Vanguard Short Duration Tax-Exempt Bond ETF (VSDM) belongs to the Municipal Bonds category. Below you'll find alternative ETFs from the same category, ranked by key criteria, plus funds that investors commonly compare with VSDM. Use the tables to find lower-cost options, better risk-adjusted returns, or a closer substitute for your current allocation.
Cheapest Alternatives to VSDM
VSDM charges 0.12% annually. There are 16 ETFs in the Municipal Bonds category with lower expense ratios, going as low as 0.03%.
| Symbol | Name | Expense Ratio | AUM | Inception | |
|---|---|---|---|---|---|
| Schwab Municipal Bond ETF | 0.03% | 3.93B | Oct 2022 | VSDM vs SCMB | |
| Vanguard Tax-Exempt Bond ETF | 0.03% | 48.80B | Aug 2015 | VSDM vs VTEB | |
| Fidelity Systematic Municipal Bond Index ETF | 0.05% | 183.09M | Jul 2019 | VSDM vs FMUN | |
| Northern Trust Intermediate Tax-Exempt Bond ETF | 0.05% | 169.01M | Aug 2025 | VSDM vs TAXI | |
| Northern Trust Short-Term Tax-Exempt Bond ETF | 0.05% | 130.20M | Aug 2025 | VSDM vs TAXS |
Best Risk-Adjusted Alternatives to VSDM
VSDM has a PortfoliosLab risk / return rank of 81. There are 30 ETFs in the Municipal Bonds category with higher risk-adjusted ranks, going as high as 97.
| Symbol | Name | Risk / Return Rank | AUM | Inception | |
|---|---|---|---|---|---|
| State Street My2026 Municipal Bond ETF | 97 | 8.74M | Sep 2024 | VSDM vs MYMF | |
| State Street My2027 Municipal Bond ETF | 97 | 8.63M | Sep 2024 | VSDM vs MYMG | |
| Allspring Ultra Short Municipal ETF | 97 | 30.06M | Jul 2025 | VSDM vs AUSM | |
| First Trust Ultra Short Duration Municipal ETF | 97 | 246.47M | Nov 2018 | VSDM vs FUMB | |
| Goldman Sachs Ultra Short Municipal Income ETF | 97 | 54.13M | Jul 2024 | VSDM vs GUMI |
Top Performing VSDM Alternatives (YTD)
VSDM is at 0.99% YTD. There are 47 ETFs in the Municipal Bonds category with higher YTD returns, going as high as 3.71%.
| Symbol | Name | YTD Return | AUM | Inception | |
|---|---|---|---|---|---|
| X-Square Municipal Income Tax Free ETF | 3.71% | 4.54M | May 2023 | VSDM vs ZTAX | |
| NYLI MacKay Muni Allocation ETF | 2.42% | 28.01M | Dec 2025 | VSDM vs MMMA | |
| Xtrackers Municipal Infrastructure Revenue Bond ET... | 2.38% | 142.95M | Jun 2013 | VSDM vs RVNU | |
| Overlay Shares Municipal Bond ETF | 2.26% | 30.60M | Sep 2019 | VSDM vs OVM | |
| T. Rowe Price High Income Municipal ETF | 2.25% | 26.19M | Nov 2025 | VSDM vs THYM |
Lowest Volatility Alternatives to VSDM
VSDM has 1.40% 1-year volatility. There are 25 ETFs in the Municipal Bonds category with lower 1-year volatility, going as low as 0.54%.
| Symbol | Name | Volatility 1Y | AUM | Inception | |
|---|---|---|---|---|---|
| F/m Ultrashort Tax-Free Municipal ETF | 0.54% | 34.95M | Sep 2025 | VSDM vs ZMUN | |
| State Street My2026 Municipal Bond ETF | 0.69% | 8.74M | Sep 2024 | VSDM vs MYMF | |
| iShares Short-Term California Muni Active ETF | 0.72% | 445.30M | Oct 2007 | VSDM vs CALI | |
| Allspring Ultra Short Municipal ETF | 0.76% | 30.06M | Jul 2025 | VSDM vs AUSM | |
| First Trust Ultra Short Duration Municipal ETF | 0.84% | 246.47M | Nov 2018 | VSDM vs FUMB |
Lowest Drawdown Alternatives to VSDM
VSDM has a 1-year max drawdown of -1.46%. There are 28 ETFs in the Municipal Bonds category with shallower 1-year drawdowns, going as shallow as -0.22%.
| Symbol | Name | Max Drawdown 1Y | AUM | Inception | |
|---|---|---|---|---|---|
| First Trust Ultra Short Duration Municipal ETF | -0.22% | 246.47M | Nov 2018 | VSDM vs FUMB | |
| Invesco BulletShares 2026 Municipal Bond ETF | -0.30% | 270.83M | Sep 2019 | VSDM vs BSMQ | |
| Goldman Sachs Ultra Short Municipal Income ETF | -0.36% | 54.13M | Jul 2024 | VSDM vs GUMI | |
| State Street My2027 Municipal Bond ETF | -0.36% | 8.63M | Sep 2024 | VSDM vs MYMG | |
| iShares iBonds Dec 2026 Term Muni Bond ETF | -0.38% | 576.01M | Apr 2019 | VSDM vs IBMO |
Other ETFs from Vanguard
The 10 most viewed Vanguard ETFs shown here include VOO, VTI, VGT and span 8 categories. AUM among these funds goes as high as $2T.
| Symbol | Name | Category | Risk / Return Rank | YTD Return | AUM | Inception | |
|---|---|---|---|---|---|---|---|
| Vanguard S&P 500 ETF | S&P 500 | 68 | 10.16% | 1.70T | Sep 2010 | VSDM vs VOO | |
| Vanguard Total Stock Market ETF | Large Cap Blend Equities | 67 | 10.49% | 2.30T | May 2001 | VSDM vs VTI | |
| Vanguard Information Technology ETF | Technology Equities | 52 | 20.36% | 169.20B | Mar 2004 | VSDM vs VGT | |
| Vanguard Total International Stock ETF | Global Equities | 71 | 12.75% | 651.00B | Jan 2011 | VSDM vs VXUS | |
| Vanguard Growth ETF | Large Cap Growth Equities | 28 | 5.02% | 378.80B | Jan 2004 | VSDM vs VUG | |
| Vanguard Total World Stock ETF | Global Equities | 70 | 11.15% | 97.00B | Jun 2008 | VSDM vs VT | |
| Vanguard High Dividend Yield ETF | Dividend | 90 | 14.21% | 96.20B | Nov 2006 | VSDM vs VYM | |
| Vanguard Total Bond Market ETF | Total Bond Market | 29 | -0.54% | 398.10B | Apr 2007 | VSDM vs BND | |
| Vanguard Dividend Appreciation ETF | Dividend | 75 | 9.71% | 129.60B | Apr 2006 | VSDM vs VIG | |
| Vanguard Value ETF | Large Cap Value Equities | 93 | 16.37% | 254.20B | Jan 2004 | VSDM vs VTV |
Often Compared With VSDM
Investors most often compare VSDM with VTES, VCRM, MINO. These 20 comparison targets span 10 categories, based on PortfoliosLab usage data.
Compare VSDM with Any Fund or Stock
Compare VSDM with any ETF, mutual fund, or stock using PortfoliosLab's comparison tool.
Pair VSDM with funds that move differently
Vanguard Short Duration Tax-Exempt Bond ETF alternatives help with substitution. Diversifiers are the next step when you want funds with lower historical correlation to VSDM.
Explore VSDM Diversifiers