IAU vs. VGPMX

Last updated Jun 4, 2026

IAU (iShares Gold Trust) and VGPMX (Vanguard Global Capital Cycles Fund) are both funds - IAU is a Gold fund tracking the LBMA Gold Price, while VGPMX is a Global Equities fund managed by Vanguard. Over the past 10 years, IAU returned 13.31%/yr vs 11.53%/yr for VGPMX. At a 0.50 correlation, their price movements are largely independent. IAU charges 0.25%/yr vs 0.36%/yr for VGPMX.

Performance

IAU vs. VGPMX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Gold Trust (IAU) and Vanguard Global Capital Cycles Fund (VGPMX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IAU achieves a 2.98% return, which is significantly lower than VGPMX's 21.14% return. Over the past 10 years, IAU has outperformed VGPMX with an annualized return of 13.31%, while VGPMX has yielded a comparatively lower 11.53% annualized return.

IAU

• 1D: -0.98%
• 1M: -1.62%
• YTD: 2.98%
• 6M: 5.50%
• 1Y: 32.20%
• 3Y*: 31.29%
• 5Y*: 18.32%
• 10Y*: 13.31%

VGPMX

• 1D: 1.33%
• 1M: 6.96%
• YTD: 21.14%
• 6M: 25.95%
• 1Y: 66.86%
• 3Y*: 31.54%
• 5Y*: 20.51%
• 10Y*: 11.53%

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

IAU vs. VGPMX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IAU iShares Gold Trust	2.98%	63.95%	26.85%	12.84%	-0.63%	-4.00%	25.03%	17.98%	-1.76%	12.91%
VGPMX Vanguard Global Capital Cycles Fund	21.14%	65.96%	5.78%	10.06%	7.34%	19.50%	17.21%	20.67%	-32.26%	13.75%

Correlation

The correlation between IAU and VGPMX is 0.52, 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	0.52
Correlation (3Y) Calculated over the trailing 3-year period	0.51
Correlation (5Y) Calculated over the trailing 5-year period	0.48
Correlation (10Y) Calculated over the trailing 10-year period	0.48
Correlation (All Time) Calculated using the full available price history since Jan 31, 2005	0.50

The correlation between IAU and VGPMX has been stable across timeframes, ranging from 0.47 to 0.52 - a consistent structural relationship.

IAU vs. VGPMX - Sectors Allocation Comparison

Sectors	IAU	VGPMX
Real Estate	100.0%	2.2%
Basic Materials	-	38.0%
Communication Services	-	6.5%
Consumer Cyclical	-	5.1%
Consumer Defensive	-	9.4%
Energy	-	4.4%
Financial Services	-	5.7%
Healthcare	-	11.9%
Industrials	-	2.6%
Technology	-	9.5%
Utilities	-	4.7%

Return for Risk

IAU vs. VGPMX — Risk / Return Rank

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

IAU

IAU Risk / Return Rank: 32
IAU Sharpe Ratio Rank: 33
IAU Sortino Ratio Rank: 29
IAU Omega Ratio Rank: 36
IAU Calmar Ratio Rank: 33
IAU Martin Ratio Rank: 29

VGPMX

VGPMX Risk / Return Rank: 95
VGPMX Sharpe Ratio Rank: 98
VGPMX Sortino Ratio Rank: 94
VGPMX Omega Ratio Rank: 92
VGPMX Calmar Ratio Rank: 93
VGPMX Martin Ratio Rank: 95

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.

IAU vs. VGPMX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Gold Trust (IAU) and Vanguard Global Capital Cycles Fund (VGPMX). 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.

	IAU	VGPMX	Difference
Sharpe ratio: Return per unit of total volatility	1.23	4.02	-2.80
Sortino ratio: Return per unit of downside risk	1.62	4.82	-3.20
Omega ratio: Gain probability vs. loss probability	1.24	1.69	-0.45
Calmar ratio: Return relative to maximum drawdown	1.69	5.25	-3.56
Martin ratio: Return relative to average drawdown	4.19	21.90	-17.72
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IAU vs. VGPMX - Sharpe Ratio Comparison

The current IAU Sharpe Ratio is 1.23, which is lower than the VGPMX Sharpe Ratio of 4.02. The chart below compares the historical Sharpe Ratios of IAU and VGPMX, 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

	IAU	VGPMX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.23	4.02	-2.80
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.03	1.19	-0.16
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.84	0.55	+0.29
Sharpe Ratio (All Time) Calculated using the full available price history	0.62	0.26	+0.36

Drawdowns

IAU vs. VGPMX - Drawdown Comparison

The maximum IAU drawdown since its inception was -45.14%, smaller than the maximum VGPMX drawdown of -78.85%. Use the drawdown chart below to compare losses from any high point for IAU and VGPMX.

Drawdown Indicators

	IAU	VGPMX	Difference
Max Drawdown Largest peak-to-trough decline	-45.14%	-78.85%	+33.71%
Max Drawdown (1Y) Largest decline over 1 year	-19.18%	-12.80%	-6.38%
Max Drawdown (3Y) Largest decline over 3 years	-19.18%	-14.63%	-4.55%
Max Drawdown (5Y) Largest decline over 5 years	-20.93%	-22.71%	+1.78%
Max Drawdown (10Y) Largest decline over 10 years	-21.82%	-54.59%	+32.77%
Current Drawdown Current decline from peak	-17.70%	0.00%	-17.70%
Average Drawdown Average peak-to-trough decline	-15.96%	-34.55%	+18.59%
Ulcer Index Depth and duration of drawdowns from previous peaks	7.71%	3.06%	+4.65%

Volatility

IAU vs. VGPMX - Volatility Comparison

The current volatility for iShares Gold Trust (IAU) is 5.50%, while Vanguard Global Capital Cycles Fund (VGPMX) has a volatility of 5.98%. This indicates that IAU experiences smaller price fluctuations and is considered to be less risky than VGPMX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IAU	VGPMX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.50%	5.98%	-0.48%
Volatility (6M) Calculated over the trailing 6-month period	23.02%	13.83%	+9.19%
Volatility (1Y) Calculated over the trailing 1-year period	26.42%	16.76%	+9.66%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.95%	17.38%	+0.57%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.90%	20.87%	-4.97%

IAU vs. VGPMX - Expense Ratio Comparison

IAU has a 0.25% expense ratio, which is lower than VGPMX's 0.36% expense ratio.

Dividends

IAU vs. VGPMX - Dividend Comparison

IAU has not paid dividends to shareholders, while VGPMX's dividend yield for the trailing twelve months is around 3.22%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IAU iShares Gold Trust	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VGPMX Vanguard Global Capital Cycles Fund	3.22%	2.59%	2.68%	3.22%	3.27%	3.26%	2.03%	2.39%	3.02%	0.02%	1.72%	2.32%

Frequently Asked Questions

Can I hold both IAU and VGPMX in my portfolio?

IAU and VGPMX have a correlation of 0.52, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IAU or VGPMX?

VGPMX has higher volatility (5.98%) compared to IAU (5.50%). In terms of maximum drawdown, IAU dropped -45.14% vs VGPMX's -78.85%.

Which has better risk-adjusted returns?

VGPMX currently has the higher Sharpe Ratio (4.02 vs 1.23), 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.