VBCG vs. VCLT

Last updated Jul 12, 2026

VBCG (Vanguard Target Maturity 2033 Corporate Bond ETF) and VCLT (Vanguard Long-Term Corporate Bond ETF) are both Corporate Bonds funds from Vanguard - VBCG tracks the ICE 2033 Maturity US Corporate Constrained Index while VCLT tracks the Bloomberg U.S. 10+ Year Corporate Bond Index. Both are passively managed. Their correlation of 0.94 suggests significant overlap in exposure. VBCG charges 0.08%/yr vs 0.03%/yr for VCLT.

Performance

VBCG vs. VCLT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Target Maturity 2033 Corporate Bond ETF (VBCG) and Vanguard Long-Term Corporate Bond ETF (VCLT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

VBCG

• 1D: -0.12%
• 1M: -0.45%
• 6M: —
• YTD: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

VCLT

• 1D: -0.31%
• 1M: -1.87%
• 6M: -1.18%
• YTD: -0.41%
• 1Y: 4.45%
• 3Y*: 3.90%
• 5Y*: -2.82%
• 10Y*: 1.67%

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

VBCG vs. VCLT - Yearly Performance Comparison

	2026 (YTD)
VBCG Vanguard Target Maturity 2033 Corporate Bond ETF	1.11%
VCLT Vanguard Long-Term Corporate Bond ETF	0.45%

Correlation

The correlation between VBCG and VCLT is 0.94, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (All Time) Calculated using the full available price history since Mar 26, 2026	0.94

Return for Risk

VBCG vs. VCLT — Risk / Return Rank

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

VBCG

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

VCLT

VCLT Risk / Return Rank: 17
VCLT Sharpe Ratio Rank: 17
VCLT Sortino Ratio Rank: 16
VCLT Omega Ratio Rank: 15
VCLT Calmar Ratio Rank: 19
VCLT Martin Ratio Rank: 18

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.

VBCG vs. VCLT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Target Maturity 2033 Corporate Bond ETF (VBCG) and Vanguard Long-Term Corporate Bond ETF (VCLT). 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.

	VBCG	VCLT	Difference
Sharpe ratio: Return per unit of total volatility	—	0.43	—
Sortino ratio: Return per unit of downside risk	—	0.66	—
Omega ratio: Gain probability vs. loss probability	—	1.08	—
Calmar ratio: Return relative to maximum drawdown	—	0.64	—
Martin ratio: Return relative to average drawdown	—	1.54	—

Drawdowns

VBCG vs. VCLT - Drawdown Comparison

The maximum VBCG drawdown since its inception was -1.90%, smaller than the maximum VCLT drawdown of -34.31%. Use the drawdown chart below to compare losses from any high point for VBCG and VCLT.

Drawdown Indicators

	VBCG	VCLT	Difference
Max Drawdown Largest peak-to-trough decline	-1.90%	-34.31%	+32.41%
Max Drawdown (1Y) Largest decline over 1 year	—	-5.25%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-13.03%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-34.31%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-34.31%	—
Current Drawdown Current decline from peak	-0.94%	-15.54%	+14.60%
Average Drawdown Average peak-to-trough decline	-0.52%	-8.19%	+7.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	2.19%	—

Volatility

Volatility by Period

	VBCG	VCLT	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	2.29%	—
Volatility (6M) Calculated over the trailing 6-month period	—	6.01%	—
Volatility (1Y) Calculated over the trailing 1-year period	4.35%	7.81%	-3.46%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.35%	12.76%	-8.41%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.35%	12.84%	-8.49%

VBCG vs. VCLT - Expense Ratio Comparison

VBCG has a 0.08% expense ratio, which is higher than VCLT's 0.03% 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

VBCG vs. VCLT - Dividend Comparison

VBCG's dividend yield for the trailing twelve months is around 1.20%, less than VCLT's 5.65% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VBCG Vanguard Target Maturity 2033 Corporate Bond ETF	1.20%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VCLT Vanguard Long-Term Corporate Bond ETF	5.65%	5.51%	5.19%	4.67%	4.44%	3.07%	3.16%	3.81%	4.55%	4.01%	4.33%	4.68%

Frequently Asked Questions

Can I hold both VBCG and VCLT in my portfolio?

With a correlation of 0.94, VBCG and VCLT 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.

Which ETF is better, VBCG or VCLT?

On fees, VCLT is cheaper at 0.03% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VBCG or VCLT?

VCLT is cheaper with a 0.03% expense ratio, compared with 0.08% for VBCG.

Which ETF pays a higher dividend yield, VBCG or VCLT?

VCLT has the higher dividend yield at 5.65%, compared with 1.20% for VBCG.

What is the main difference between VBCG and VCLT?

VBCG tracks ICE 2033 Maturity US Corporate Constrained Index, while VCLT tracks Bloomberg U.S. 10+ Year Corporate Bond Index. Their fees differ too: 0.08% for VBCG and 0.03% for VCLT.