BAB vs. VCLT
Compare and contrast key facts about Invesco Taxable Municipal Bond ETF (BAB) and Vanguard Long-Term Corporate Bond ETF (VCLT).
BAB and VCLT are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. BAB is a passively managed fund by Invesco that tracks the performance of the BofA Merrill Lynch Build America Bond Index. It was launched on Nov 17, 2009. VCLT is a passively managed fund by Vanguard that tracks the performance of the Barclays U.S. 10+ Year Corporate Index. It was launched on Nov 19, 2009. Both BAB and VCLT are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.
Performance
BAB vs. VCLT - Performance Comparison
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BAB vs. VCLT - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
BAB Invesco Taxable Municipal Bond ETF | 0.13% | 8.30% | 1.03% | 8.67% | -19.50% | 1.00% | 9.11% | 10.85% | 0.93% | 9.87% |
VCLT Vanguard Long-Term Corporate Bond ETF | -0.63% | 7.18% | -1.90% | 11.17% | -25.50% | -1.73% | 13.27% | 23.89% | -7.04% | 11.70% |
Returns By Period
In the year-to-date period, BAB achieves a 0.13% return, which is significantly higher than VCLT's -0.63% return. Over the past 10 years, BAB has outperformed VCLT with an annualized return of 2.59%, while VCLT has yielded a comparatively lower 2.46% annualized return.
BAB
- 1D
- 0.97%
- 1M
- -2.43%
- YTD
- 0.13%
- 6M
- 0.79%
- 1Y
- 5.22%
- 3Y*
- 4.12%
- 5Y*
- 0.02%
- 10Y*
- 2.59%
VCLT
- 1D
- 0.78%
- 1M
- -2.90%
- YTD
- -0.63%
- 6M
- -1.22%
- 1Y
- 4.03%
- 3Y*
- 3.07%
- 5Y*
- -1.73%
- 10Y*
- 2.46%
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BAB vs. VCLT - Expense Ratio Comparison
BAB has a 0.28% expense ratio, which is higher than VCLT's 0.04% expense ratio.
Return for Risk
BAB vs. VCLT — Risk / Return Rank
BAB
VCLT
BAB vs. VCLT - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Invesco Taxable Municipal Bond ETF (BAB) and Vanguard Long-Term Corporate Bond ETF (VCLT). 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.
| BAB | VCLT | Difference | |
|---|---|---|---|
Sharpe ratioReturn per unit of total volatility | 0.79 | 0.40 | +0.40 |
Sortino ratioReturn per unit of downside risk | 1.17 | 0.59 | +0.58 |
Omega ratioGain probability vs. loss probability | 1.14 | 1.08 | +0.06 |
Calmar ratioReturn relative to maximum drawdown | 1.27 | 0.82 | +0.44 |
Martin ratioReturn relative to average drawdown | 3.79 | 1.92 | +1.87 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| BAB | VCLT | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 0.79 | 0.40 | +0.40 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.00 | -0.14 | +0.14 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.27 | 0.19 | +0.08 |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.52 | 0.39 | +0.13 |
Correlation
The correlation between BAB and VCLT is 0.75, 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
BAB vs. VCLT - Dividend Comparison
BAB's dividend yield for the trailing twelve months is around 4.03%, less than VCLT's 5.62% yield.
| TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
BAB Invesco Taxable Municipal Bond ETF | 4.03% | 3.96% | 3.97% | 3.65% | 3.40% | 2.63% | 2.96% | 3.77% | 4.20% | 3.96% | 4.26% | 4.71% |
VCLT Vanguard Long-Term Corporate Bond ETF | 5.62% | 5.51% | 5.19% | 4.67% | 4.44% | 3.07% | 3.16% | 3.81% | 4.55% | 4.01% | 4.33% | 4.68% |
Drawdowns
BAB vs. VCLT - Drawdown Comparison
The maximum BAB drawdown since its inception was -27.80%, smaller than the maximum VCLT drawdown of -34.31%. Use the drawdown chart below to compare losses from any high point for BAB and VCLT.
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Drawdown Indicators
| BAB | VCLT | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -27.80% | -34.31% | +6.51% |
Max Drawdown (1Y)Largest decline over 1 year | -4.50% | -5.39% | +0.89% |
Max Drawdown (5Y)Largest decline over 5 years | -24.95% | -34.31% | +9.36% |
Max Drawdown (10Y)Largest decline over 10 years | -27.80% | -34.31% | +6.51% |
Current DrawdownCurrent decline from peak | -5.64% | -15.73% | +10.09% |
Average DrawdownAverage peak-to-trough decline | -5.30% | -8.08% | +2.78% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 1.50% | 2.32% | -0.82% |
Volatility
BAB vs. VCLT - Volatility Comparison
The current volatility for Invesco Taxable Municipal Bond ETF (BAB) is 2.16%, while Vanguard Long-Term Corporate Bond ETF (VCLT) has a volatility of 3.98%. This indicates that BAB experiences smaller price fluctuations and is considered to be less risky than VCLT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| BAB | VCLT | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 2.16% | 3.98% | -1.82% |
Volatility (6M)Calculated over the trailing 6-month period | 3.90% | 5.62% | -1.72% |
Volatility (1Y)Calculated over the trailing 1-year period | 6.62% | 10.22% | -3.60% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 8.31% | 12.81% | -4.50% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 9.70% | 12.84% | -3.14% |