DES vs. VBR

Last updated Jun 3, 2026

DES (WisdomTree U.S. SmallCap Dividend Fund) and VBR (Vanguard Small-Cap Value ETF) are both exchange-traded funds - DES is a Small Cap Blend Equities fund tracking the WisdomTree SmallCap Dividend (TR), while VBR is a Small Cap Value Equities fund tracking the CRSP US Small Cap Value Index. Both are passively managed. Over the past 10 years, DES returned 8.17%/yr vs 10.58%/yr for VBR. With a 0.96 correlation, they move nearly in lockstep. DES charges 0.38%/yr vs 0.05%/yr for VBR.

Performance

DES vs. VBR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in WisdomTree U.S. SmallCap Dividend Fund (DES) and Vanguard Small-Cap Value ETF (VBR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, DES achieves a 16.63% return, which is significantly higher than VBR's 12.11% return. Over the past 10 years, DES has underperformed VBR with an annualized return of 8.17%, while VBR has yielded a comparatively higher 10.58% annualized return.

DES

• 1D: 0.99%
• 1M: 0.53%
• YTD: 16.63%
• 6M: 17.07%
• 1Y: 28.87%
• 3Y*: 14.65%
• 5Y*: 6.21%
• 10Y*: 8.17%

VBR

• 1D: 0.86%
• 1M: 1.86%
• YTD: 12.11%
• 6M: 13.63%
• 1Y: 27.83%
• 3Y*: 16.59%
• 5Y*: 8.08%
• 10Y*: 10.58%

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

DES vs. VBR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
DES WisdomTree U.S. SmallCap Dividend Fund	16.63%	0.25%	9.93%	16.50%	-10.96%	26.51%	-4.26%	20.26%	-12.85%	8.64%
VBR Vanguard Small-Cap Value ETF	12.11%	9.09%	12.40%	16.00%	-9.38%	28.08%	5.90%	22.78%	-12.28%	11.81%

Correlation

The correlation between DES and VBR is 0.94, 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	0.94
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (10Y) Calculated over the trailing 10-year period	0.96
Correlation (All Time) Calculated using the full available price history since Jun 19, 2006	0.96

The correlation between DES and VBR has been stable across timeframes, ranging from 0.94 to 0.96 - a consistent structural relationship.

DES vs. VBR - Sectors Allocation Comparison

Sectors	DES	VBR
Financial Services	23.7%	17.6%
Consumer Cyclical	14.8%	12.4%
Industrials	13.3%	18.1%
Energy	10.7%	5.2%
Real Estate	9.6%	10.1%
Basic Materials	6.0%	6.3%
Technology	5.5%	10.6%
Utilities	4.6%	4.8%
Consumer Defensive	4.3%	4.0%
Communication Services	2.8%	2.5%
Healthcare	1.7%	7.9%

Return for Risk

DES vs. VBR — Risk / Return Rank

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

DES

DES Risk / Return Rank: 57
DES Sharpe Ratio Rank: 51
DES Sortino Ratio Rank: 54
DES Omega Ratio Rank: 49
DES Calmar Ratio Rank: 72
DES Martin Ratio Rank: 59

VBR

VBR Risk / Return Rank: 56
VBR Sharpe Ratio Rank: 53
VBR Sortino Ratio Rank: 56
VBR Omega Ratio Rank: 51
VBR Calmar Ratio Rank: 62
VBR Martin Ratio Rank: 61

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.

DES vs. VBR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree U.S. SmallCap Dividend Fund (DES) and Vanguard Small-Cap Value ETF (VBR). 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.

