best month was Nov 2022 with a return of +7.8%, while the worst month was Sep 2022 at -8.6%. The longest winning streak lasted 11 consecutive months, and the longest losing streak was 3 months.

On a daily basis, Vanguard Distilled Optimization 3 closed higher 55% of trading days. The best single day was Apr 9, 2025 with a return of +6.2%, while the worst single day was Apr 4, 2025 at -4.7%.

Vanguard Distilled Optimization 3 has an annualized alpha of 1.31%, beta of 0.70, and R2 of 0.81 versus S&P 500 Index. Calculated based on daily prices since June 30, 2022.

• This portfolio participated in 76.57% of S&P 500 Index downside but only 71.27% of its upside - more exposed to losses than it benefited from rallies.
• Beta of 0.70 indicates this portfolio moves significantly less than S&P 500 Index - a genuinely defensive profile with reduced participation in both market rallies and downturns.

Vanguard Distilled Optimization 3 has an expense ratio of 0.07%, which is considered low. Below, you can find the expense ratios of the portfolio's funds side by side and easily compare their relative costs.

Vanguard Distilled Optimization 3 ranks 19 for risk / return — in the bottom 19% of Portfolios on our site. This means you're taking on significantly more risk than the returns justify. Consider whether the potential upside is worth the volatility, or explore alternatives with better risk / return profiles.

The Sharpe ratio helps investors understand how much return they're getting for the level of risk taken. A higher Sharpe ratio indicates better risk-adjusted performance, meaning more reward for each unit of risk.

The current Vanguard Distilled Optimization 3 Sharpe ratio is 1.29 as of Jun 13, 2026 (the value is recalculated daily), calculated over the past 12 months.

Compared to the broad market, where average Sharpe ratios range from 1.54 to 2.41, this portfolio's current Sharpe ratio places it in the bottom 25%. This suggests weaker risk-adjusted returns than most portfolios, possibly due to lower returns, higher volatility, or both. It may be worth reviewing the allocation. You can use the Portfolio Optimization tool to explore options for improving the Sharpe ratio.

The chart below shows the rolling Sharpe ratio of Vanguard Distilled Optimization 3 compared to the selected benchmark. This view highlights how the investment's risk-adjusted performance has changed over time.

Vanguard Distilled Optimization 3 provided a 2.20% dividend yield over the last twelve months.

The Drawdowns chart displays portfolio losses from any high point along the way. Drawdowns are calculated considering price movements and all distributions paid, if any.

The table below displays the maximum drawdowns of the Vanguard Distilled Optimization 3. A maximum drawdown is a measure of risk, indicating the largest reduction in portfolio value due to a series of losing trades.

The maximum drawdown for the Vanguard Distilled Optimization 3 was 15.35%, occurring on Oct 14, 2022. Recovery took 123 trading sessions.

The current Vanguard Distilled Optimization 3 drawdown is 3.23%.

The chart below shows the rolling one-month volatility.