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VAB.TO vs. TDB.TO
Performance
Return for Risk
Drawdowns
Volatility
Dividends

Performance

VAB.TO vs. TDB.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in Vanguard Canadian Aggregate Bond Index ETF (VAB.TO) and TD Canadian Aggregate Bond Index ETF (TDB.TO). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

The year-to-date returns for both stocks are quite close, with VAB.TO having a 1.62% return and TDB.TO slightly lower at 1.60%. Over the past 10 years, VAB.TO has underperformed TDB.TO with an annualized return of 1.51%, while TDB.TO has yielded a comparatively higher 1.60% annualized return.


VAB.TO

1D
-0.07%
1M
1.70%
YTD
1.62%
6M
0.78%
1Y
3.12%
3Y*
4.12%
5Y*
0.66%
10Y*
1.51%

TDB.TO

1D
-0.08%
1M
1.60%
YTD
1.60%
6M
0.82%
1Y
3.01%
3Y*
4.14%
5Y*
0.78%
10Y*
1.60%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VAB.TO vs. TDB.TO - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
VAB.TO
Vanguard Canadian Aggregate Bond Index ETF
1.62%2.28%3.98%6.90%-11.86%-2.88%8.26%6.77%1.13%2.30%
TDB.TO
TD Canadian Aggregate Bond Index ETF
1.60%2.24%4.11%6.57%-10.94%-2.98%8.31%6.24%1.46%2.55%

Correlation

The correlation between VAB.TO and TDB.TO is 0.95, 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

0.95

Correlation (3Y)
Calculated over the trailing 3-year period

0.96

Correlation (5Y)
Calculated over the trailing 5-year period

0.91

Correlation (10Y)
Calculated over the trailing 10-year period

0.79

Correlation (All Time)
Calculated using the full available price history since Mar 31, 2016

0.79

The correlation between VAB.TO and TDB.TO shifts across timeframes, from 0.79 (all time) to 0.96 (3 years), reflecting how their relationship changes across market environments.

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Return for Risk

VAB.TO vs. TDB.TO — Risk / Return Rank

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

VAB.TO
VAB.TO Risk / Return Rank: 2121
Overall Rank
VAB.TO Sharpe Ratio Rank: 2020
Sharpe Ratio Rank
VAB.TO Sortino Ratio Rank: 1818
Sortino Ratio Rank
VAB.TO Omega Ratio Rank: 1919
Omega Ratio Rank
VAB.TO Calmar Ratio Rank: 2424
Calmar Ratio Rank
VAB.TO Martin Ratio Rank: 2121
Martin Ratio Rank

TDB.TO
TDB.TO Risk / Return Rank: 2121
Overall Rank
TDB.TO Sharpe Ratio Rank: 2020
Sharpe Ratio Rank
TDB.TO Sortino Ratio Rank: 1919
Sortino Ratio Rank
TDB.TO Omega Ratio Rank: 1919
Omega Ratio Rank
TDB.TO Calmar Ratio Rank: 2424
Calmar Ratio Rank
TDB.TO Martin Ratio Rank: 2121
Martin Ratio Rank
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.

VAB.TO vs. TDB.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Canadian Aggregate Bond Index ETF (VAB.TO) and TD Canadian Aggregate Bond Index ETF (TDB.TO). 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.


VAB.TOTDB.TODifference
Sharpe ratioReturn per unit of total volatility

+0.03

Sortino ratioReturn per unit of downside risk

+0.01

Omega ratioGain probability vs. loss probability

1.12

1.13

0.00

Calmar ratioReturn relative to maximum drawdown

1.10

1.10

0.00

Martin ratioReturn relative to average drawdown

2.61

2.55

+0.07

VAB.TO vs. TDB.TO - Sharpe Ratio Comparison

The current VAB.TO Sharpe Ratio is 0.72, which is comparable to the TDB.TO Sharpe Ratio of 0.69. The chart below compares the historical Sharpe Ratios of VAB.TO and TDB.TO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.


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Sharpe Ratios by Period


VAB.TOTDB.TODifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.72

0.69

+0.03

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.10

0.12

-0.02

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.23

0.24

-0.01

Sharpe Ratio (All Time)

Calculated using the full available price history

0.39

0.27

+0.12

Drawdowns

VAB.TO vs. TDB.TO - Drawdown Comparison

The maximum VAB.TO drawdown since its inception was -18.39%, which is greater than TDB.TO's maximum drawdown of -17.29%. Use the drawdown chart below to compare losses from any high point for VAB.TO and TDB.TO.


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Drawdown Indicators


VAB.TOTDB.TODifference

Max Drawdown

Largest peak-to-trough decline

-18.39%

-17.29%

-1.10%

Max Drawdown (1Y)

Largest decline over 1 year

-2.83%

-2.74%

-0.09%

Max Drawdown (3Y)

Largest decline over 3 years

-5.31%

-5.11%

-0.20%

Max Drawdown (5Y)

Largest decline over 5 years

-15.82%

-15.14%

-0.68%

Max Drawdown (10Y)

Largest decline over 10 years

-18.39%

-17.29%

-1.10%

Current Drawdown

Current decline from peak

-1.92%

-0.85%

-1.07%

Average Drawdown

Average peak-to-trough decline

-4.11%

-4.73%

+0.62%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.20%

1.18%

+0.02%

Volatility

VAB.TO vs. TDB.TO - Volatility Comparison

Vanguard Canadian Aggregate Bond Index ETF (VAB.TO) and TD Canadian Aggregate Bond Index ETF (TDB.TO) have volatilities of 1.59% and 1.64%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


VAB.TOTDB.TODifference

Volatility (1M)

Calculated over the trailing 1-month period

1.59%

1.64%

-0.05%

Volatility (6M)

Calculated over the trailing 6-month period

3.45%

3.39%

+0.06%

Volatility (1Y)

Calculated over the trailing 1-year period

4.38%

4.40%

-0.02%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

6.58%

6.38%

+0.20%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

6.48%

6.59%

-0.11%

VAB.TO vs. TDB.TO - Expense Ratio Comparison

VAB.TO has a 0.09% expense ratio, which is higher than TDB.TO's 0.08% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.


Dividends

VAB.TO vs. TDB.TO - Dividend Comparison

VAB.TO's dividend yield for the trailing twelve months is around 3.32%, less than TDB.TO's 3.51% yield.


PositionTTM20252024202320222021202020192018201720162015
TDB.TO
TD Canadian Aggregate Bond Index ETF
3.51%3.71%4.11%4.11%2.67%2.37%2.38%2.05%4.32%2.94%2.45%0.00%
VAB.TO
Vanguard Canadian Aggregate Bond Index ETF
3.32%3.33%3.19%2.95%2.87%2.48%2.50%2.65%2.79%2.77%2.75%2.78%

Frequently Asked Questions


With a correlation of 0.95, VAB.TO and TDB.TO 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.

On fees, TDB.TO is cheaper at 0.08% per year. The better choice depends on whether you care most about return, fees, risk, or income.

TDB.TO is cheaper with a 0.08% expense ratio, compared with 0.09% for VAB.TO.

VAB.TO tracks Bloomberg Global Aggregate Canadian Float Adjusted Bond Index, while TDB.TO tracks Solactive Broad Canadian Bond Universe Index. They also come from different issuers: Vanguard and TD. Their fees differ too: 0.09% for VAB.TO and 0.08% for TDB.TO.

Portfolio Optimizer

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