VBK vs. SPHY

Last updated Jun 13, 2026

VBK (Vanguard Small-Cap Growth ETF) and SPHY (SPDR Portfolio High Yield Bond ETF) are both exchange-traded funds - VBK is a Small Cap Growth Equities fund tracking the CRSP US Small Cap Growth Index, while SPHY is a High Yield Bonds fund tracking the ICE BofA US High Yield Index. Both are passively managed. Over the past 10 years, VBK returned 11.82%/yr vs 5.21%/yr for SPHY. At a 0.45 correlation, their price movements are largely independent. Both charge a 0.05% expense ratio.

Performance

VBK vs. SPHY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Small-Cap Growth ETF (VBK) and SPDR Portfolio High Yield Bond ETF (SPHY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VBK achieves a 16.25% return, which is significantly higher than SPHY's 1.85% return. Over the past 10 years, VBK has outperformed SPHY with an annualized return of 11.82%, while SPHY has yielded a comparatively lower 5.21% annualized return.

VBK

• 1D: 0.33%
• 1M: 2.22%
• YTD: 16.25%
• 6M: 14.67%
• 1Y: 29.81%
• 3Y*: 16.10%
• 5Y*: 4.87%
• 10Y*: 11.82%

SPHY

• 1D: 0.04%
• 1M: 0.63%
• YTD: 1.85%
• 6M: 2.41%
• 1Y: 7.07%
• 3Y*: 8.90%
• 5Y*: 4.36%
• 10Y*: 5.21%

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

VBK vs. SPHY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VBK Vanguard Small-Cap Growth ETF	16.25%	8.50%	16.50%	21.45%	-28.44%	5.66%	35.44%	32.75%	-5.70%	21.87%
SPHY SPDR Portfolio High Yield Bond ETF	1.85%	8.59%	8.54%	12.81%	-10.57%	5.61%	6.65%	13.16%	-3.35%	7.35%

Correlation

The correlation between VBK and SPHY is 0.72, 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	0.72
Correlation (3Y) Calculated over the trailing 3-year period	0.70
Correlation (5Y) Calculated over the trailing 5-year period	0.72
Correlation (10Y) Calculated over the trailing 10-year period	0.58
Correlation (All Time) Calculated using the full available price history since Jun 19, 2012	0.45

Over the past year, VBK and SPHY have become more correlated (0.72) than their long-term average of 0.45, meaning their price movements have been converging.

VBK vs. SPHY - Sectors Allocation Comparison

Sectors	VBK	SPHY
Technology	25.9%	-
Industrials	24.7%	-
Healthcare	15.3%	-
Consumer Cyclical	9.6%	-
Financial Services	5.6%	99.9%
Energy	4.8%	0.1%
Real Estate	3.9%	-
Communication Services	3.5%	-
Basic Materials	3.2%	-
Consumer Defensive	2.4%	-
Utilities	1.2%	-

Return for Risk

VBK vs. SPHY — Risk / Return Rank

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

VBK

VBK Risk / Return Rank: 53
VBK Sharpe Ratio Rank: 49
VBK Sortino Ratio Rank: 47
VBK Omega Ratio Rank: 45
VBK Calmar Ratio Rank: 61
VBK Martin Ratio Rank: 62

SPHY

SPHY Risk / Return Rank: 73
SPHY Sharpe Ratio Rank: 68
SPHY Sortino Ratio Rank: 76
SPHY Omega Ratio Rank: 75
SPHY Calmar Ratio Rank: 67
SPHY Martin Ratio Rank: 79

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.

VBK vs. SPHY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Small-Cap Growth ETF (VBK) and SPDR Portfolio High Yield Bond ETF (SPHY). 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.

