IBDO vs. VCLT

Last updated Jun 4, 2026

IBDO (iShares iBonds Dec 2023 Term Corporate ETF) and VCLT (Vanguard Long-Term Corporate Bond ETF) are both Corporate Bonds funds - IBDO tracks the Bloomberg December 2023 Maturity Corporate Index while VCLT tracks the Barclays U.S. 10+ Year Corporate Index. Both are passively managed. At a 0.38 correlation, their price movements are largely independent. IBDO charges 0.10%/yr vs 0.04%/yr for VCLT.

Performance

IBDO vs. VCLT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares iBonds Dec 2023 Term Corporate ETF (IBDO) and Vanguard Long-Term Corporate Bond ETF (VCLT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

IBDO

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

VCLT

• 1D: -0.35%
• 1M: 1.49%
• YTD: 0.99%
• 6M: -0.04%
• 1Y: 7.69%
• 3Y*: 4.34%
• 5Y*: -1.78%
• 10Y*: 2.31%

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

IBDO vs. VCLT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IBDO iShares iBonds Dec 2023 Term Corporate ETF	0.00%	0.00%	0.00%	4.93%	-0.68%	-0.29%	5.37%	8.94%	-0.49%	4.45%
VCLT Vanguard Long-Term Corporate Bond ETF	0.99%	7.18%	-1.90%	11.17%	-25.50%	-1.73%	13.27%	23.89%	-7.04%	11.70%

Correlation

The correlation between IBDO and VCLT is 0.38, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (3Y) Calculated over the trailing 3-year period	0.03
Correlation (5Y) Calculated over the trailing 5-year period	0.20
Correlation (10Y) Calculated over the trailing 10-year period	0.39
Correlation (All Time) Calculated using the full available price history since Mar 13, 2015	0.38

The correlation between IBDO and VCLT shifts across timeframes, from 0.03 (3 years) to 0.39 (10 years), reflecting how their relationship changes across market environments.

Return for Risk

IBDO vs. VCLT — Risk / Return Rank

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

VCLT

VCLT Risk / Return Rank: 27
VCLT Sharpe Ratio Rank: 26
VCLT Sortino Ratio Rank: 26
VCLT Omega Ratio Rank: 25
VCLT Calmar Ratio Rank: 30
VCLT Martin Ratio Rank: 26

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.

IBDO vs. VCLT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares iBonds Dec 2023 Term Corporate ETF (IBDO) and Vanguard Long-Term Corporate Bond ETF (VCLT). 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

	IBDO	VCLT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	0.97	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	-0.14	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.18	—
Sharpe Ratio (All Time) Calculated using the full available price history	—	0.39	—

Drawdowns

Drawdown Indicators

	IBDO	VCLT	Difference
Max Drawdown Largest peak-to-trough decline	—	-34.31%	—
Max Drawdown (1Y) Largest decline over 1 year	—	-5.25%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-13.03%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-34.31%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-34.31%	—
Current Drawdown Current decline from peak	—	-14.36%	—
Average Drawdown Average peak-to-trough decline	—	-8.16%	—
Ulcer Index Depth and duration of drawdowns from previous peaks	—	2.13%	—

Volatility

Volatility by Period

	IBDO	VCLT	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	2.31%	—
Volatility (6M) Calculated over the trailing 6-month period	—	5.75%	—
Volatility (1Y) Calculated over the trailing 1-year period	—	7.92%	—
Volatility (5Y) Calculated over the trailing 5-year period, annualized	—	12.78%	—
Volatility (10Y) Calculated over the trailing 10-year period, annualized	—	12.84%	—

IBDO vs. VCLT - Expense Ratio Comparison

IBDO has a 0.10% expense ratio, which is higher than VCLT's 0.04% 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

IBDO vs. VCLT - Dividend Comparison

IBDO has not paid dividends to shareholders, while VCLT's dividend yield for the trailing twelve months is around 5.55%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IBDO iShares iBonds Dec 2023 Term Corporate ETF	0.00%	0.00%	0.00%	3.61%	1.85%	2.04%	2.47%	3.01%	3.10%	2.96%	3.01%	2.39%
VCLT Vanguard Long-Term Corporate Bond ETF	5.55%	5.51%	5.19%	4.67%	4.44%	3.07%	3.16%	3.81%	4.55%	4.01%	4.33%	4.68%

Frequently Asked Questions

Can I hold both IBDO and VCLT in my portfolio?

IBDO and VCLT have a correlation of 0.38, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, IBDO or VCLT?

On fees, VCLT is cheaper at 0.04% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, IBDO or VCLT?

VCLT is cheaper with a 0.04% expense ratio, compared with 0.10% for IBDO.

Which ETF pays a higher dividend yield, IBDO or VCLT?

VCLT has the higher dividend yield at 5.55%, compared with 0.00% for IBDO.

What is the main difference between IBDO and VCLT?

IBDO tracks Bloomberg December 2023 Maturity Corporate Index, while VCLT tracks Barclays U.S. 10+ Year Corporate Index. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.10% for IBDO and 0.04% for VCLT.