BBN vs. VPLS

Last updated Jun 4, 2026

BBN (BlackRock Taxable Municipal Bond Trust) and VPLS (Vanguard Core-Plus Bond ETF) are both funds - BBN is a Municipal Bonds fund actively managed by BlackRock, while VPLS is a Intermediate Core-Plus Bond fund actively managed by Vanguard. Both are actively managed. Over the past year, BBN returned 9.27% vs 5.91% for VPLS. A 0.60 correlation means they provide meaningful diversification when combined. BBN charges 2.32%/yr vs 0.20%/yr for VPLS.

Performance

BBN vs. VPLS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in BlackRock Taxable Municipal Bond Trust (BBN) and Vanguard Core-Plus Bond ETF (VPLS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BBN achieves a 1.25% return, which is significantly higher than VPLS's 0.64% return.

BBN

• 1D: 0.00%
• 1M: 0.56%
• YTD: 1.25%
• 6M: -3.92%
• 1Y: 9.27%
• 3Y*: 6.28%
• 5Y*: -1.91%
• 10Y*: 2.83%

VPLS

• 1D: -0.21%
• 1M: 0.35%
• YTD: 0.64%
• 6M: 0.57%
• 1Y: 5.91%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

BBN vs. VPLS - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
BBN BlackRock Taxable Municipal Bond Trust	1.25%	8.59%	6.01%	2.28%
VPLS Vanguard Core-Plus Bond ETF	0.64%	7.86%	2.72%	2.82%

Correlation

The correlation between BBN and VPLS is 0.56, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.56
Correlation (All Time) Calculated using the full available price history since Dec 8, 2023	0.60

The correlation between BBN and VPLS has been stable across timeframes, ranging from 0.56 to 0.60 - a consistent structural relationship.

Return for Risk

BBN vs. VPLS — Risk / Return Rank

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

BBN

BBN Risk / Return Rank: 12
BBN Sharpe Ratio Rank: 13
BBN Sortino Ratio Rank: 14
BBN Omega Ratio Rank: 12
BBN Calmar Ratio Rank: 13
BBN Martin Ratio Rank: 9

VPLS

VPLS Risk / Return Rank: 45
VPLS Sharpe Ratio Rank: 46
VPLS Sortino Ratio Rank: 49
VPLS Omega Ratio Rank: 45
VPLS Calmar Ratio Rank: 43
VPLS Martin Ratio Rank: 43

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.

BBN vs. VPLS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BlackRock Taxable Municipal Bond Trust (BBN) and Vanguard Core-Plus Bond ETF (VPLS). 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.

	BBN	VPLS	Difference
Sharpe ratio: Return per unit of total volatility	0.99	1.63	-0.64
Sortino ratio: Return per unit of downside risk	1.52	2.42	-0.89
Omega ratio: Gain probability vs. loss probability	1.18	1.29	-0.11
Calmar ratio: Return relative to maximum drawdown	1.23	2.18	-0.95
Martin ratio: Return relative to average drawdown	2.84	7.10	-4.27
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BBN vs. VPLS - Sharpe Ratio Comparison

The current BBN Sharpe Ratio is 0.99, which is lower than the VPLS Sharpe Ratio of 1.63. The chart below compares the historical Sharpe Ratios of BBN and VPLS, 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

	BBN	VPLS	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.99	1.63	-0.64
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.12	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.19	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.40	1.24	-0.83

Drawdowns

BBN vs. VPLS - Drawdown Comparison

The maximum BBN drawdown since its inception was -38.37%, which is greater than VPLS's maximum drawdown of -4.17%. Use the drawdown chart below to compare losses from any high point for BBN and VPLS.

Drawdown Indicators

	BBN	VPLS	Difference
Max Drawdown Largest peak-to-trough decline	-38.37%	-4.17%	-34.20%
Max Drawdown (1Y) Largest decline over 1 year	-7.55%	-2.72%	-4.83%
Max Drawdown (3Y) Largest decline over 3 years	-11.85%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-38.37%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-38.37%	—	—
Current Drawdown Current decline from peak	-18.08%	-1.21%	-16.87%
Average Drawdown Average peak-to-trough decline	-10.31%	-1.01%	-9.30%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.27%	0.83%	+2.44%

Volatility

BBN vs. VPLS - Volatility Comparison

BlackRock Taxable Municipal Bond Trust (BBN) has a higher volatility of 2.50% compared to Vanguard Core-Plus Bond ETF (VPLS) at 1.27%. This indicates that BBN's price experiences larger fluctuations and is considered to be riskier than VPLS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BBN	VPLS	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.50%	1.27%	+1.23%
Volatility (6M) Calculated over the trailing 6-month period	7.03%	2.69%	+4.34%
Volatility (1Y) Calculated over the trailing 1-year period	9.44%	3.65%	+5.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.50%	4.61%	+10.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.07%	4.61%	+10.46%

BBN vs. VPLS - Expense Ratio Comparison

BBN has a 2.32% expense ratio, which is higher than VPLS's 0.20% expense ratio.

Dividends

BBN vs. VPLS - Dividend Comparison

BBN's dividend yield for the trailing twelve months is around 7.31%, more than VPLS's 4.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BBN BlackRock Taxable Municipal Bond Trust	7.31%	7.01%	6.92%	7.16%	7.91%	5.45%	5.05%	5.66%	7.09%	6.82%	7.32%	7.54%
VPLS Vanguard Core-Plus Bond ETF	4.76%	4.78%	4.52%	0.18%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both BBN and VPLS in my portfolio?

BBN and VPLS have a correlation of 0.56, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BBN or VPLS?

BBN has higher volatility (2.50%) compared to VPLS (1.27%). In terms of maximum drawdown, BBN dropped -38.37% vs VPLS's -4.17%.

Which has better risk-adjusted returns?

VPLS currently has the higher Sharpe Ratio (1.63 vs 0.99), 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.