	VBK	SPHY	Difference
Sharpe ratio: Return per unit of total volatility	1.50	1.91	-0.41
Sortino ratio: Return per unit of downside risk	2.09	2.91	-0.82
Omega ratio: Gain probability vs. loss probability	1.26	1.38	-0.12
Calmar ratio: Return relative to maximum drawdown	2.62	2.94	-0.33
Martin ratio: Return relative to average drawdown	9.82	13.29	-3.47

VBK vs. SPHY - Sharpe Ratio Comparison

The current VBK Sharpe Ratio is 1.50, which is comparable to the SPHY Sharpe Ratio of 1.91. The chart below compares the historical Sharpe Ratios of VBK and SPHY, 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

VBK vs. SPHY - Drawdown Comparison

The maximum VBK drawdown since its inception was -58.68%, which is greater than SPHY's maximum drawdown of -21.97%. Use the drawdown chart below to compare losses from any high point for VBK and SPHY.

Drawdown Indicators

	VBK	SPHY	Difference
Max Drawdown Largest peak-to-trough decline	-58.68%	-21.97%	-36.71%
Max Drawdown (1Y) Largest decline over 1 year	-11.44%	-2.41%	-9.03%
Max Drawdown (3Y) Largest decline over 3 years	-27.54%	-4.85%	-22.69%
Max Drawdown (5Y) Largest decline over 5 years	-38.39%	-15.29%	-23.10%
Max Drawdown (10Y) Largest decline over 10 years	-38.70%	-21.97%	-16.73%
Current Drawdown Current decline from peak	-2.04%	0.00%	-2.04%
Average Drawdown Average peak-to-trough decline	-10.14%	-2.29%	-7.85%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.05%	0.53%	+2.52%

Volatility

VBK vs. SPHY - Volatility Comparison

Vanguard Small-Cap Growth ETF (VBK) has a higher volatility of 7.31% compared to SPDR Portfolio High Yield Bond ETF (SPHY) at 1.16%. This indicates that VBK's price experiences larger fluctuations and is considered to be riskier than SPHY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VBK	SPHY	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.31%	1.16%	+6.15%
Volatility (6M) Calculated over the trailing 6-month period	15.61%	2.95%	+12.66%
Volatility (1Y) Calculated over the trailing 1-year period	19.96%	3.72%	+16.24%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.59%	7.18%	+16.41%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.92%	7.87%	+15.05%

VBK vs. SPHY - Expense Ratio Comparison

Both VBK and SPHY have an expense ratio of 0.05%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VBK vs. SPHY - Dividend Comparison

VBK's dividend yield for the trailing twelve months is around 0.45%, less than SPHY's 7.24% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SPHY SPDR Portfolio High Yield Bond ETF	7.24%	7.38%	7.80%	7.30%	6.47%	5.13%	5.63%	5.73%	4.09%	4.41%	4.27%	4.29%
VBK Vanguard Small-Cap Growth ETF	0.45%	0.54%	0.54%	0.68%	0.55%	0.36%	0.44%	0.57%	0.79%	0.82%	1.08%	0.98%

Frequently Asked Questions

Can I hold both VBK and SPHY in my portfolio?

VBK and SPHY have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VBK or SPHY?

VBK has higher volatility (7.31%) compared to SPHY (1.16%). In terms of maximum drawdown, VBK dropped -58.68% vs SPHY's -21.97%.

Which ETF is better, VBK or SPHY?

On 10-year performance, VBK leads with 11.82% vs 5.21% for SPHY. Both ETFs have the same 0.05% expense ratio. On volatility, SPHY has been the lower-risk option at 1.16%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VBK or SPHY?

Over the 10-year period, VBK has performed better with a 11.82% return vs 5.21%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VBK or SPHY?

VBK and SPHY have the same expense ratio: 0.05% per year.

Which ETF pays a higher dividend yield, VBK or SPHY?

SPHY has the higher dividend yield at 7.24%, compared with 0.45% for VBK.

What is the main difference between VBK and SPHY?

VBK is categorized as Small Cap Growth Equities, while SPHY is High Yield Bonds. VBK tracks CRSP US Small Cap Growth Index, while SPHY tracks ICE BofA US High Yield Index. They also come from different issuers: Vanguard and State Street.

Which has better risk-adjusted returns?

SPHY currently has the higher Sharpe Ratio (1.91 vs 1.50), 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.