AOR vs. VBIAX

Last updated Jul 17, 2026

AOR (iShares Core 60/40 Balanced Allocation ETF) and VBIAX (Vanguard Balanced Index Fund Admiral Shares) are both Diversified Portfolio funds - AOR tracks the S&P Target Risk Growth Index while VBIAX tracks the 60% CRSP US Total Market Index / 40% Bloomberg U.S. Aggregate Float Adjusted Index. Both are passively managed. Over the past 10 years, AOR returned 8.17%/yr vs 9.55%/yr for VBIAX. Their correlation of 0.92 suggests significant overlap in exposure. AOR charges 0.15%/yr vs 0.07%/yr for VBIAX.

Performance

AOR vs. VBIAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Core 60/40 Balanced Allocation ETF (AOR) and Vanguard Balanced Index Fund Admiral Shares (VBIAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with AOR having a 7.08% return and VBIAX slightly higher at 7.14%. Over the past 10 years, AOR has underperformed VBIAX with an annualized return of 8.17%, while VBIAX has yielded a comparatively higher 9.55% annualized return.

AOR

• 1D: -0.43%
• 1M: -0.53%
• 6M: 5.22%
• YTD: 7.08%
• 1Y: 15.49%
• 3Y*: 12.81%
• 5Y*: 6.87%
• 10Y*: 8.17%

VBIAX

• 1D: 0.29%
• 1M: 0.35%
• 6M: 5.73%
• YTD: 7.14%
• 1Y: 15.12%
• 3Y*: 13.69%
• 5Y*: 7.49%
• 10Y*: 9.55%

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

AOR vs. VBIAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
AOR iShares Core 60/40 Balanced Allocation ETF	7.08%	16.44%	10.68%	15.75%	-15.64%	11.19%	11.42%	18.91%	-5.82%	15.80%
VBIAX Vanguard Balanced Index Fund Admiral Shares	7.14%	13.61%	14.58%	17.54%	-16.90%	14.21%	16.40%	21.78%	-2.86%	13.89%

Correlation

The correlation between AOR and VBIAX is 0.95 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.95
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (5Y) Calculated over the trailing 5-year period	0.95
Correlation (10Y) Calculated over the trailing 10-year period	0.93
Correlation (All Time) Calculated using the full available price history since Nov 11, 2008	0.92

The correlation between AOR and VBIAX has been stable across timeframes, ranging from 0.92 to 0.95 - a consistent structural relationship.

Return for Risk

AOR vs. VBIAX — Risk / Return Rank

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

AOR

AOR Risk / Return Rank: 65
AOR Sharpe Ratio Rank: 66
AOR Sortino Ratio Rank: 67
AOR Omega Ratio Rank: 67
AOR Calmar Ratio Rank: 58
AOR Martin Ratio Rank: 69

VBIAX

VBIAX Risk / Return Rank: 73
VBIAX Sharpe Ratio Rank: 71
VBIAX Sortino Ratio Rank: 70
VBIAX Omega Ratio Rank: 69
VBIAX Calmar Ratio Rank: 73
VBIAX Martin Ratio Rank: 83

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.

AOR vs. VBIAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core 60/40 Balanced Allocation ETF (AOR) and Vanguard Balanced Index Fund Admiral Shares (VBIAX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	AOR	VBIAX	Difference
Sharpe ratio: Return per unit of total volatility	1.73	1.86	-0.13
Sortino ratio: Return per unit of downside risk	2.46	2.63	-0.17
Omega ratio: Gain probability vs. loss probability	1.32	1.34	-0.02
Calmar ratio: Return relative to maximum drawdown	2.34	2.67	-0.33
Martin ratio: Return relative to average drawdown	9.97	11.68	-1.72

AOR vs. VBIAX - Sharpe Ratio Comparison

The current AOR Sharpe Ratio is 1.73, which is comparable to the VBIAX Sharpe Ratio of 1.86. The chart below compares the historical Sharpe Ratios of AOR and VBIAX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

AOR vs. VBIAX - Drawdown Comparison

The maximum AOR drawdown since its inception was -24.44%, smaller than the maximum VBIAX drawdown of -35.90%. Use the drawdown chart below to compare losses from any high point for AOR and VBIAX.

Drawdown Indicators

	AOR	VBIAX	Difference
Max Drawdown Largest peak-to-trough decline	-24.44%	-35.90%	+11.46%
Max Drawdown (1Y) Largest decline over 1 year	-6.64%	-5.83%	-0.81%
Max Drawdown (3Y) Largest decline over 3 years	-9.77%	-11.70%	+1.93%
Max Drawdown (5Y) Largest decline over 5 years	-21.72%	-21.53%	-0.19%
Max Drawdown (10Y) Largest decline over 10 years	-22.95%	-22.78%	-0.17%
Current Drawdown Current decline from peak	-0.81%	-0.20%	-0.61%
Average Drawdown Average peak-to-trough decline	-3.46%	-4.43%	+0.97%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.56%	1.33%	+0.23%

Volatility

AOR vs. VBIAX - Volatility Comparison

iShares Core 60/40 Balanced Allocation ETF (AOR) has a higher volatility of 2.60% compared to Vanguard Balanced Index Fund Admiral Shares (VBIAX) at 2.37%. This indicates that AOR's price experiences larger fluctuations and is considered to be riskier than VBIAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AOR	VBIAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.60%	2.37%	+0.23%
Volatility (6M) Calculated over the trailing 6-month period	7.64%	6.77%	+0.87%
Volatility (1Y) Calculated over the trailing 1-year period	8.99%	8.37%	+0.62%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.66%	11.14%	-0.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.64%	11.22%	-0.58%

AOR vs. VBIAX - Expense Ratio Comparison

AOR has a 0.15% expense ratio, which is higher than VBIAX's 0.07% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

AOR vs. VBIAX - Dividend Comparison

AOR's dividend yield for the trailing twelve months is around 2.57%, less than VBIAX's 5.30% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AOR iShares Core 60/40 Balanced Allocation ETF	2.57%	2.55%	2.66%	2.50%	2.12%	1.64%	1.89%	2.56%	2.49%	4.51%	2.16%	2.12%
VBIAX Vanguard Balanced Index Fund Admiral Shares	5.30%	6.00%	5.27%	4.35%	2.83%	3.19%	2.65%	2.28%	2.32%	1.95%	2.09%	2.09%

Frequently Asked Questions

Can I hold both AOR and VBIAX in my portfolio?

With a correlation of 0.95, AOR and VBIAX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, AOR or VBIAX?

AOR has higher volatility (2.60%) compared to VBIAX (2.37%). In terms of maximum drawdown, AOR dropped -24.44% vs VBIAX's -35.90%.

Which has better risk-adjusted returns?

VBIAX currently has the higher Sharpe Ratio (1.86 vs 1.73), 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.