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VAB.TO vs. VBG.NEO
Performance
Return for Risk
Drawdowns
Volatility
Dividends

Performance

VAB.TO vs. VBG.NEO - 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 Vanguard Global ex-U.S. Aggregate Bond Index ETF (CAD-hedged) (VBG.NEO). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, VAB.TO achieves a 1.62% return, which is significantly higher than VBG.NEO's -0.37% return. Over the past 10 years, VAB.TO has outperformed VBG.NEO with an annualized return of 1.51%, while VBG.NEO has yielded a comparatively lower 0.30% 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%

VBG.NEO

1D
-0.32%
1M
0.52%
YTD
-0.37%
6M
-1.06%
1Y
-0.73%
3Y*
1.73%
5Y*
-1.36%
10Y*
0.30%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VAB.TO vs. VBG.NEO - 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%
VBG.NEO
Vanguard Global ex-U.S. Aggregate Bond Index ETF (CAD-hedged)
-0.37%0.14%1.68%6.85%-13.38%-3.03%3.87%6.33%1.34%1.78%

Correlation

The correlation between VAB.TO and VBG.NEO is 0.61, 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

0.61

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

0.71

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

0.73

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

0.66

Correlation (All Time)
Calculated using the full available price history since Jul 2, 2014

0.63

The correlation between VAB.TO and VBG.NEO shifts across timeframes, from 0.61 (1 year) to 0.73 (5 years), reflecting how their relationship changes across market environments.

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Return for Risk

VAB.TO vs. VBG.NEO — 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

VBG.NEO
VBG.NEO Risk / Return Rank: 66
Overall Rank
VBG.NEO Sharpe Ratio Rank: 77
Sharpe Ratio Rank
VBG.NEO Sortino Ratio Rank: 66
Sortino Ratio Rank
VBG.NEO Omega Ratio Rank: 66
Omega Ratio Rank
VBG.NEO Calmar Ratio Rank: 77
Calmar Ratio Rank
VBG.NEO Martin Ratio Rank: 66
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. VBG.NEO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Canadian Aggregate Bond Index ETF (VAB.TO) and Vanguard Global ex-U.S. Aggregate Bond Index ETF (CAD-hedged) (VBG.NEO). 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.TOVBG.NEODifference
Sharpe ratioReturn per unit of total volatility

+0.91

Sortino ratioReturn per unit of downside risk

+1.23

Omega ratioGain probability vs. loss probability

1.12

0.97

+0.16

Calmar ratioReturn relative to maximum drawdown

1.10

-0.23

+1.33

Martin ratioReturn relative to average drawdown

2.61

-0.56

+3.17

VAB.TO vs. VBG.NEO - Sharpe Ratio Comparison

The current VAB.TO Sharpe Ratio is 0.72, which is higher than the VBG.NEO Sharpe Ratio of -0.19. The chart below compares the historical Sharpe Ratios of VAB.TO and VBG.NEO, 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.TOVBG.NEODifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.72

-0.19

+0.91

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.10

-0.26

+0.36

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.23

0.06

+0.17

Sharpe Ratio (All Time)

Calculated using the full available price history

0.39

0.23

+0.16

Drawdowns

VAB.TO vs. VBG.NEO - Drawdown Comparison

The maximum VAB.TO drawdown since its inception was -18.39%, which is greater than VBG.NEO's maximum drawdown of -17.31%. Use the drawdown chart below to compare losses from any high point for VAB.TO and VBG.NEO.


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Drawdown Indicators


VAB.TOVBG.NEODifference

Max Drawdown

Largest peak-to-trough decline

-18.39%

-17.31%

-1.08%

Max Drawdown (1Y)

Largest decline over 1 year

-2.83%

-3.17%

+0.34%

Max Drawdown (3Y)

Largest decline over 3 years

-5.31%

-3.17%

-2.14%

Max Drawdown (5Y)

Largest decline over 5 years

-15.82%

-16.66%

+0.84%

Max Drawdown (10Y)

Largest decline over 10 years

-18.39%

-17.31%

-1.08%

Current Drawdown

Current decline from peak

-1.92%

-9.13%

+7.21%

Average Drawdown

Average peak-to-trough decline

-4.11%

-4.86%

+0.75%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.20%

1.31%

-0.11%

Volatility

VAB.TO vs. VBG.NEO - Volatility Comparison

The current volatility for Vanguard Canadian Aggregate Bond Index ETF (VAB.TO) is 1.59%, while Vanguard Global ex-U.S. Aggregate Bond Index ETF (CAD-hedged) (VBG.NEO) has a volatility of 1.84%. This indicates that VAB.TO experiences smaller price fluctuations and is considered to be less risky than VBG.NEO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


VAB.TOVBG.NEODifference

Volatility (1M)

Calculated over the trailing 1-month period

1.59%

1.84%

-0.25%

Volatility (6M)

Calculated over the trailing 6-month period

3.45%

3.13%

+0.32%

Volatility (1Y)

Calculated over the trailing 1-year period

4.38%

3.77%

+0.61%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

6.58%

5.20%

+1.38%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

6.48%

4.62%

+1.86%

VAB.TO vs. VBG.NEO - Expense Ratio Comparison

VAB.TO has a 0.09% expense ratio, which is lower than VBG.NEO's 0.39% expense ratio.


Dividends

VAB.TO vs. VBG.NEO - Dividend Comparison

VAB.TO's dividend yield for the trailing twelve months is around 3.32%, less than VBG.NEO's 3.61% yield.


PositionTTM20252024202320222021202020192018201720162015
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%
VBG.NEO
Vanguard Global ex-U.S. Aggregate Bond Index ETF (CAD-hedged)
3.61%3.46%3.25%3.44%1.14%2.91%0.64%2.54%2.34%1.74%1.41%1.26%

Frequently Asked Questions


VAB.TO and VBG.NEO have a correlation of 0.61, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

On fees, VAB.TO is cheaper at 0.09% per year. The better choice depends on whether you care most about return, fees, risk, or income.

VAB.TO is cheaper with a 0.09% expense ratio, compared with 0.39% for VBG.NEO.

VAB.TO is categorized as Canadian Government Bonds, while VBG.NEO is Global Bonds. VAB.TO tracks Bloomberg Global Aggregate Canadian Float Adjusted Bond Index, while VBG.NEO tracks Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index (CAD Hedged). Their fees differ too: 0.09% for VAB.TO and 0.39% for VBG.NEO.

Portfolio Optimizer

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