PALDX vs. VBIAX

Last updated Jun 23, 2026

PALDX (PGIM 60/40 Allocation Fund) and VBIAX (Vanguard Balanced Index Fund Admiral Shares) are both Diversified Portfolio funds. Over the past 5 years, PALDX returned 9.57%/yr vs 7.84%/yr for VBIAX. With a 0.95 correlation, they move nearly in lockstep. PALDX charges 0.03%/yr vs 0.07%/yr for VBIAX.

Performance

PALDX vs. VBIAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in PGIM 60/40 Allocation Fund (PALDX) and Vanguard Balanced Index Fund Admiral Shares (VBIAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PALDX achieves a 7.39% return, which is significantly higher than VBIAX's 6.69% return.

PALDX

• 1D: 0.60%
• 1M: 0.94%
• YTD: 7.39%
• 6M: 7.16%
• 1Y: 20.27%
• 3Y*: 16.07%
• 5Y*: 9.57%
• 10Y*: —

VBIAX

• 1D: 0.79%
• 1M: 0.89%
• YTD: 6.69%
• 6M: 6.29%
• 1Y: 18.22%
• 3Y*: 14.11%
• 5Y*: 7.84%
• 10Y*: 9.80%

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

PALDX vs. VBIAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PALDX PGIM 60/40 Allocation Fund	7.39%	13.62%	18.96%	18.90%	-15.65%	16.30%	10.68%	22.27%	-4.12%	5.95%
VBIAX Vanguard Balanced Index Fund Admiral Shares	6.69%	13.61%	14.58%	17.54%	-16.90%	14.21%	16.40%	21.78%	-2.86%	4.67%

Correlation

The correlation between PALDX and VBIAX 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 (3Y) Calculated over the trailing 3-year period	0.98
Correlation (5Y) Calculated over the trailing 5-year period	0.98
Correlation (All Time) Calculated using the full available price history since Sep 13, 2017	0.96

The correlation between PALDX and VBIAX has been stable across timeframes, ranging from 0.95 to 0.98 - a consistent structural relationship.

Return for Risk

PALDX vs. VBIAX — Risk / Return Rank

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

PALDX

PALDX Risk / Return Rank: 81
PALDX Sharpe Ratio Rank: 80
PALDX Sortino Ratio Rank: 79
PALDX Omega Ratio Rank: 77
PALDX Calmar Ratio Rank: 79
PALDX Martin Ratio Rank: 88

VBIAX

VBIAX Risk / Return Rank: 69
VBIAX Sharpe Ratio Rank: 65
VBIAX Sortino Ratio Rank: 65
VBIAX Omega Ratio Rank: 63
VBIAX Calmar Ratio Rank: 71
VBIAX Martin Ratio Rank: 80

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.

PALDX vs. VBIAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for PGIM 60/40 Allocation Fund (PALDX) and Vanguard Balanced Index Fund Admiral Shares (VBIAX). 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.

	PALDX	VBIAX	Difference
Sharpe ratio: Return per unit of total volatility	2.43	2.18	+0.26
Sortino ratio: Return per unit of downside risk	3.45	3.07	+0.38
Omega ratio: Gain probability vs. loss probability	1.46	1.40	+0.06
Calmar ratio: Return relative to maximum drawdown	3.40	3.12	+0.28
Martin ratio: Return relative to average drawdown	15.74	13.84	+1.90

PALDX vs. VBIAX - Sharpe Ratio Comparison

The current PALDX Sharpe Ratio is 2.43, which is comparable to the VBIAX Sharpe Ratio of 2.18. The chart below compares the historical Sharpe Ratios of PALDX and VBIAX, 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

PALDX vs. VBIAX - Drawdown Comparison

The maximum PALDX drawdown since its inception was -26.16%, smaller than the maximum VBIAX drawdown of -35.90%. Use the drawdown chart below to compare losses from any high point for PALDX and VBIAX.

Drawdown Indicators

	PALDX	VBIAX	Difference
Max Drawdown Largest peak-to-trough decline	-26.16%	-35.90%	+9.74%
Max Drawdown (1Y) Largest decline over 1 year	-5.96%	-5.83%	-0.13%
Max Drawdown (3Y) Largest decline over 3 years	-16.06%	-11.70%	-4.36%
Max Drawdown (5Y) Largest decline over 5 years	-20.47%	-21.53%	+1.06%
Max Drawdown (10Y) Largest decline over 10 years	—	-22.78%	—
Current Drawdown Current decline from peak	-0.46%	-0.62%	+0.16%
Average Drawdown Average peak-to-trough decline	-4.07%	-4.44%	+0.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.29%	1.31%	-0.02%

Volatility

PALDX vs. VBIAX - Volatility Comparison

PGIM 60/40 Allocation Fund (PALDX) and Vanguard Balanced Index Fund Admiral Shares (VBIAX) have volatilities of 3.29% and 3.33%, 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

	PALDX	VBIAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.29%	3.33%	-0.04%
Volatility (6M) Calculated over the trailing 6-month period	6.78%	6.72%	+0.06%
Volatility (1Y) Calculated over the trailing 1-year period	8.34%	8.36%	-0.02%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.17%	11.12%	+1.05%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	12.70%	11.25%	+1.45%

PALDX vs. VBIAX - Expense Ratio Comparison

PALDX has a 0.03% expense ratio, which is lower than VBIAX's 0.07% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

PALDX vs. VBIAX - Dividend Comparison

PALDX's dividend yield for the trailing twelve months is around 5.05%, less than VBIAX's 5.25% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PALDX PGIM 60/40 Allocation Fund	5.05%	5.42%	10.40%	2.94%	6.19%	6.87%	2.58%	4.58%	3.65%	1.48%	0.00%	0.00%
VBIAX Vanguard Balanced Index Fund Admiral Shares	5.25%	6.00%	5.27%	4.35%	2.83%	3.19%	2.65%	2.28%	2.32%	1.95%	2.09%	2.09%

Frequently Asked Questions

Can I hold both PALDX and VBIAX in my portfolio?

With a correlation of 0.98, PALDX and VBIAX 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, PALDX or VBIAX?

VBIAX has higher volatility (3.33%) compared to PALDX (3.29%). In terms of maximum drawdown, PALDX dropped -26.16% vs VBIAX's -35.90%.

Which has better risk-adjusted returns?

PALDX currently has the higher Sharpe Ratio (2.43 vs 2.17), 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.