SPHY vs. VBR

Last updated Jun 9, 2026

SPHY (SPDR Portfolio High Yield Bond ETF) and VBR (Vanguard Small-Cap Value ETF) are both exchange-traded funds - SPHY is a High Yield Bonds fund tracking the ICE BofA US High Yield Index, while VBR is a Small Cap Value Equities fund tracking the CRSP US Small Cap Value Index. Both are passively managed. Over the past 10 years, SPHY returned 5.03%/yr vs 10.50%/yr for VBR. At a 0.42 correlation, their price movements are largely independent. Both charge a 0.05% expense ratio.

Performance

SPHY vs. VBR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR Portfolio High Yield Bond ETF (SPHY) and Vanguard Small-Cap Value ETF (VBR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SPHY achieves a 1.32% return, which is significantly lower than VBR's 11.45% return. Over the past 10 years, SPHY has underperformed VBR with an annualized return of 5.03%, while VBR has yielded a comparatively higher 10.50% annualized return.

SPHY

• 1D: 0.09%
• 1M: -0.18%
• YTD: 1.32%
• 6M: 1.93%
• 1Y: 6.98%
• 3Y*: 8.78%
• 5Y*: 4.29%
• 10Y*: 5.03%

VBR

• 1D: 0.16%
• 1M: 0.48%
• YTD: 11.45%
• 6M: 12.14%
• 1Y: 24.85%
• 3Y*: 15.60%
• 5Y*: 7.78%
• 10Y*: 10.50%

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

SPHY vs. VBR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SPHY SPDR Portfolio High Yield Bond ETF	1.32%	8.59%	8.54%	12.81%	-10.57%	5.61%	6.65%	13.16%	-3.35%	7.35%
VBR Vanguard Small-Cap Value ETF	11.45%	9.09%	12.40%	16.00%	-9.38%	28.08%	5.90%	22.78%	-12.28%	11.81%

Correlation

The correlation between SPHY and VBR is 0.69, 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	0.69
Correlation (3Y) Calculated over the trailing 3-year period	0.67
Correlation (5Y) Calculated over the trailing 5-year period	0.67
Correlation (10Y) Calculated over the trailing 10-year period	0.53
Correlation (All Time) Calculated using the full available price history since Jun 20, 2012	0.42

Over the past year, SPHY and VBR have become more correlated (0.69) than their long-term average of 0.42, meaning their price movements have been converging.

SPHY vs. VBR - Sectors Allocation Comparison

Sectors	SPHY	VBR
Financial Services	99.9%	17.6%
Energy	0.1%	5.2%
Basic Materials	-	6.3%
Communication Services	-	2.5%
Consumer Cyclical	-	12.4%
Consumer Defensive	-	4.0%
Healthcare	-	7.9%
Industrials	-	18.1%
Real Estate	-	10.1%
Technology	-	10.6%
Utilities	-	4.8%

Return for Risk

SPHY vs. VBR — Risk / Return Rank

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

SPHY

SPHY Risk / Return Rank: 69
SPHY Sharpe Ratio Rank: 63
SPHY Sortino Ratio Rank: 70
SPHY Omega Ratio Rank: 70
SPHY Calmar Ratio Rank: 64
SPHY Martin Ratio Rank: 76

VBR

VBR Risk / Return Rank: 57
VBR Sharpe Ratio Rank: 53
VBR Sortino Ratio Rank: 56
VBR Omega Ratio Rank: 51
VBR Calmar Ratio Rank: 62
VBR Martin Ratio Rank: 61

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.

SPHY vs. VBR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR Portfolio High Yield Bond ETF (SPHY) and Vanguard Small-Cap Value ETF (VBR). 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.

