VBR vs. SWSSX

Last updated Jun 23, 2026

VBR (Vanguard Small-Cap Value ETF) and SWSSX (Schwab Small-Cap Index Fund-Select Shares) are both funds - VBR is a Small Cap Value Equities fund tracking the CRSP US Small Cap Value Index, while SWSSX is a Small Cap Blend Equities fund tracking the Russell 2000 Index. Both are passively managed. Over the past 10 years, VBR returned 11.02%/yr vs 11.44%/yr for SWSSX. With a 0.96 correlation, they move nearly in lockstep. VBR charges 0.05%/yr vs 0.04%/yr for SWSSX.

Performance

VBR vs. SWSSX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Small-Cap Value ETF (VBR) and Schwab Small-Cap Index Fund-Select Shares (SWSSX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VBR achieves a 13.42% return, which is significantly lower than SWSSX's 20.72% return. Both investments have delivered pretty close results over the past 10 years, with VBR having a 11.02% annualized return and SWSSX not far ahead at 11.44%.

VBR

• 1D: 0.18%
• 1M: 2.65%
• YTD: 13.42%
• 6M: 11.41%
• 1Y: 27.72%
• 3Y*: 16.95%
• 5Y*: 8.85%
• 10Y*: 11.02%

SWSSX

• 1D: 2.10%
• 1M: 3.96%
• YTD: 20.72%
• 6M: 17.16%
• 1Y: 43.08%
• 3Y*: 18.36%
• 5Y*: 7.40%
• 10Y*: 11.44%

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

VBR vs. SWSSX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VBR Vanguard Small-Cap Value ETF	13.42%	9.09%	12.40%	16.00%	-9.38%	28.08%	5.90%	22.78%	-12.28%	11.81%
SWSSX Schwab Small-Cap Index Fund-Select Shares	20.72%	12.88%	11.57%	17.07%	-20.43%	14.77%	20.12%	25.63%	-11.19%	14.76%

Correlation

The correlation between VBR and SWSSX is 0.89, 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	0.89
Correlation (3Y) Calculated over the trailing 3-year period	0.92
Correlation (5Y) Calculated over the trailing 5-year period	0.94
Correlation (10Y) Calculated over the trailing 10-year period	0.94
Correlation (All Time) Calculated using the full available price history since Jan 30, 2004	0.96

The correlation between VBR and SWSSX has been stable across timeframes, ranging from 0.89 to 0.96 - a consistent structural relationship.

VBR vs. SWSSX - Sectors Allocation Comparison

Sectors	VBR	SWSSX
Financial Services	17.5%	15.5%
Industrials	17.4%	17.9%
Consumer Cyclical	12.5%	7.9%
Technology	12.1%	19.1%
Real Estate	10.5%	5.9%
Healthcare	8.3%	16.3%
Basic Materials	6.0%	4.7%
Utilities	4.6%	2.8%
Energy	4.3%	5.3%
Consumer Defensive	4.0%	2.2%
Communication Services	2.8%	2.5%

Return for Risk

VBR vs. SWSSX — Risk / Return Rank

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

VBR

VBR Risk / Return Rank: 59
VBR Sharpe Ratio Rank: 56
VBR Sortino Ratio Rank: 58
VBR Omega Ratio Rank: 52
VBR Calmar Ratio Rank: 65
VBR Martin Ratio Rank: 63

SWSSX

SWSSX Risk / Return Rank: 69
SWSSX Sharpe Ratio Rank: 66
SWSSX Sortino Ratio Rank: 61
SWSSX Omega Ratio Rank: 50
SWSSX Calmar Ratio Rank: 86
SWSSX Martin Ratio Rank: 80

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.

VBR vs. SWSSX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Small-Cap Value ETF (VBR) and Schwab Small-Cap Index Fund-Select Shares (SWSSX). 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.

	VBR	SWSSX	Difference
Sharpe ratio: Return per unit of total volatility	1.82	2.18	-0.36
Sortino ratio: Return per unit of downside risk	2.67	2.99	-0.32
Omega ratio: Gain probability vs. loss probability	1.31	1.36	-0.04
Calmar ratio: Return relative to maximum drawdown	3.14	3.91	-0.77
Martin ratio: Return relative to average drawdown	11.11	13.84	-2.73

VBR vs. SWSSX - Sharpe Ratio Comparison

The current VBR Sharpe Ratio is 1.82, which is comparable to the SWSSX Sharpe Ratio of 2.18. The chart below compares the historical Sharpe Ratios of VBR and SWSSX, 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

VBR vs. SWSSX - Drawdown Comparison

The maximum VBR drawdown since its inception was -61.98%, roughly equal to the maximum SWSSX drawdown of -60.34%. Use the drawdown chart below to compare losses from any high point for VBR and SWSSX.

Drawdown Indicators

	VBR	SWSSX	Difference
Max Drawdown Largest peak-to-trough decline	-61.98%	-60.34%	-1.64%
Max Drawdown (1Y) Largest decline over 1 year	-8.85%	-11.00%	+2.15%
Max Drawdown (3Y) Largest decline over 3 years	-24.19%	-27.50%	+3.31%
Max Drawdown (5Y) Largest decline over 5 years	-24.19%	-31.93%	+7.74%
Max Drawdown (10Y) Largest decline over 10 years	-45.28%	-41.81%	-3.47%
Current Drawdown Current decline from peak	-1.03%	0.00%	-1.03%
Average Drawdown Average peak-to-trough decline	-8.25%	-10.71%	+2.46%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.50%	3.10%	-0.60%

Volatility

VBR vs. SWSSX - Volatility Comparison

The current volatility for Vanguard Small-Cap Value ETF (VBR) is 3.97%, while Schwab Small-Cap Index Fund-Select Shares (SWSSX) has a volatility of 6.76%. This indicates that VBR experiences smaller price fluctuations and is considered to be less risky than SWSSX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VBR	SWSSX	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.97%	6.76%	-2.79%
Volatility (6M) Calculated over the trailing 6-month period	10.66%	14.36%	-3.70%
Volatility (1Y) Calculated over the trailing 1-year period	15.33%	19.71%	-4.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.73%	22.68%	-2.95%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.75%	24.14%	-2.39%

VBR vs. SWSSX - Expense Ratio Comparison

VBR has a 0.05% expense ratio, which is higher than SWSSX'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

VBR vs. SWSSX - Dividend Comparison

VBR's dividend yield for the trailing twelve months is around 1.73%, more than SWSSX's 1.07% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SWSSX Schwab Small-Cap Index Fund-Select Shares	1.07%	1.29%	1.66%	1.49%	1.32%	8.88%	2.55%	6.12%	10.45%	5.22%	4.10%	6.92%
VBR Vanguard Small-Cap Value ETF	1.73%	1.95%	1.98%	2.12%	2.03%	1.75%	1.68%	2.06%	2.35%	1.79%	1.77%	1.99%

Frequently Asked Questions

Can I hold both VBR and SWSSX in my portfolio?

VBR and SWSSX have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VBR or SWSSX?

SWSSX has higher volatility (6.76%) compared to VBR (3.97%). In terms of maximum drawdown, VBR dropped -61.98% vs SWSSX's -60.34%.

Which has better risk-adjusted returns?

SWSSX currently has the higher Sharpe Ratio (2.18 vs 1.82), 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.