PortfoliosLab logoPortfoliosLab logo
VAB.TO vs. XRB.TO
Performance
Return for Risk
Drawdowns
Volatility
Dividends

Performance

VAB.TO vs. XRB.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 iShares Canadian Real Return Bond Index ETF (XRB.TO). The values are adjusted to include any dividend payments, if applicable.

Loading charts...

Returns By Period

In the year-to-date period, VAB.TO achieves a 1.62% return, which is significantly lower than XRB.TO's 2.56% return. Over the past 10 years, VAB.TO has outperformed XRB.TO with an annualized return of 1.51%, while XRB.TO has yielded a comparatively lower 0.06% 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%

XRB.TO

1D
-0.13%
1M
1.21%
YTD
2.56%
6M
0.86%
1Y
3.06%
3Y*
1.50%
5Y*
-1.66%
10Y*
0.06%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VAB.TO vs. XRB.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%
XRB.TO
iShares Canadian Real Return Bond Index ETF
2.56%0.05%3.95%-2.15%-15.01%-1.30%12.11%5.93%-1.23%-0.11%

Correlation

The correlation between VAB.TO and XRB.TO is 0.85, 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

0.85

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

0.79

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

0.76

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

0.72

Correlation (All Time)
Calculated using the full available price history since Dec 7, 2011

0.68

The correlation between VAB.TO and XRB.TO shifts across timeframes, from 0.68 (all time) to 0.85 (1 year), reflecting how their relationship changes across market environments.

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.


Return for Risk

VAB.TO vs. XRB.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

XRB.TO
XRB.TO Risk / Return Rank: 1616
Overall Rank
XRB.TO Sharpe Ratio Rank: 1616
Sharpe Ratio Rank
XRB.TO Sortino Ratio Rank: 1515
Sortino Ratio Rank
XRB.TO Omega Ratio Rank: 1414
Omega Ratio Rank
XRB.TO Calmar Ratio Rank: 2020
Calmar Ratio Rank
XRB.TO Martin Ratio Rank: 1717
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. XRB.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 iShares Canadian Real Return Bond Index ETF (XRB.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.TOXRB.TODifference
Sharpe ratioReturn per unit of total volatility

+0.27

Sortino ratioReturn per unit of downside risk

+0.31

Omega ratioGain probability vs. loss probability

1.12

1.08

+0.05

Calmar ratioReturn relative to maximum drawdown

1.10

0.87

+0.24

Martin ratioReturn relative to average drawdown

2.61

1.73

+0.89

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

The current VAB.TO Sharpe Ratio is 0.72, which is higher than the XRB.TO Sharpe Ratio of 0.45. The chart below compares the historical Sharpe Ratios of VAB.TO and XRB.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.


Loading charts...

Sharpe Ratios by Period


VAB.TOXRB.TODifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.72

0.45

+0.27

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.10

-0.14

+0.24

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.23

0.01

+0.23

Sharpe Ratio (All Time)

Calculated using the full available price history

0.39

0.27

+0.12

Drawdowns

VAB.TO vs. XRB.TO - Drawdown Comparison

The maximum VAB.TO drawdown since its inception was -18.39%, smaller than the maximum XRB.TO drawdown of -26.58%. Use the drawdown chart below to compare losses from any high point for VAB.TO and XRB.TO.


Loading charts...

Drawdown Indicators


VAB.TOXRB.TODifference

Max Drawdown

Largest peak-to-trough decline

-18.39%

-26.58%

+8.19%

Max Drawdown (1Y)

Largest decline over 1 year

-2.83%

-3.55%

+0.72%

Max Drawdown (3Y)

Largest decline over 3 years

-5.31%

-10.65%

+5.34%

Max Drawdown (5Y)

Largest decline over 5 years

-15.82%

-26.58%

+10.76%

Max Drawdown (10Y)

Largest decline over 10 years

-18.39%

-26.58%

+8.19%

Current Drawdown

Current decline from peak

-1.92%

-13.56%

+11.64%

Average Drawdown

Average peak-to-trough decline

-4.11%

-7.09%

+2.98%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.20%

1.78%

-0.58%

Volatility

VAB.TO vs. XRB.TO - Volatility Comparison

The current volatility for Vanguard Canadian Aggregate Bond Index ETF (VAB.TO) is 1.59%, while iShares Canadian Real Return Bond Index ETF (XRB.TO) has a volatility of 2.72%. This indicates that VAB.TO experiences smaller price fluctuations and is considered to be less risky than XRB.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


Loading charts...

Volatility by Period


VAB.TOXRB.TODifference

Volatility (1M)

Calculated over the trailing 1-month period

1.59%

2.72%

-1.13%

Volatility (6M)

Calculated over the trailing 6-month period

3.45%

5.11%

-1.66%

Volatility (1Y)

Calculated over the trailing 1-year period

4.38%

6.85%

-2.47%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

6.58%

11.91%

-5.33%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

6.48%

11.35%

-4.87%

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

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


Dividends

VAB.TO vs. XRB.TO - Dividend Comparison

VAB.TO's dividend yield for the trailing twelve months is around 3.32%, less than XRB.TO's 3.63% 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%
XRB.TO
iShares Canadian Real Return Bond Index ETF
3.63%3.73%2.36%2.36%1.83%1.23%1.36%1.72%1.74%1.69%1.58%1.61%

Frequently Asked Questions


VAB.TO and XRB.TO have a correlation of 0.85, 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 XRB.TO.

VAB.TO is categorized as Canadian Government Bonds, while XRB.TO is Inflation-Protected Bonds. VAB.TO tracks Bloomberg Global Aggregate Canadian Float Adjusted Bond Index, while XRB.TO tracks FTSE Canada Real Return Bond Index. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.09% for VAB.TO and 0.39% for XRB.TO.

Portfolio Optimizer

Find the right allocation for VAB.TO and XRB.TO

Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.

Open Portfolio Optimizer