PortfoliosLab logoPortfoliosLab logo
AMBFX vs. VSMIX
Performance
Return for Risk
Dividends
Drawdowns
Volatility

Performance

AMBFX vs. VSMIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Funds American Balanced Fund® Class F-2 (AMBFX) and Vanguard Short-Term Investment-Grade Fund Investor Shares (VSMIX). The values are adjusted to include any dividend payments, if applicable.

Loading graphics...

AMBFX vs. VSMIX - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
AMBFX
American Funds American Balanced Fund® Class F-2
-2.82%18.67%15.25%13.81%-11.93%16.00%11.06%19.45%-2.69%14.85%
VSMIX
Vanguard Short-Term Investment-Grade Fund Investor Shares
6.62%18.01%24.82%23.14%4.58%36.67%11.14%32.32%-25.45%18.47%

Returns By Period

In the year-to-date period, AMBFX achieves a -2.82% return, which is significantly lower than VSMIX's 6.62% return. Over the past 10 years, AMBFX has underperformed VSMIX with an annualized return of 9.33%, while VSMIX has yielded a comparatively higher 15.58% annualized return.


AMBFX

1D
-0.14%
1M
-6.81%
YTD
-2.82%
6M
0.93%
1Y
15.54%
3Y*
13.72%
5Y*
8.28%
10Y*
9.33%

VSMIX

1D
-1.87%
1M
-10.11%
YTD
6.62%
6M
13.97%
1Y
33.62%
3Y*
24.68%
5Y*
17.55%
10Y*
15.58%
*Multi-year figures are annualized to reflect compound growth (CAGR)

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.


AMBFX vs. VSMIX - Expense Ratio Comparison

AMBFX has a 0.35% expense ratio, which is higher than VSMIX's 0.20% expense ratio.


Return for Risk

AMBFX vs. VSMIX — Risk / Return Rank

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

AMBFX
AMBFX Risk / Return Rank: 8282
Overall Rank
AMBFX Sharpe Ratio Rank: 8080
Sharpe Ratio Rank
AMBFX Sortino Ratio Rank: 8383
Sortino Ratio Rank
AMBFX Omega Ratio Rank: 7878
Omega Ratio Rank
AMBFX Calmar Ratio Rank: 8383
Calmar Ratio Rank
AMBFX Martin Ratio Rank: 8585
Martin Ratio Rank

VSMIX
VSMIX Risk / Return Rank: 7171
Overall Rank
VSMIX Sharpe Ratio Rank: 7373
Sharpe Ratio Rank
VSMIX Sortino Ratio Rank: 7373
Sortino Ratio Rank
VSMIX Omega Ratio Rank: 7070
Omega Ratio Rank
VSMIX Calmar Ratio Rank: 7272
Calmar Ratio Rank
VSMIX Martin Ratio Rank: 6868
Martin Ratio Rank
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.

AMBFX vs. VSMIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Funds American Balanced Fund® Class F-2 (AMBFX) and Vanguard Short-Term Investment-Grade Fund Investor Shares (VSMIX). 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.


AMBFXVSMIXDifference

Sharpe ratio

Return per unit of total volatility

1.45

1.29

+0.16

Sortino ratio

Return per unit of downside risk

2.12

1.80

+0.32

Omega ratio

Gain probability vs. loss probability

1.30

1.26

+0.04

Calmar ratio

Return relative to maximum drawdown

2.03

1.66

+0.37

Martin ratio

Return relative to average drawdown

8.67

6.43

+2.23

AMBFX vs. VSMIX - Sharpe Ratio Comparison

The current AMBFX Sharpe Ratio is 1.45, which is comparable to the VSMIX Sharpe Ratio of 1.29. The chart below compares the historical Sharpe Ratios of AMBFX and VSMIX, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.


Loading graphics...

Sharpe Ratios by Period


AMBFXVSMIXDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

1.45

1.29

+0.16

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.80

0.76

+0.03

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.88

0.59

+0.30

Sharpe Ratio (All Time)

Calculated using the full available price history

0.72

0.45

+0.27

Correlation

The correlation between AMBFX and VSMIX is 0.81, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.


Dividends

AMBFX vs. VSMIX - Dividend Comparison

AMBFX's dividend yield for the trailing twelve months is around 8.75%, more than VSMIX's 8.00% yield.


TTM20252024202320222021202020192018201720162015
AMBFX
American Funds American Balanced Fund® Class F-2
8.75%8.47%7.40%2.20%2.52%4.50%4.56%4.19%6.20%4.85%4.46%5.81%
VSMIX
Vanguard Short-Term Investment-Grade Fund Investor Shares
8.00%8.53%7.40%4.71%9.53%15.84%0.40%2.37%26.83%15.94%1.65%10.91%

Drawdowns

AMBFX vs. VSMIX - Drawdown Comparison

The maximum AMBFX drawdown since its inception was -35.05%, smaller than the maximum VSMIX drawdown of -57.53%. Use the drawdown chart below to compare losses from any high point for AMBFX and VSMIX.


Loading graphics...

Drawdown Indicators


AMBFXVSMIXDifference

Max Drawdown

Largest peak-to-trough decline

-35.05%

-57.53%

+22.48%

Max Drawdown (1Y)

Largest decline over 1 year

-7.34%

-16.58%

+9.24%

Max Drawdown (5Y)

Largest decline over 5 years

-18.65%

-25.26%

+6.61%

Max Drawdown (10Y)

Largest decline over 10 years

-22.31%

-57.53%

+35.22%

Current Drawdown

Current decline from peak

-7.00%

-11.39%

+4.39%

Average Drawdown

Average peak-to-trough decline

-3.61%

-9.58%

+5.97%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.72%

4.49%

-2.77%

Volatility

AMBFX vs. VSMIX - Volatility Comparison

The current volatility for American Funds American Balanced Fund® Class F-2 (AMBFX) is 3.26%, while Vanguard Short-Term Investment-Grade Fund Investor Shares (VSMIX) has a volatility of 8.30%. This indicates that AMBFX experiences smaller price fluctuations and is considered to be less risky than VSMIX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


Loading graphics...

Volatility by Period


AMBFXVSMIXDifference

Volatility (1M)

Calculated over the trailing 1-month period

3.26%

8.30%

-5.04%

Volatility (6M)

Calculated over the trailing 6-month period

6.73%

16.62%

-9.89%

Volatility (1Y)

Calculated over the trailing 1-year period

11.10%

25.78%

-14.68%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

10.42%

23.13%

-12.71%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

10.62%

26.69%

-16.07%