INVG vs. VTC

Last updated Jun 24, 2026

INVG (GMO Systematic Investment Grade Credit ETF) and VTC (Vanguard Total Corporate Bond ETF) are both Corporate Bonds funds. INVG is actively managed, while VTC is passively managed. Over the past year, INVG returned 5.23% vs 5.12% for VTC. With a 0.98 correlation, they move nearly in lockstep. INVG charges 0.25%/yr vs 0.03%/yr for VTC.

Performance

INVG vs. VTC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in GMO Systematic Investment Grade Credit ETF (INVG) and Vanguard Total Corporate Bond ETF (VTC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, INVG achieves a 0.96% return, which is significantly higher than VTC's 0.84% return.

INVG

• 1D: 0.16%
• 1M: 0.87%
• YTD: 0.96%
• 6M: 1.01%
• 1Y: 5.23%
• 3Y*: —
• 5Y*: —
• 10Y*: —

VTC

• 1D: 0.14%
• 1M: 0.79%
• YTD: 0.84%
• 6M: 0.89%
• 1Y: 5.12%
• 3Y*: 5.23%
• 5Y*: 0.35%
• 10Y*: —

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

INVG vs. VTC - Yearly Performance Comparison

	2026 (YTD)	2025
INVG GMO Systematic Investment Grade Credit ETF	0.96%	5.03%
VTC Vanguard Total Corporate Bond ETF	0.84%	5.36%

Correlation

The correlation between INVG and VTC is 0.98 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.98
Correlation (All Time) Calculated using the full available price history since Jun 4, 2025	0.98

The correlation between INVG and VTC has been stable across timeframes, ranging from 0.98 to 0.98 - a consistent structural relationship.

Return for Risk

INVG vs. VTC — Risk / Return Rank

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

INVG

INVG Risk / Return Rank: 36
INVG Sharpe Ratio Rank: 36
INVG Sortino Ratio Rank: 36
INVG Omega Ratio Rank: 33
INVG Calmar Ratio Rank: 36
INVG Martin Ratio Rank: 37

VTC

VTC Risk / Return Rank: 35
VTC Sharpe Ratio Rank: 34
VTC Sortino Ratio Rank: 35
VTC Omega Ratio Rank: 32
VTC Calmar Ratio Rank: 36
VTC Martin Ratio Rank: 37

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.

INVG vs. VTC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for GMO Systematic Investment Grade Credit ETF (INVG) and Vanguard Total Corporate Bond ETF (VTC). 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.

	INVG	VTC	Difference
Sharpe ratio: Return per unit of total volatility	1.18	1.19	-0.01
Sortino ratio: Return per unit of downside risk	1.74	1.76	-0.01
Omega ratio: Gain probability vs. loss probability	1.21	1.21	0.00
Calmar ratio: Return relative to maximum drawdown	1.67	1.79	-0.12
Martin ratio: Return relative to average drawdown	5.31	5.54	-0.24

INVG vs. VTC - Sharpe Ratio Comparison

The current INVG Sharpe Ratio is 1.18, which is comparable to the VTC Sharpe Ratio of 1.19. The chart below compares the historical Sharpe Ratios of INVG and VTC, 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

INVG vs. VTC - Drawdown Comparison

The maximum INVG drawdown since its inception was -3.15%, smaller than the maximum VTC drawdown of -22.05%. Use the drawdown chart below to compare losses from any high point for INVG and VTC.

Drawdown Indicators

	INVG	VTC	Difference
Max Drawdown Largest peak-to-trough decline	-3.15%	-22.05%	+18.90%
Max Drawdown (1Y) Largest decline over 1 year	-3.15%	-2.88%	-0.27%
Max Drawdown (3Y) Largest decline over 3 years	—	-6.46%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-22.05%	—
Current Drawdown Current decline from peak	-0.61%	-0.74%	+0.13%
Average Drawdown Average peak-to-trough decline	-0.71%	-5.81%	+5.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.99%	0.93%	+0.06%

Volatility

INVG vs. VTC - Volatility Comparison

GMO Systematic Investment Grade Credit ETF (INVG) and Vanguard Total Corporate Bond ETF (VTC) have volatilities of 1.26% and 1.20%, 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

	INVG	VTC	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.26%	1.20%	+0.06%
Volatility (6M) Calculated over the trailing 6-month period	3.41%	3.31%	+0.10%
Volatility (1Y) Calculated over the trailing 1-year period	4.45%	4.34%	+0.11%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.45%	7.08%	-2.63%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.45%	7.67%	-3.22%

INVG vs. VTC - Expense Ratio Comparison

INVG has a 0.25% expense ratio, which is higher than VTC's 0.03% 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

INVG vs. VTC - Dividend Comparison

INVG's dividend yield for the trailing twelve months is around 4.66%, less than VTC's 4.92% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
INVG GMO Systematic Investment Grade Credit ETF	4.66%	2.81%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VTC Vanguard Total Corporate Bond ETF	4.92%	4.76%	4.50%	3.80%	3.13%	2.36%	2.69%	3.34%	3.53%	0.55%

Frequently Asked Questions

Can I hold both INVG and VTC in my portfolio?

With a correlation of 0.98, INVG and VTC 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, INVG or VTC?

INVG has higher volatility (1.26%) compared to VTC (1.20%). In terms of maximum drawdown, INVG dropped -3.15% vs VTC's -22.05%.

Which ETF is better, INVG or VTC?

On 1-year performance, INVG leads with 5.23% vs 5.12% for VTC. On fees, VTC is cheaper at 0.03% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, INVG or VTC?

Over the 1-year period, INVG has performed better with a 5.23% return vs 5.12%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, INVG or VTC?

VTC is cheaper with a 0.03% expense ratio, compared with 0.25% for INVG.

Which ETF pays a higher dividend yield, INVG or VTC?

VTC has the higher dividend yield at 4.92%, compared with 4.66% for INVG.

What is the main difference between INVG and VTC?

They also come from different issuers: GMO and Vanguard. Their fees differ too: 0.25% for INVG and 0.03% for VTC.

Which has better risk-adjusted returns?

VTC currently has the higher Sharpe Ratio (1.19 vs 1.18), 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.