HEQT vs. VFSUX

Last updated Jun 23, 2026

HEQT (Simplify Hedged Equity ETF) and VFSUX (Vanguard Short-Term Investment-Grade Fund Admiral Shares) are both funds - HEQT is a Equity Hedged fund actively managed by Simplify, while VFSUX is a Total Bond Market fund managed by Vanguard. Over the past 3 years, HEQT returned 13.21%/yr vs 5.63%/yr for VFSUX. At a 0.15 correlation, their price movements are largely independent. HEQT charges 0.43%/yr vs 0.10%/yr for VFSUX.

Performance

HEQT vs. VFSUX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Simplify Hedged Equity ETF (HEQT) and Vanguard Short-Term Investment-Grade Fund Admiral Shares (VFSUX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HEQT achieves a 4.76% return, which is significantly higher than VFSUX's 0.53% return.

HEQT

• 1D: -0.21%
• 1M: 0.57%
• YTD: 4.76%
• 6M: 4.67%
• 1Y: 14.00%
• 3Y*: 13.21%
• 5Y*: —
• 10Y*: —

VFSUX

• 1D: 0.10%
• 1M: 0.31%
• YTD: 0.53%
• 6M: 0.91%
• 1Y: 4.40%
• 3Y*: 5.63%
• 5Y*: 2.38%
• 10Y*: 2.60%

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

HEQT vs. VFSUX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
HEQT Simplify Hedged Equity ETF	4.76%	10.08%	18.30%	16.61%	-8.25%	2.11%
VFSUX Vanguard Short-Term Investment-Grade Fund Admiral Shares	0.53%	6.87%	5.08%	6.17%	-5.75%	-0.10%

Correlation

The correlation between HEQT and VFSUX is 0.28, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.28
Correlation (3Y) Calculated over the trailing 3-year period	0.16
Correlation (All Time) Calculated using the full available price history since Nov 2, 2021	0.15

The correlation between HEQT and VFSUX shifts across timeframes, from 0.15 (all time) to 0.28 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

HEQT vs. VFSUX — Risk / Return Rank

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

HEQT

HEQT Risk / Return Rank: 68
HEQT Sharpe Ratio Rank: 68
HEQT Sortino Ratio Rank: 69
HEQT Omega Ratio Rank: 77
HEQT Calmar Ratio Rank: 57
HEQT Martin Ratio Rank: 70

VFSUX

VFSUX Risk / Return Rank: 60
VFSUX Sharpe Ratio Rank: 49
VFSUX Sortino Ratio Rank: 76
VFSUX Omega Ratio Rank: 72
VFSUX Calmar Ratio Rank: 50
VFSUX Martin Ratio Rank: 52

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.

HEQT vs. VFSUX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Simplify Hedged Equity ETF (HEQT) and Vanguard Short-Term Investment-Grade Fund Admiral Shares (VFSUX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	HEQT	VFSUX	Difference
Sharpe ratio: Return per unit of total volatility	2.13	1.89	+0.24
Sortino ratio: Return per unit of downside risk	3.00	3.31	-0.31
Omega ratio: Gain probability vs. loss probability	1.43	1.43	0.00
Calmar ratio: Return relative to maximum drawdown	2.76	2.59	+0.17
Martin ratio: Return relative to average drawdown	12.50	10.04	+2.46

HEQT vs. VFSUX - Sharpe Ratio Comparison

The current HEQT Sharpe Ratio is 2.13, which is comparable to the VFSUX Sharpe Ratio of 1.89. The chart below compares the historical Sharpe Ratios of HEQT and VFSUX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

HEQT vs. VFSUX - Drawdown Comparison

The maximum HEQT drawdown since its inception was -11.51%, which is greater than VFSUX's maximum drawdown of -9.24%. Use the drawdown chart below to compare losses from any high point for HEQT and VFSUX.

Drawdown Indicators

	HEQT	VFSUX	Difference
Max Drawdown Largest peak-to-trough decline	-11.51%	-9.24%	-2.27%
Max Drawdown (1Y) Largest decline over 1 year	-5.09%	-1.71%	-3.38%
Max Drawdown (3Y) Largest decline over 3 years	-10.57%	-1.71%	-8.86%
Max Drawdown (5Y) Largest decline over 5 years	—	-9.24%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-9.24%	—
Current Drawdown Current decline from peak	-0.42%	-0.52%	+0.10%
Average Drawdown Average peak-to-trough decline	-2.77%	-0.87%	-1.90%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.12%	0.44%	+0.68%

Volatility

HEQT vs. VFSUX - Volatility Comparison

Simplify Hedged Equity ETF (HEQT) has a higher volatility of 1.92% compared to Vanguard Short-Term Investment-Grade Fund Admiral Shares (VFSUX) at 0.80%. This indicates that HEQT's price experiences larger fluctuations and is considered to be riskier than VFSUX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HEQT	VFSUX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.92%	0.80%	+1.12%
Volatility (6M) Calculated over the trailing 6-month period	5.47%	1.73%	+3.74%
Volatility (1Y) Calculated over the trailing 1-year period	6.61%	2.33%	+4.28%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	8.47%	2.99%	+5.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	8.47%	2.49%	+5.98%

HEQT vs. VFSUX - Expense Ratio Comparison

HEQT has a 0.43% expense ratio, which is higher than VFSUX's 0.10% expense ratio.

Dividends

HEQT vs. VFSUX - Dividend Comparison

HEQT's dividend yield for the trailing twelve months is around 1.20%, less than VFSUX's 4.73% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HEQT Simplify Hedged Equity ETF	1.20%	1.19%	1.29%	4.10%	3.94%	0.27%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VFSUX Vanguard Short-Term Investment-Grade Fund Admiral Shares	4.73%	4.59%	4.16%	3.14%	2.03%	1.79%	2.34%	2.92%	2.79%	2.11%	2.14%	2.09%

Frequently Asked Questions

Can I hold both HEQT and VFSUX in my portfolio?

HEQT and VFSUX have a correlation of 0.28, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HEQT or VFSUX?

HEQT has higher volatility (1.92%) compared to VFSUX (0.80%). In terms of maximum drawdown, HEQT dropped -11.51% vs VFSUX's -9.24%.

Which has better risk-adjusted returns?

HEQT currently has the higher Sharpe Ratio (2.13 vs 1.89), 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.