TM vs. VTIP

Last updated Jun 24, 2026

TM (Toyota Motor Corporation) is a stock, while VTIP (Vanguard Short-Term Inflation-Protected Securities ETF) is Inflation-Protected Bonds fund tracking the Bloomberg U.S. Treasury Inflation-Protected Securities (TIPS) 0-5 Year Index. Over the past 10 years, TM returned 7.70%/yr vs 3.03%/yr for VTIP. At a 0.04 correlation, their price movements are largely independent.

Performance

TM vs. VTIP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Toyota Motor Corporation (TM) 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, TM achieves a -21.88% return, which is significantly lower than VTIP's 1.36% return. Over the past 10 years, TM has outperformed VTIP with an annualized return of 7.70%, while VTIP has yielded a comparatively lower 3.03% annualized return.

TM

• 1D: -1.47%
• 1M: -11.56%
• YTD: -21.88%
• 6M: -23.72%
• 1Y: -0.69%
• 3Y*: 5.39%
• 5Y*: 1.30%
• 10Y*: 7.70%

VTIP

• 1D: 0.02%
• 1M: -0.22%
• YTD: 1.36%
• 6M: 1.50%
• 1Y: 3.58%
• 3Y*: 5.00%
• 5Y*: 3.28%
• 10Y*: 3.03%

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

TM vs. VTIP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TM Toyota Motor Corporation	-21.88%	13.82%	8.88%	38.23%	-24.43%	23.21%	13.62%	22.69%	-5.81%	12.10%
VTIP Vanguard Short-Term Inflation-Protected Securities ETF	1.36%	6.07%	4.74%	4.62%	-2.94%	5.36%	4.95%	4.86%	0.56%	0.82%

Correlation

The correlation between TM and VTIP is -0.03, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.03
Correlation (3Y) Calculated over the trailing 3-year period	0.04
Correlation (5Y) Calculated over the trailing 5-year period	0.08
Correlation (10Y) Calculated over the trailing 10-year period	0.06
Correlation (All Time) Calculated using the full available price history since Oct 16, 2012	0.04

The correlation between TM and VTIP shifts across timeframes, from -0.03 (1 year) to 0.08 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

TM vs. VTIP — Risk / Return Rank

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

TM

TM Risk / Return Rank: 39
TM Sharpe Ratio Rank: 42
TM Sortino Ratio Rank: 36
TM Omega Ratio Rank: 35
TM Calmar Ratio Rank: 41
TM Martin Ratio Rank: 41

VTIP

VTIP Risk / Return Rank: 83
VTIP Sharpe Ratio Rank: 74
VTIP Sortino Ratio Rank: 84
VTIP Omega Ratio Rank: 82
VTIP Calmar Ratio Rank: 88
VTIP Martin Ratio Rank: 87

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.

TM vs. VTIP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Toyota Motor Corporation (TM) 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.

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.

	TM	VTIP	Difference
Sharpe ratio: Return per unit of total volatility	-0.02	2.28	-2.31
Sortino ratio: Return per unit of downside risk	0.19	3.58	-3.39
Omega ratio: Gain probability vs. loss probability	1.02	1.47	-0.44
Calmar ratio: Return relative to maximum drawdown	-0.02	5.03	-5.05
Martin ratio: Return relative to average drawdown	-0.06	17.90	-17.95

TM vs. VTIP - Sharpe Ratio Comparison

The current TM Sharpe Ratio is -0.02, which is lower than the VTIP Sharpe Ratio of 2.28. The chart below compares the historical Sharpe Ratios of TM and VTIP, 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

TM vs. VTIP - Drawdown Comparison

The maximum TM drawdown since its inception was -60.15%, which is greater than VTIP's maximum drawdown of -6.27%. Use the drawdown chart below to compare losses from any high point for TM and VTIP.

Drawdown Indicators

	TM	VTIP	Difference
Max Drawdown Largest peak-to-trough decline	-60.15%	-6.27%	-53.88%
Max Drawdown (1Y) Largest decline over 1 year	-32.65%	-0.71%	-31.94%
Max Drawdown (3Y) Largest decline over 3 years	-34.92%	-0.98%	-33.94%
Max Drawdown (5Y) Largest decline over 5 years	-36.80%	-5.50%	-31.30%
Max Drawdown (10Y) Largest decline over 10 years	-36.80%	-6.27%	-30.53%
Current Drawdown Current decline from peak	-32.65%	-0.69%	-31.96%
Average Drawdown Average peak-to-trough decline	-22.17%	-1.04%	-21.13%
Ulcer Index Depth and duration of drawdowns from previous peaks	12.24%	0.20%	+12.04%

Volatility

TM vs. VTIP - Volatility Comparison

Toyota Motor Corporation (TM) has a higher volatility of 7.33% compared to Vanguard Short-Term Inflation-Protected Securities ETF (VTIP) at 0.65%. This indicates that TM's price experiences larger fluctuations and is considered to be riskier than VTIP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TM	VTIP	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.33%	0.65%	+6.68%
Volatility (6M) Calculated over the trailing 6-month period	20.53%	1.17%	+19.36%
Volatility (1Y) Calculated over the trailing 1-year period	29.47%	1.57%	+27.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	26.96%	2.77%	+24.19%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.60%	2.74%	+20.86%

Dividends

TM vs. VTIP - Dividend Comparison

TM's dividend yield for the trailing twelve months is around 1.71%, less than VTIP's 3.61% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
TM Toyota Motor Corporation	1.71%	2.95%	2.81%	2.45%	2.90%	2.45%	2.74%	1.30%	3.40%	2.96%	3.23%	5.59%
VTIP Vanguard Short-Term Inflation-Protected Securities ETF	3.61%	3.81%	2.70%	2.86%	6.84%	4.68%	1.20%	1.95%	2.45%	1.52%	0.76%	0.00%

Frequently Asked Questions

Can I hold both TM and VTIP in my portfolio?

TM and VTIP have a correlation of -0.03, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TM or VTIP?

TM has higher volatility (7.33%) compared to VTIP (0.65%). In terms of maximum drawdown, TM dropped -60.15% vs VTIP's -6.27%.

Which has better risk-adjusted returns?

VTIP currently has the higher Sharpe Ratio (2.28 vs -0.02), 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.