TBIIX vs. VUSTX

Last updated Jun 5, 2026

TBIIX (TIAA-CREF Bond Index Fund) and VUSTX (Vanguard Long-Term Treasury Fund Investor Shares) are both mutual funds - TBIIX is a Intermediate Core Bond fund managed by TIAA Investments, while VUSTX is a Government Bonds fund managed by Vanguard. Over the past 10 years, TBIIX returned 1.41%/yr vs -1.14%/yr for VUSTX. Their correlation of 0.90 suggests significant overlap in exposure. TBIIX charges 0.07%/yr vs 0.20%/yr for VUSTX.

Performance

TBIIX vs. VUSTX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in TIAA-CREF Bond Index Fund (TBIIX) and Vanguard Long-Term Treasury Fund Investor Shares (VUSTX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TBIIX achieves a 0.31% return, which is significantly higher than VUSTX's -0.44% return. Over the past 10 years, TBIIX has outperformed VUSTX with an annualized return of 1.41%, while VUSTX has yielded a comparatively lower -1.14% annualized return.

TBIIX

• 1D: -0.21%
• 1M: 0.13%
• YTD: 0.31%
• 6M: 0.43%
• 1Y: 4.60%
• 3Y*: 3.81%
• 5Y*: -0.17%
• 10Y*: 1.41%

VUSTX

• 1D: -0.38%
• 1M: 0.26%
• YTD: -0.44%
• 6M: -1.06%
• 1Y: 3.95%
• 3Y*: -0.60%
• 5Y*: -5.34%
• 10Y*: -1.14%

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

TBIIX vs. VUSTX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TBIIX TIAA-CREF Bond Index Fund	0.31%	7.12%	1.13%	5.13%	-13.61%	-1.81%	7.69%	8.58%	-0.25%	3.43%
VUSTX Vanguard Long-Term Treasury Fund Investor Shares	-0.44%	5.55%	-6.41%	3.33%	-29.58%	-4.93%	18.20%	14.14%	-1.89%	8.60%

Correlation

The correlation between TBIIX and VUSTX is 0.91, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.91
Correlation (3Y) Calculated over the trailing 3-year period	0.94
Correlation (5Y) Calculated over the trailing 5-year period	0.93
Correlation (10Y) Calculated over the trailing 10-year period	0.91
Correlation (All Time) Calculated using the full available price history since Jan 5, 2010	0.90

The correlation between TBIIX and VUSTX has been stable across timeframes, ranging from 0.90 to 0.94 - a consistent structural relationship.

Return for Risk

TBIIX vs. VUSTX — Risk / Return Rank

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

TBIIX

TBIIX Risk / Return Rank: 21
TBIIX Sharpe Ratio Rank: 21
TBIIX Sortino Ratio Rank: 22
TBIIX Omega Ratio Rank: 19
TBIIX Calmar Ratio Rank: 23
TBIIX Martin Ratio Rank: 21

VUSTX

VUSTX Risk / Return Rank: 7
VUSTX Sharpe Ratio Rank: 7
VUSTX Sortino Ratio Rank: 7
VUSTX Omega Ratio Rank: 7
VUSTX Calmar Ratio Rank: 8
VUSTX Martin Ratio Rank: 7

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.

TBIIX vs. VUSTX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for TIAA-CREF Bond Index Fund (TBIIX) and Vanguard Long-Term Treasury Fund Investor Shares (VUSTX). 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.

	TBIIX	VUSTX	Difference
Sharpe ratio: Return per unit of total volatility	1.30	0.60	+0.70
Sortino ratio: Return per unit of downside risk	1.94	0.91	+1.03
Omega ratio: Gain probability vs. loss probability	1.23	1.11	+0.12
Calmar ratio: Return relative to maximum drawdown	1.77	0.76	+1.01
Martin ratio: Return relative to average drawdown	5.35	1.99	+3.36
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TBIIX vs. VUSTX - Sharpe Ratio Comparison

The current TBIIX Sharpe Ratio is 1.30, which is higher than the VUSTX Sharpe Ratio of 0.60. The chart below compares the historical Sharpe Ratios of TBIIX and VUSTX, 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

	TBIIX	VUSTX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.30	0.60	+0.70
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.03	-0.37	+0.34
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.28	-0.08	+0.36
Sharpe Ratio (All Time) Calculated using the full available price history	0.54	0.44	+0.11

Drawdowns

TBIIX vs. VUSTX - Drawdown Comparison

The maximum TBIIX drawdown since its inception was -19.33%, smaller than the maximum VUSTX drawdown of -46.37%. Use the drawdown chart below to compare losses from any high point for TBIIX and VUSTX.

Drawdown Indicators

	TBIIX	VUSTX	Difference
Max Drawdown Largest peak-to-trough decline	-19.33%	-46.37%	+27.04%
Max Drawdown (1Y) Largest decline over 1 year	-2.99%	-7.19%	+4.20%
Max Drawdown (3Y) Largest decline over 3 years	-6.17%	-17.70%	+11.53%
Max Drawdown (5Y) Largest decline over 5 years	-18.68%	-41.45%	+22.77%
Max Drawdown (10Y) Largest decline over 10 years	-19.33%	-46.37%	+27.04%
Current Drawdown Current decline from peak	-3.59%	-36.70%	+33.11%
Average Drawdown Average peak-to-trough decline	-3.68%	-9.35%	+5.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.99%	2.73%	-1.74%

Volatility

TBIIX vs. VUSTX - Volatility Comparison

The current volatility for TIAA-CREF Bond Index Fund (TBIIX) is 1.36%, while Vanguard Long-Term Treasury Fund Investor Shares (VUSTX) has a volatility of 2.63%. This indicates that TBIIX experiences smaller price fluctuations and is considered to be less risky than VUSTX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TBIIX	VUSTX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.36%	2.63%	-1.27%
Volatility (6M) Calculated over the trailing 6-month period	2.89%	6.06%	-3.17%
Volatility (1Y) Calculated over the trailing 1-year period	4.09%	9.06%	-4.97%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.08%	14.62%	-8.54%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.01%	13.76%	-8.75%

TBIIX vs. VUSTX - Expense Ratio Comparison

TBIIX has a 0.07% expense ratio, which is lower than VUSTX's 0.20% 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

TBIIX vs. VUSTX - Dividend Comparison

TBIIX's dividend yield for the trailing twelve months is around 3.91%, less than VUSTX's 4.48% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
TBIIX TIAA-CREF Bond Index Fund	3.91%	3.73%	3.14%	2.44%	2.11%	2.07%	3.17%	2.82%	2.46%	2.44%	2.31%	2.61%
VUSTX Vanguard Long-Term Treasury Fund Investor Shares	4.48%	4.29%	4.03%	3.33%	2.93%	4.21%	10.38%	2.82%	2.82%	2.64%	5.27%	5.52%

Frequently Asked Questions

Can I hold both TBIIX and VUSTX in my portfolio?

With a correlation of 0.91, TBIIX and VUSTX 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, TBIIX or VUSTX?

VUSTX has higher volatility (2.63%) compared to TBIIX (1.36%). In terms of maximum drawdown, TBIIX dropped -19.33% vs VUSTX's -46.37%.

Which has better risk-adjusted returns?

TBIIX currently has the higher Sharpe Ratio (1.30 vs 0.60), 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.