BME vs. VHT

Last updated Jun 3, 2026

BME (BlackRock Health Sciences Trust) is a stock, while VHT (Vanguard Health Care ETF) is Health & Biotech Equities fund tracking the MSCI US Investable Market Health Care 25/50 Index. Over the past 10 years, BME returned 7.66%/yr vs 9.17%/yr for VHT. A 0.57 correlation means they provide meaningful diversification when combined.

Performance

BME vs. VHT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in BlackRock Health Sciences Trust (BME) and Vanguard Health Care ETF (VHT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BME achieves a -1.24% return, which is significantly higher than VHT's -4.81% return. Over the past 10 years, BME has underperformed VHT with an annualized return of 7.66%, while VHT has yielded a comparatively higher 9.17% annualized return.

BME

• 1D: -1.68%
• 1M: 0.51%
• YTD: -1.24%
• 6M: 0.32%
• 1Y: 17.81%
• 3Y*: 6.62%
• 5Y*: 3.11%
• 10Y*: 7.66%

VHT

• 1D: -1.21%
• 1M: 0.62%
• YTD: -4.81%
• 6M: -4.41%
• 1Y: 13.73%
• 3Y*: 5.85%
• 5Y*: 4.42%
• 10Y*: 9.17%

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

BME vs. VHT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
BME BlackRock Health Sciences Trust	-1.24%	17.87%	-0.08%	-1.08%	-4.62%	7.25%	18.64%	24.04%	6.38%	23.10%
VHT Vanguard Health Care ETF	-4.81%	15.46%	2.66%	2.52%	-5.60%	20.57%	18.29%	21.87%	5.58%	23.26%

Correlation

The correlation between BME and VHT is 0.82, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.82
Correlation (3Y) Calculated over the trailing 3-year period	0.81
Correlation (5Y) Calculated over the trailing 5-year period	0.75
Correlation (10Y) Calculated over the trailing 10-year period	0.64
Correlation (All Time) Calculated using the full available price history since Mar 30, 2005	0.57

Over the past year, BME and VHT have become more correlated (0.82) than their long-term average of 0.57, meaning their price movements have been converging.

Return for Risk

BME vs. VHT — Risk / Return Rank

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

BME

BME Risk / Return Rank: 75
BME Sharpe Ratio Rank: 80
BME Sortino Ratio Rank: 75
BME Omega Ratio Rank: 74
BME Calmar Ratio Rank: 71
BME Martin Ratio Rank: 76

VHT

VHT Risk / Return Rank: 27
VHT Sharpe Ratio Rank: 27
VHT Sortino Ratio Rank: 28
VHT Omega Ratio Rank: 25
VHT Calmar Ratio Rank: 28
VHT Martin Ratio Rank: 25

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.

BME vs. VHT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BlackRock Health Sciences Trust (BME) and Vanguard Health Care ETF (VHT). 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.

	BME	VHT	Difference
Sharpe ratio Return per unit of total volatility	1.42	0.96	+0.46
Sortino ratio Return per unit of downside risk	2.03	1.51	+0.51
Omega ratio Gain probability vs. loss probability	1.26	1.17	+0.09
Calmar ratio Return relative to maximum drawdown	1.70	1.34	+0.36
Martin ratio Return relative to average drawdown	5.32	3.39	+1.92
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BME vs. VHT - Sharpe Ratio Comparison

The current BME Sharpe Ratio is 1.42, which is higher than the VHT Sharpe Ratio of 0.96. The chart below compares the historical Sharpe Ratios of BME and VHT, 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

	BME	VHT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.42	0.96	+0.46
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.21	0.30	-0.09
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.39	0.54	-0.16
Sharpe Ratio (All Time) Calculated using the full available price history	0.51	0.56	-0.04

Drawdowns

BME vs. VHT - Drawdown Comparison

The maximum BME drawdown since its inception was -42.03%, which is greater than VHT's maximum drawdown of -39.12%. Use the drawdown chart below to compare losses from any high point for BME and VHT.

Drawdown Indicators

	BME	VHT	Difference
Max Drawdown Largest peak-to-trough decline	-42.03%	-39.12%	-2.91%
Max Drawdown (1Y) Largest decline over 1 year	-11.03%	-10.40%	-0.63%
Max Drawdown (3Y) Largest decline over 3 years	-14.38%	-16.91%	+2.53%
Max Drawdown (5Y) Largest decline over 5 years	-18.26%	-17.71%	-0.55%
Max Drawdown (10Y) Largest decline over 10 years	-36.65%	-28.85%	-7.80%
Current Drawdown Current decline from peak	-5.88%	-7.83%	+1.95%
Average Drawdown Average peak-to-trough decline	-6.28%	-5.99%	-0.29%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.53%	4.12%	-0.59%

Volatility

BME vs. VHT - Volatility Comparison

BlackRock Health Sciences Trust (BME) and Vanguard Health Care ETF (VHT) have volatilities of 3.86% and 4.00%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BME	VHT	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.86%	4.00%	-0.14%
Volatility (6M) Calculated over the trailing 6-month period	10.01%	10.14%	-0.13%
Volatility (1Y) Calculated over the trailing 1-year period	12.62%	14.32%	-1.70%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.12%	14.96%	+0.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.89%	16.94%	+2.95%

Dividends

BME vs. VHT - Dividend Comparison

BME's dividend yield for the trailing twelve months is around 8.00%, more than VHT's 1.72% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BME BlackRock Health Sciences Trust	8.00%	7.65%	6.87%	6.32%	5.87%	5.03%	5.04%	5.65%	6.58%	6.58%	9.45%	17.04%
VHT Vanguard Health Care ETF	1.72%	1.61%	1.53%	1.36%	1.33%	1.14%	1.21%	1.89%	1.38%	1.31%	1.45%	1.22%

Frequently Asked Questions

Can I hold both BME and VHT in my portfolio?

BME and VHT have a correlation of 0.82, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BME or VHT?

VHT has higher volatility (4.00%) compared to BME (3.86%). In terms of maximum drawdown, BME dropped -42.03% vs VHT's -39.12%.

Which has better risk-adjusted returns?

BME currently has the higher Sharpe Ratio (1.42 vs 0.96), 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.