BTOT vs. VBCA

Last updated Jun 4, 2026

BTOT (iShares Total USD Fixed Income Market ETF) and VBCA (Vanguard Target Maturity 2027 Corporate Bond ETF) are both exchange-traded funds - BTOT is a Total Bond Market fund tracking the Bloomberg US Total Fixed Income Market Index, while VBCA is a Corporate Bonds fund tracking the ICE 2027 Maturity US Corporate Constrained Index. Both are passively managed. A 0.77 correlation means they provide meaningful diversification when combined. BTOT charges 0.09%/yr vs 0.08%/yr for VBCA.

Performance

BTOT vs. VBCA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Total USD Fixed Income Market ETF (BTOT) and Vanguard Target Maturity 2027 Corporate Bond ETF (VBCA). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

BTOT

• 1D: -0.21%
• 1M: 0.29%
• YTD: 0.39%
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

VBCA

• 1D: 0.00%
• 1M: 0.33%
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

BTOT vs. VBCA - Yearly Performance Comparison

	2026 (YTD)
BTOT iShares Total USD Fixed Income Market ETF	1.16%
VBCA Vanguard Target Maturity 2027 Corporate Bond ETF	1.00%

Correlation

The correlation between BTOT and VBCA is 0.77, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Mar 27, 2026	0.77

Return for Risk

BTOT vs. VBCA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Total USD Fixed Income Market ETF (BTOT) and Vanguard Target Maturity 2027 Corporate Bond ETF (VBCA). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	BTOT	VBCA	Difference
Sharpe Ratio (All Time) Calculated using the full available price history	0.41	5.67	-5.26

Drawdowns

BTOT vs. VBCA - Drawdown Comparison

The maximum BTOT drawdown since its inception was -2.36%, which is greater than VBCA's maximum drawdown of -0.19%. Use the drawdown chart below to compare losses from any high point for BTOT and VBCA.

Drawdown Indicators

	BTOT	VBCA	Difference
Max Drawdown Largest peak-to-trough decline	-2.36%	-0.19%	-2.17%
Current Drawdown Current decline from peak	-1.18%	0.00%	-1.18%
Average Drawdown Average peak-to-trough decline	-0.77%	-0.05%	-0.72%

Volatility

Volatility by Period

	BTOT	VBCA	Difference
Volatility (1Y) Calculated over the trailing 1-year period	3.70%	0.97%	+2.73%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.70%	0.97%	+2.73%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.70%	0.97%	+2.73%

BTOT vs. VBCA - Expense Ratio Comparison

BTOT has a 0.09% expense ratio, which is higher than VBCA's 0.08% 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

BTOT vs. VBCA - Dividend Comparison

BTOT's dividend yield for the trailing twelve months is around 2.13%, more than VBCA's 0.42% yield.

Position	TTM	2025
BTOT iShares Total USD Fixed Income Market ETF	2.13%	0.22%
VBCA Vanguard Target Maturity 2027 Corporate Bond ETF	0.42%	0.00%

Frequently Asked Questions

Can I hold both BTOT and VBCA in my portfolio?

BTOT and VBCA have a correlation of 0.77, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, BTOT or VBCA?

On fees, VBCA is cheaper at 0.08% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, BTOT or VBCA?

VBCA is cheaper with a 0.08% expense ratio, compared with 0.09% for BTOT.

Which ETF pays a higher dividend yield, BTOT or VBCA?

BTOT has the higher dividend yield at 2.13%, compared with 0.42% for VBCA.

What is the main difference between BTOT and VBCA?

BTOT is categorized as Total Bond Market, while VBCA is Corporate Bonds. BTOT tracks Bloomberg US Total Fixed Income Market Index, while VBCA tracks ICE 2027 Maturity US Corporate Constrained Index. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.09% for BTOT and 0.08% for VBCA.