TIPB vs. VTIP

Last updated Jun 4, 2026

TIPB (Northern Trust 2035 Inflation-Linked Distributing Ladder ETF) and VTIP (Vanguard Short-Term Inflation-Protected Securities ETF) are both Inflation-Protected Bonds funds. TIPB is actively managed, while VTIP is passively managed. Their correlation of 0.83 suggests significant overlap in exposure.

Performance

TIPB vs. VTIP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Northern Trust 2035 Inflation-Linked Distributing Ladder ETF (TIPB) and Vanguard Short-Term Inflation-Protected Securities ETF (VTIP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TIPB achieves a 1.86% return, which is significantly lower than VTIP's 2.05% return.

TIPB

• 1D: -0.12%
• 1M: -0.22%
• YTD: 1.86%
• 6M: 1.53%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

VTIP

• 1D: 0.00%
• 1M: 0.04%
• YTD: 2.05%
• 6M: 2.03%
• 1Y: 4.70%
• 3Y*: 5.26%
• 5Y*: 3.37%
• 10Y*: 3.14%

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

TIPB vs. VTIP - Yearly Performance Comparison

	2026 (YTD)	2025
TIPB Northern Trust 2035 Inflation-Linked Distributing Ladder ETF	1.86%	0.79%
VTIP Vanguard Short-Term Inflation-Protected Securities ETF	2.05%	1.06%

Correlation

The correlation between TIPB and VTIP is 0.83, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (All Time) Calculated using the full available price history since Aug 20, 2025	0.83

Return for Risk

TIPB vs. VTIP — Risk / Return Rank

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

VTIP

VTIP Risk / Return Rank: 93
VTIP Sharpe Ratio Rank: 90
VTIP Sortino Ratio Rank: 95
VTIP Omega Ratio Rank: 93
VTIP Calmar Ratio Rank: 93
VTIP Martin Ratio Rank: 93

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.

TIPB vs. VTIP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Northern Trust 2035 Inflation-Linked Distributing Ladder ETF (TIPB) and Vanguard Short-Term Inflation-Protected Securities ETF (VTIP). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	TIPB	VTIP	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	3.15	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	1.22	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	1.15	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.35	0.89	+0.45

Drawdowns

TIPB vs. VTIP - Drawdown Comparison

The maximum TIPB drawdown since its inception was -1.32%, smaller than the maximum VTIP drawdown of -6.27%. Use the drawdown chart below to compare losses from any high point for TIPB and VTIP.

Drawdown Indicators

	TIPB	VTIP	Difference
Max Drawdown Largest peak-to-trough decline	-1.32%	-6.27%	+4.95%
Max Drawdown (1Y) Largest decline over 1 year	—	-0.70%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-0.98%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-5.50%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-6.27%	—
Current Drawdown Current decline from peak	-0.31%	-0.02%	-0.29%
Average Drawdown Average peak-to-trough decline	-0.37%	-1.04%	+0.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.18%	—

Volatility

Volatility by Period

	TIPB	VTIP	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	0.43%	—
Volatility (6M) Calculated over the trailing 6-month period	—	1.02%	—
Volatility (1Y) Calculated over the trailing 1-year period	2.54%	1.50%	+1.04%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.54%	2.77%	-0.23%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.54%	2.74%	-0.20%

Dividends

TIPB vs. VTIP - Dividend Comparison

TIPB's dividend yield for the trailing twelve months is around 3.02%, less than VTIP's 3.58% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
TIPB Northern Trust 2035 Inflation-Linked Distributing Ladder ETF	3.02%	1.09%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VTIP Vanguard Short-Term Inflation-Protected Securities ETF	3.58%	3.81%	2.70%	2.86%	6.84%	4.68%	1.20%	1.95%	2.45%	1.52%	0.76%

Frequently Asked Questions

Can I hold both TIPB and VTIP in my portfolio?

TIPB and VTIP have a correlation of 0.83, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF pays a higher dividend yield, TIPB or VTIP?

VTIP has the higher dividend yield at 3.58%, compared with 3.02% for TIPB.

What is the main difference between TIPB and VTIP?

They also come from different issuers: Northern Trust and Vanguard.