^FVX vs. VCSH

Last updated Jun 3, 2026

^FVX (Treasury Yield 5 Years) is an index, while VCSH (Vanguard Short-Term Corporate Bond ETF) is Corporate Bonds fund tracking the Barclays Capital U.S. 1-5 Year Corporate Index. Over the past 10 years, ^FVX returned 12.99%/yr vs 2.70%/yr for VCSH. At a correlation of -0.63, they often move in opposite directions.

Performance

^FVX vs. VCSH - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Treasury Yield 5 Years (^FVX) and Vanguard Short-Term Corporate Bond ETF (VCSH). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ^FVX achieves a 12.22% return, which is significantly higher than VCSH's 0.64% return. Over the past 10 years, ^FVX has outperformed VCSH with an annualized return of 12.99%, while VCSH has yielded a comparatively lower 2.70% annualized return.

^FVX

• 1D: -0.22%
• 1M: 3.88%
• YTD: 12.22%
• 6M: 14.16%
• 1Y: 3.98%
• 3Y*: 2.83%
• 5Y*: 37.66%
• 10Y*: 12.99%

VCSH

• 1D: -0.08%
• 1M: 0.20%
• YTD: 0.64%
• 6M: 0.95%
• 1Y: 4.59%
• 3Y*: 5.52%
• 5Y*: 2.32%
• 10Y*: 2.70%

*Multi-year figures are annualized to reflect compound growth (CAGR)

^FVX vs. VCSH - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
^FVX Treasury Yield 5 Years	12.22%	-15.02%	14.06%	-4.00%	216.71%	249.86%	-78.68%	-32.55%	13.78%	14.06%
VCSH Vanguard Short-Term Corporate Bond ETF	0.64%	6.77%	4.91%	6.20%	-5.62%	-0.63%	5.13%	7.02%	0.92%	2.17%

Correlation

The correlation between ^FVX and VCSH is -0.84, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.84
Correlation (3Y) Calculated over the trailing 3-year period	-0.88
Correlation (5Y) Calculated over the trailing 5-year period	-0.83
Correlation (10Y) Calculated over the trailing 10-year period	-0.71
Correlation (All Time) Calculated using the full available price history since Nov 24, 2009	-0.63

Over the past year, the inverse relationship between ^FVX and VCSH has strengthened: their correlation has moved from -0.63 to -0.84, meaning they now move in opposite directions more often than their long-term average.

Return for Risk

^FVX vs. VCSH — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

^FVX

^FVX Risk / Return Rank: 20
^FVX Sharpe Ratio Rank: 19
^FVX Sortino Ratio Rank: 19
^FVX Omega Ratio Rank: 17
^FVX Calmar Ratio Rank: 23
^FVX Martin Ratio Rank: 21

VCSH

VCSH Risk / Return Rank: 74
VCSH Sharpe Ratio Rank: 73
VCSH Sortino Ratio Rank: 84
VCSH Omega Ratio Rank: 79
VCSH Calmar Ratio Rank: 65
VCSH Martin Ratio Rank: 71

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

^FVX vs. VCSH - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Treasury Yield 5 Years (^FVX) and Vanguard Short-Term Corporate Bond ETF (VCSH). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	^FVX	VCSH	Difference
Sharpe ratio Return per unit of total volatility	0.21	2.45	-2.23
Sortino ratio Return per unit of downside risk	0.43	3.85	-3.41
Omega ratio Gain probability vs. loss probability	1.05	1.48	-0.43
Calmar ratio Return relative to maximum drawdown	0.33	3.29	-2.96
Martin ratio Return relative to average drawdown	0.58	13.55	-12.97
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

^FVX vs. VCSH - Sharpe Ratio Comparison

The current ^FVX Sharpe Ratio is 0.21, which is lower than the VCSH Sharpe Ratio of 2.45. The chart below compares the historical Sharpe Ratios of ^FVX and VCSH, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	^FVX	VCSH	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.21	2.45	-2.23
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.98	0.81	+0.17
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.22	0.81	-0.58
Sharpe Ratio (All Time) Calculated using the full available price history	-0.01	1.02	-1.03

Drawdowns

^FVX vs. VCSH - Drawdown Comparison

The maximum ^FVX drawdown since its inception was -97.53%, which is greater than VCSH's maximum drawdown of -12.86%. Use the drawdown chart below to compare losses from any high point for ^FVX and VCSH.

Drawdown Indicators

	^FVX	VCSH	Difference
Max Drawdown Largest peak-to-trough decline	-97.53%	-12.86%	-84.67%
Max Drawdown (1Y) Largest decline over 1 year	-14.88%	-1.40%	-13.48%
Max Drawdown (3Y) Largest decline over 3 years	-31.36%	-1.40%	-29.96%
Max Drawdown (5Y) Largest decline over 5 years	-31.36%	-9.48%	-21.88%
Max Drawdown (10Y) Largest decline over 10 years	-93.69%	-12.86%	-80.83%
Current Drawdown Current decline from peak	-47.10%	-0.32%	-46.78%
Average Drawdown Average peak-to-trough decline	-56.54%	-0.97%	-55.57%
Ulcer Index Depth and duration of drawdowns from previous peaks	8.52%	0.34%	+8.18%

Volatility

^FVX vs. VCSH - Volatility Comparison

Treasury Yield 5 Years (^FVX) has a higher volatility of 5.99% compared to Vanguard Short-Term Corporate Bond ETF (VCSH) at 0.57%. This indicates that ^FVX's price experiences larger fluctuations and is considered to be riskier than VCSH based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	^FVX	VCSH	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.99%	0.57%	+5.42%
Volatility (6M) Calculated over the trailing 6-month period	13.21%	1.38%	+11.83%
Volatility (1Y) Calculated over the trailing 1-year period	18.75%	1.88%	+16.87%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	38.75%	2.88%	+35.87%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	58.61%	3.35%	+55.26%

Frequently Asked Questions

Can I hold both ^FVX and VCSH in my portfolio?

^FVX and VCSH have a correlation of -0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ^FVX or VCSH?

^FVX has higher volatility (5.99%) compared to VCSH (0.57%). In terms of maximum drawdown, ^FVX dropped -97.53% vs VCSH's -12.86%.

Which has better risk-adjusted returns?

VCSH currently has the higher Sharpe Ratio (2.45 vs 0.21), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.