SCHP vs. VSCGX

Last updated Jun 13, 2026

SCHP (Schwab U.S. TIPS ETF) and VSCGX (Vanguard LifeStrategy 40/60 Fund) are both funds - SCHP is a Inflation-Protected Bonds fund tracking the Bloomberg US Treasury Inflation-Linked Bond Index (Series-L), while VSCGX is a Diversified Portfolio fund managed by Vanguard. Over the past 10 years, SCHP returned 2.60%/yr vs 6.57%/yr for VSCGX. At a 0.20 correlation, their price movements are largely independent. SCHP charges 0.03%/yr vs 0.10%/yr for VSCGX.

Performance

SCHP vs. VSCGX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Schwab U.S. TIPS ETF (SCHP) and Vanguard LifeStrategy 40/60 Fund (VSCGX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SCHP achieves a 1.42% return, which is significantly lower than VSCGX's 4.59% return. Over the past 10 years, SCHP has underperformed VSCGX with an annualized return of 2.60%, while VSCGX has yielded a comparatively higher 6.57% annualized return.

SCHP

• 1D: 0.04%
• 1M: -0.18%
• YTD: 1.42%
• 6M: 1.48%
• 1Y: 4.71%
• 3Y*: 4.14%
• 5Y*: 1.06%
• 10Y*: 2.60%

VSCGX

• 1D: 1.25%
• 1M: 0.27%
• YTD: 4.59%
• 6M: 5.18%
• 1Y: 12.24%
• 3Y*: 11.83%
• 5Y*: 5.18%
• 10Y*: 6.57%

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

SCHP vs. VSCGX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SCHP Schwab U.S. TIPS ETF	1.42%	6.76%	1.95%	3.91%	-12.02%	5.87%	10.86%	8.52%	-1.78%	3.02%
VSCGX Vanguard LifeStrategy 40/60 Fund	4.59%	12.87%	11.65%	12.72%	-15.00%	6.04%	11.51%	15.69%	-2.95%	10.02%

Correlation

The correlation between SCHP and VSCGX is 0.46, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.46
Correlation (3Y) Calculated over the trailing 3-year period	0.52
Correlation (5Y) Calculated over the trailing 5-year period	0.47
Correlation (10Y) Calculated over the trailing 10-year period	0.34
Correlation (All Time) Calculated using the full available price history since Aug 5, 2010	0.20

Over the past year, SCHP and VSCGX have become more correlated (0.46) than their long-term average of 0.20, meaning their price movements have been converging.

SCHP vs. VSCGX - Sectors Allocation Comparison

Sectors	SCHP	VSCGX
Consumer Cyclical	100.0%	9.4%
Financial Services	0.0%	16.1%
Basic Materials	-	4.3%
Communication Services	-	8.0%
Consumer Defensive	-	4.8%
Energy	-	4.3%
Healthcare	-	8.3%
Industrials	-	12.3%
Real Estate	-	2.5%
Technology	-	27.4%
Utilities	-	2.7%

Return for Risk

SCHP vs. VSCGX — Risk / Return Rank

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

SCHP

SCHP Risk / Return Rank: 50
SCHP Sharpe Ratio Rank: 47
SCHP Sortino Ratio Rank: 51
SCHP Omega Ratio Rank: 45
SCHP Calmar Ratio Rank: 56
SCHP Martin Ratio Rank: 50

VSCGX

VSCGX Risk / Return Rank: 70
VSCGX Sharpe Ratio Rank: 71
VSCGX Sortino Ratio Rank: 72
VSCGX Omega Ratio Rank: 73
VSCGX Calmar Ratio Rank: 62
VSCGX Martin Ratio Rank: 70

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.

SCHP vs. VSCGX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Schwab U.S. TIPS ETF (SCHP) and Vanguard LifeStrategy 40/60 Fund (VSCGX). 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.

	SCHP	VSCGX	Difference
Sharpe ratio: Return per unit of total volatility	1.44	1.96	-0.52
Sortino ratio: Return per unit of downside risk	2.19	2.81	-0.63
Omega ratio: Gain probability vs. loss probability	1.25	1.38	-0.12
Calmar ratio: Return relative to maximum drawdown	2.45	2.45	0.00
Martin ratio: Return relative to average drawdown	7.41	10.50	-3.10

SCHP vs. VSCGX - Sharpe Ratio Comparison

The current SCHP Sharpe Ratio is 1.44, which is comparable to the VSCGX Sharpe Ratio of 1.96. The chart below compares the historical Sharpe Ratios of SCHP and VSCGX, 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

SCHP vs. VSCGX - Drawdown Comparison

The maximum SCHP drawdown since its inception was -14.26%, smaller than the maximum VSCGX drawdown of -30.62%. Use the drawdown chart below to compare losses from any high point for SCHP and VSCGX.

Drawdown Indicators

	SCHP	VSCGX	Difference
Max Drawdown Largest peak-to-trough decline	-14.26%	-30.62%	+16.36%
Max Drawdown (1Y) Largest decline over 1 year	-1.93%	-5.19%	+3.26%
Max Drawdown (3Y) Largest decline over 3 years	-4.48%	-6.71%	+2.23%
Max Drawdown (5Y) Largest decline over 5 years	-14.26%	-20.15%	+5.89%
Max Drawdown (10Y) Largest decline over 10 years	-14.26%	-20.15%	+5.89%
Current Drawdown Current decline from peak	-0.44%	-1.00%	+0.56%
Average Drawdown Average peak-to-trough decline	-3.93%	-3.00%	-0.93%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.64%	1.21%	-0.57%

Volatility

SCHP vs. VSCGX - Volatility Comparison

The current volatility for Schwab U.S. TIPS ETF (SCHP) is 1.02%, while Vanguard LifeStrategy 40/60 Fund (VSCGX) has a volatility of 2.77%. This indicates that SCHP experiences smaller price fluctuations and is considered to be less risky than VSCGX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SCHP	VSCGX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.02%	2.77%	-1.75%
Volatility (6M) Calculated over the trailing 6-month period	2.24%	5.48%	-3.24%
Volatility (1Y) Calculated over the trailing 1-year period	3.30%	6.50%	-3.20%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.12%	7.75%	-1.63%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.59%	7.39%	-1.80%

SCHP vs. VSCGX - Expense Ratio Comparison

SCHP has a 0.03% expense ratio, which is lower than VSCGX's 0.10% 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

SCHP vs. VSCGX - Dividend Comparison

SCHP's dividend yield for the trailing twelve months is around 3.99%, less than VSCGX's 5.30% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SCHP Schwab U.S. TIPS ETF	3.99%	4.06%	2.99%	3.02%	7.19%	4.39%	1.11%	2.02%	2.26%	1.90%	1.38%	0.28%
VSCGX Vanguard LifeStrategy 40/60 Fund	5.30%	5.50%	11.03%	5.23%	2.79%	4.18%	3.28%	2.62%	3.81%	1.65%	2.43%	3.21%

Frequently Asked Questions

Can I hold both SCHP and VSCGX in my portfolio?

SCHP and VSCGX have a correlation of 0.46, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SCHP or VSCGX?

VSCGX has higher volatility (2.77%) compared to SCHP (1.02%). In terms of maximum drawdown, SCHP dropped -14.26% vs VSCGX's -30.62%.

Which has better risk-adjusted returns?

VSCGX currently has the higher Sharpe Ratio (1.96 vs 1.44), 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.