	DES	VBR	Difference
Sharpe ratio Return per unit of total volatility	1.77	1.84	-0.08
Sortino ratio Return per unit of downside risk	2.64	2.70	-0.06
Omega ratio Gain probability vs. loss probability	1.31	1.32	0.00
Calmar ratio Return relative to maximum drawdown	3.67	3.10	+0.57
Martin ratio Return relative to average drawdown	10.48	10.94	-0.47
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

DES vs. VBR - Sharpe Ratio Comparison

The current DES Sharpe Ratio is 1.77, which is comparable to the VBR Sharpe Ratio of 1.84. The chart below compares the historical Sharpe Ratios of DES and VBR, 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

	DES	VBR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.77	1.84	-0.08
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.32	0.41	-0.09
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.37	0.49	-0.12
Sharpe Ratio (All Time) Calculated using the full available price history	0.32	0.42	-0.10

Drawdowns

DES vs. VBR - Drawdown Comparison

The maximum DES drawdown since its inception was -65.48%, which is greater than VBR's maximum drawdown of -61.98%. Use the drawdown chart below to compare losses from any high point for DES and VBR.

Drawdown Indicators

	DES	VBR	Difference
Max Drawdown Largest peak-to-trough decline	-65.48%	-61.98%	-3.50%
Max Drawdown (1Y) Largest decline over 1 year	-7.64%	-8.85%	+1.21%
Max Drawdown (3Y) Largest decline over 3 years	-25.16%	-24.19%	-0.97%
Max Drawdown (5Y) Largest decline over 5 years	-25.16%	-24.19%	-0.97%
Max Drawdown (10Y) Largest decline over 10 years	-45.65%	-45.28%	-0.37%
Current Drawdown Current decline from peak	-0.28%	0.00%	-0.28%
Average Drawdown Average peak-to-trough decline	-9.68%	-8.27%	-1.41%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.68%	2.50%	+0.18%

Volatility

DES vs. VBR - Volatility Comparison

WisdomTree U.S. SmallCap Dividend Fund (DES) and Vanguard Small-Cap Value ETF (VBR) have volatilities of 4.24% and 4.07%, 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

	DES	VBR	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.24%	4.07%	+0.17%
Volatility (6M) Calculated over the trailing 6-month period	10.94%	10.46%	+0.48%
Volatility (1Y) Calculated over the trailing 1-year period	16.42%	15.17%	+1.25%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.56%	19.77%	-0.21%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.97%	21.74%	+0.23%

DES vs. VBR - Expense Ratio Comparison

DES has a 0.38% expense ratio, which is higher than VBR's 0.05% expense ratio.

Dividends

DES vs. VBR - Dividend Comparison

DES's dividend yield for the trailing twelve months is around 2.37%, more than VBR's 1.75% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DES WisdomTree U.S. SmallCap Dividend Fund	2.37%	2.85%	2.81%	2.65%	2.89%	2.31%	2.75%	2.68%	3.65%	2.89%	2.70%	3.09%
VBR Vanguard Small-Cap Value ETF	1.75%	1.95%	1.98%	2.12%	2.03%	1.75%	1.68%	2.06%	2.35%	1.79%	1.77%	1.99%

Frequently Asked Questions

Can I hold both DES and VBR in my portfolio?

With a correlation of 0.94, DES and VBR 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, DES or VBR?

DES has higher volatility (4.24%) compared to VBR (4.07%). In terms of maximum drawdown, DES dropped -65.48% vs VBR's -61.98%.

Which ETF is better, DES or VBR?

On 10-year performance, VBR leads with 10.58% vs 8.17% for DES. On fees, VBR is cheaper at 0.05% per year. On volatility, VBR has been the lower-risk option at 4.07%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DES or VBR?

Over the 10-year period, VBR has performed better with a 10.58% return vs 8.17%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DES or VBR?

VBR is cheaper with a 0.05% expense ratio, compared with 0.38% for DES.

Which ETF pays a higher dividend yield, DES or VBR?

DES has the higher dividend yield at 2.37%, compared with 1.75% for VBR.

What is the main difference between DES and VBR?

DES is categorized as Small Cap Blend Equities, while VBR is Small Cap Value Equities. DES tracks WisdomTree SmallCap Dividend (TR), while VBR tracks CRSP US Small Cap Value Index. They also come from different issuers: WisdomTree and Vanguard. Their fees differ too: 0.38% for DES and 0.05% for VBR.

Which has better risk-adjusted returns?

VBR currently has the higher Sharpe Ratio (1.84 vs 1.77), 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.