VBLLX vs. SWAGX

Last updated Jun 24, 2026

VBLLX (Vanguard Long-Term Bond Index Fund Institutional Shares) and SWAGX (Schwab U.S. Aggregate Bond Index Fund) are both Total Bond Market funds. Over the past 5 years, VBLLX returned -3.83%/yr vs -0.17%/yr for SWAGX. Their correlation of 0.91 suggests significant overlap in exposure. VBLLX charges 0.05%/yr vs 0.04%/yr for SWAGX.

Performance

VBLLX vs. SWAGX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Long-Term Bond Index Fund Institutional Shares (VBLLX) and Schwab U.S. Aggregate Bond Index Fund (SWAGX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VBLLX achieves a 0.27% return, which is significantly higher than SWAGX's 0.05% return.

VBLLX

• 1D: -0.67%
• 1M: 1.69%
• YTD: 0.27%
• 6M: 0.57%
• 1Y: 5.13%
• 3Y*: 1.61%
• 5Y*: -3.83%
• 10Y*: 0.75%

SWAGX

• 1D: -0.34%
• 1M: 0.47%
• YTD: 0.05%
• 6M: 0.40%
• 1Y: 4.19%
• 3Y*: 3.85%
• 5Y*: -0.17%
• 10Y*: —

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

VBLLX vs. SWAGX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VBLLX Vanguard Long-Term Bond Index Fund Institutional Shares	0.27%	6.60%	-4.12%	7.13%	-27.20%	-3.08%	16.27%	19.15%	-4.71%	9.70%
SWAGX Schwab U.S. Aggregate Bond Index Fund	0.05%	7.11%	1.38%	5.46%	-13.62%	-2.29%	7.39%	8.64%	-0.11%	2.62%

Correlation

The correlation between VBLLX and SWAGX is 0.91, 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	0.91
Correlation (3Y) Calculated over the trailing 3-year period	0.93
Correlation (5Y) Calculated over the trailing 5-year period	0.93
Correlation (All Time) Calculated using the full available price history since Feb 23, 2017	0.91

The correlation between VBLLX and SWAGX has been stable across timeframes, ranging from 0.91 to 0.93 - a consistent structural relationship.

Return for Risk

VBLLX vs. SWAGX — Risk / Return Rank

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

VBLLX

VBLLX Risk / Return Rank: 9
VBLLX Sharpe Ratio Rank: 9
VBLLX Sortino Ratio Rank: 8
VBLLX Omega Ratio Rank: 8
VBLLX Calmar Ratio Rank: 10
VBLLX Martin Ratio Rank: 9

SWAGX

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

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.

VBLLX vs. SWAGX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Long-Term Bond Index Fund Institutional Shares (VBLLX) and Schwab U.S. Aggregate Bond Index Fund (SWAGX). 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.

	VBLLX	SWAGX	Difference
Sharpe ratio: Return per unit of total volatility	0.67	1.09	-0.41
Sortino ratio: Return per unit of downside risk	1.01	1.65	-0.64
Omega ratio: Gain probability vs. loss probability	1.12	1.19	-0.07
Calmar ratio: Return relative to maximum drawdown	0.91	1.42	-0.50
Martin ratio: Return relative to average drawdown	2.27	4.02	-1.75

VBLLX vs. SWAGX - Sharpe Ratio Comparison

The current VBLLX Sharpe Ratio is 0.67, which is lower than the SWAGX Sharpe Ratio of 1.09. The chart below compares the historical Sharpe Ratios of VBLLX and SWAGX, 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

VBLLX vs. SWAGX - Drawdown Comparison

The maximum VBLLX drawdown since its inception was -38.42%, which is greater than SWAGX's maximum drawdown of -19.68%. Use the drawdown chart below to compare losses from any high point for VBLLX and SWAGX.

Drawdown Indicators

	VBLLX	SWAGX	Difference
Max Drawdown Largest peak-to-trough decline	-38.42%	-19.68%	-18.74%
Max Drawdown (1Y) Largest decline over 1 year	-5.98%	-3.05%	-2.93%
Max Drawdown (3Y) Largest decline over 3 years	-14.90%	-6.14%	-8.76%
Max Drawdown (5Y) Largest decline over 5 years	-36.29%	-18.76%	-17.53%
Max Drawdown (10Y) Largest decline over 10 years	-38.42%	—	—
Current Drawdown Current decline from peak	-24.66%	-3.71%	-20.95%
Average Drawdown Average peak-to-trough decline	-9.24%	-5.67%	-3.57%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.40%	1.07%	+1.33%

Volatility

VBLLX vs. SWAGX - Volatility Comparison

Vanguard Long-Term Bond Index Fund Institutional Shares (VBLLX) has a higher volatility of 2.08% compared to Schwab U.S. Aggregate Bond Index Fund (SWAGX) at 1.09%. This indicates that VBLLX's price experiences larger fluctuations and is considered to be riskier than SWAGX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VBLLX	SWAGX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.08%	1.09%	+0.99%
Volatility (6M) Calculated over the trailing 6-month period	5.88%	2.96%	+2.92%
Volatility (1Y) Calculated over the trailing 1-year period	8.11%	3.98%	+4.13%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.86%	6.09%	+6.77%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	11.59%	5.11%	+6.48%

VBLLX vs. SWAGX - Expense Ratio Comparison

VBLLX has a 0.05% expense ratio, which is higher than SWAGX's 0.04% 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

VBLLX vs. SWAGX - Dividend Comparison

VBLLX's dividend yield for the trailing twelve months is around 4.78%, more than SWAGX's 4.15% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SWAGX Schwab U.S. Aggregate Bond Index Fund	4.15%	4.02%	3.88%	3.22%	1.93%	1.56%	2.47%	2.87%	2.80%	1.98%	0.00%	0.00%
VBLLX Vanguard Long-Term Bond Index Fund Institutional Shares	4.78%	4.66%	4.64%	3.75%	4.16%	2.89%	5.84%	3.62%	3.82%	3.69%	4.19%	4.98%

Frequently Asked Questions

Can I hold both VBLLX and SWAGX in my portfolio?

With a correlation of 0.91, VBLLX and SWAGX 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 is riskier, VBLLX or SWAGX?

VBLLX has higher volatility (2.08%) compared to SWAGX (1.09%). In terms of maximum drawdown, VBLLX dropped -38.42% vs SWAGX's -19.68%.

Which has better risk-adjusted returns?

SWAGX currently has the higher Sharpe Ratio (1.09 vs 0.67), 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.