	SPHY	VBR	Difference
Sharpe ratio: Return per unit of total volatility	1.90	1.65	+0.25
Sortino ratio: Return per unit of downside risk	2.88	2.43	+0.44
Omega ratio: Gain probability vs. loss probability	1.38	1.29	+0.09
Calmar ratio: Return relative to maximum drawdown	2.90	2.82	+0.09
Martin ratio: Return relative to average drawdown	13.14	9.94	+3.20
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SPHY vs. VBR - Sharpe Ratio Comparison

The current SPHY Sharpe Ratio is 1.90, which is comparable to the VBR Sharpe Ratio of 1.65. The chart below compares the historical Sharpe Ratios of SPHY and VBR, 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

	SPHY	VBR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.90	1.65	+0.25
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.60	0.40	+0.21
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.64	0.49	+0.16
Sharpe Ratio (All Time) Calculated using the full available price history	0.63	0.42	+0.22

Drawdowns

SPHY vs. VBR - Drawdown Comparison

The maximum SPHY drawdown since its inception was -21.97%, smaller than the maximum VBR drawdown of -61.98%. Use the drawdown chart below to compare losses from any high point for SPHY and VBR.

Drawdown Indicators

	SPHY	VBR	Difference
Max Drawdown Largest peak-to-trough decline	-21.97%	-61.98%	+40.01%
Max Drawdown (1Y) Largest decline over 1 year	-2.41%	-8.85%	+6.44%
Max Drawdown (3Y) Largest decline over 3 years	-4.85%	-24.19%	+19.34%
Max Drawdown (5Y) Largest decline over 5 years	-15.29%	-24.19%	+8.90%
Max Drawdown (10Y) Largest decline over 10 years	-21.97%	-45.28%	+23.31%
Current Drawdown Current decline from peak	-0.44%	-0.95%	+0.51%
Average Drawdown Average peak-to-trough decline	-2.29%	-8.26%	+5.97%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.53%	2.51%	-1.98%

Volatility

SPHY vs. VBR - Volatility Comparison

The current volatility for SPDR Portfolio High Yield Bond ETF (SPHY) is 1.10%, while Vanguard Small-Cap Value ETF (VBR) has a volatility of 3.67%. This indicates that SPHY experiences smaller price fluctuations and is considered to be less risky than VBR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SPHY	VBR	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.10%	3.67%	-2.57%
Volatility (6M) Calculated over the trailing 6-month period	2.94%	10.49%	-7.55%
Volatility (1Y) Calculated over the trailing 1-year period	3.69%	15.16%	-11.47%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.18%	19.77%	-12.59%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	7.88%	21.74%	-13.86%

SPHY vs. VBR - Expense Ratio Comparison

Both SPHY and VBR have an expense ratio of 0.05%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

SPHY vs. VBR - Dividend Comparison

SPHY's dividend yield for the trailing twelve months is around 7.28%, more than VBR's 1.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SPHY SPDR Portfolio High Yield Bond ETF	7.28%	7.38%	7.80%	7.30%	6.47%	5.13%	5.63%	5.73%	4.09%	4.41%	4.27%	4.29%
VBR Vanguard Small-Cap Value ETF	1.76%	1.95%	1.98%	2.12%	2.03%	1.75%	1.68%	2.06%	2.35%	1.79%	1.77%	1.99%

Frequently Asked Questions

Can I hold both SPHY and VBR in my portfolio?

SPHY and VBR have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SPHY or VBR?

VBR has higher volatility (3.67%) compared to SPHY (1.10%). In terms of maximum drawdown, SPHY dropped -21.97% vs VBR's -61.98%.

Which ETF is better, SPHY or VBR?

On 10-year performance, VBR leads with 10.50% vs 5.03% for SPHY. Both ETFs have the same 0.05% expense ratio. On volatility, SPHY has been the lower-risk option at 1.10%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SPHY or VBR?

Over the 10-year period, VBR has performed better with a 10.50% return vs 5.03%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SPHY or VBR?

SPHY and VBR have the same expense ratio: 0.05% per year.

Which ETF pays a higher dividend yield, SPHY or VBR?

SPHY has the higher dividend yield at 7.28%, compared with 1.76% for VBR.

What is the main difference between SPHY and VBR?

SPHY is categorized as High Yield Bonds, while VBR is Small Cap Value Equities. SPHY tracks ICE BofA US High Yield Index, while VBR tracks CRSP US Small Cap Value Index. They also come from different issuers: State Street and Vanguard.

Which has better risk-adjusted returns?

SPHY currently has the higher Sharpe Ratio (1.90 vs 1.65), 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.