VABS vs. TBUX

Last updated Jun 24, 2026

VABS (Virtus Newfleet ABS/MBS ETF) and TBUX (T. Rowe Price Ultra Short-Term Bond ETF) are both exchange-traded funds - VABS is a Mortgage Backed Securities fund actively managed by Virtus Investment Partners, while TBUX is a Ultrashort Bond fund actively managed by T. Rowe Price. Both are actively managed. Over the past 3 years, VABS returned 6.26%/yr vs 5.83%/yr for TBUX. At a 0.48 correlation, their price movements are largely independent. VABS charges 0.39%/yr vs 0.17%/yr for TBUX.

Performance

VABS vs. TBUX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Virtus Newfleet ABS/MBS ETF (VABS) and T. Rowe Price Ultra Short-Term Bond ETF (TBUX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VABS achieves a 1.70% return, which is significantly lower than TBUX's 1.83% return.

VABS

• 1D: 0.08%
• 1M: 0.45%
• YTD: 1.70%
• 6M: 1.84%
• 1Y: 3.93%
• 3Y*: 6.26%
• 5Y*: 3.26%
• 10Y*: —

TBUX

• 1D: 0.04%
• 1M: 0.31%
• YTD: 1.83%
• 6M: 2.00%
• 1Y: 4.62%
• 3Y*: 5.83%
• 5Y*: —
• 10Y*: —

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

VABS vs. TBUX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
VABS Virtus Newfleet ABS/MBS ETF	1.70%	5.40%	7.59%	7.61%	-5.24%	-0.39%
TBUX T. Rowe Price Ultra Short-Term Bond ETF	1.83%	5.37%	6.38%	6.39%	-0.13%	-0.25%

Correlation

The correlation between VABS and TBUX is 0.47, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.47
Correlation (3Y) Calculated over the trailing 3-year period	0.42
Correlation (All Time) Calculated using the full available price history since Sep 29, 2021	0.48

Return for Risk

VABS vs. TBUX — Risk / Return Rank

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

VABS

VABS Risk / Return Rank: 70
VABS Sharpe Ratio Rank: 64
VABS Sortino Ratio Rank: 62
VABS Omega Ratio Rank: 79
VABS Calmar Ratio Rank: 81
VABS Martin Ratio Rank: 62

TBUX

TBUX Risk / Return Rank: 99
TBUX Sharpe Ratio Rank: 99
TBUX Sortino Ratio Rank: 99
TBUX Omega Ratio Rank: 99
TBUX Calmar Ratio Rank: 99
TBUX Martin Ratio Rank: 99

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.

VABS vs. TBUX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Virtus Newfleet ABS/MBS ETF (VABS) and T. Rowe Price Ultra Short-Term Bond ETF (TBUX). 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.

	VABS	TBUX	Difference
Sharpe ratio: Return per unit of total volatility	1.97	6.90	-4.94
Sortino ratio: Return per unit of downside risk	2.70	13.44	-10.74
Omega ratio: Gain probability vs. loss probability	1.43	2.96	-1.53
Calmar ratio: Return relative to maximum drawdown	4.01	46.27	-42.26
Martin ratio: Return relative to average drawdown	10.35	169.36	-159.01

VABS vs. TBUX - Sharpe Ratio Comparison

The current VABS Sharpe Ratio is 1.97, which is lower than the TBUX Sharpe Ratio of 6.90. The chart below compares the historical Sharpe Ratios of VABS and TBUX, 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

VABS vs. TBUX - Drawdown Comparison

The maximum VABS drawdown since its inception was -7.12%, which is greater than TBUX's maximum drawdown of -1.82%. Use the drawdown chart below to compare losses from any high point for VABS and TBUX.

Drawdown Indicators

	VABS	TBUX	Difference
Max Drawdown Largest peak-to-trough decline	-7.12%	-1.82%	-5.30%
Max Drawdown (1Y) Largest decline over 1 year	-0.98%	-0.10%	-0.88%
Max Drawdown (3Y) Largest decline over 3 years	-1.42%	-0.33%	-1.09%
Max Drawdown (5Y) Largest decline over 5 years	-7.12%	—	—
Current Drawdown Current decline from peak	-0.15%	-0.03%	-0.12%
Average Drawdown Average peak-to-trough decline	-1.40%	-0.28%	-1.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.38%	0.03%	+0.35%

Volatility

VABS vs. TBUX - Volatility Comparison

Virtus Newfleet ABS/MBS ETF (VABS) has a higher volatility of 0.37% compared to T. Rowe Price Ultra Short-Term Bond ETF (TBUX) at 0.24%. This indicates that VABS's price experiences larger fluctuations and is considered to be riskier than TBUX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VABS	TBUX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.37%	0.24%	+0.13%
Volatility (6M) Calculated over the trailing 6-month period	1.06%	0.48%	+0.58%
Volatility (1Y) Calculated over the trailing 1-year period	2.01%	0.67%	+1.34%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.30%	1.06%	+1.24%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.24%	1.06%	+1.18%

VABS vs. TBUX - Expense Ratio Comparison

VABS has a 0.39% expense ratio, which is higher than TBUX's 0.17% expense ratio.

Dividends

VABS vs. TBUX - Dividend Comparison

VABS's dividend yield for the trailing twelve months is around 5.07%, more than TBUX's 4.48% yield.

Position	TTM	2025	2024	2023	2022	2021
TBUX T. Rowe Price Ultra Short-Term Bond ETF	4.48%	4.67%	5.39%	4.66%	2.58%	0.27%
VABS Virtus Newfleet ABS/MBS ETF	5.07%	4.94%	5.05%	4.13%	2.47%	1.47%

Frequently Asked Questions

Can I hold both VABS and TBUX in my portfolio?

VABS and TBUX have a correlation of 0.47, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VABS or TBUX?

VABS has higher volatility (0.37%) compared to TBUX (0.24%). In terms of maximum drawdown, VABS dropped -7.12% vs TBUX's -1.82%.

Which ETF is better, VABS or TBUX?

On 3-year performance, VABS leads with 6.26% vs 5.83% for TBUX. On fees, TBUX is cheaper at 0.17% per year. On volatility, TBUX has been the lower-risk option at 0.24%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VABS or TBUX?

Over the 3-year period, VABS has performed better with a 6.26% return vs 5.83%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VABS or TBUX?

TBUX is cheaper with a 0.17% expense ratio, compared with 0.39% for VABS.

Which ETF pays a higher dividend yield, VABS or TBUX?

VABS has the higher dividend yield at 5.07%, compared with 4.48% for TBUX.

What is the main difference between VABS and TBUX?

VABS is categorized as Mortgage Backed Securities, while TBUX is Ultrashort Bond. They also come from different issuers: Virtus Investment Partners and T. Rowe Price. Their fees differ too: 0.39% for VABS and 0.17% for TBUX.

Which has better risk-adjusted returns?

TBUX currently has the higher Sharpe Ratio (6.90 vs 1.97), 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.