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VBR vs. VCSH
Performance
Return for Risk
Drawdowns
Volatility
Dividends

VBR vs. VCSH

Last updated Jun 9, 2026

VBR (Vanguard Small-Cap Value ETF) and VCSH (Vanguard Short-Term Corporate Bond ETF) are both exchange-traded funds - VBR is a Small Cap Value Equities fund tracking the CRSP US Small Cap Value Index, while VCSH is a Corporate Bonds fund tracking the Bloomberg U.S. 1-5 Year Corporate Bond Index. Both are passively managed. Over the past 10 years, VBR returned 10.50%/yr vs 2.66%/yr for VCSH. At a 0.06 correlation, their price movements are largely independent. VBR charges 0.05%/yr vs 0.04%/yr for VCSH.

Performance

VBR vs. VCSH - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Small-Cap Value ETF (VBR) and Vanguard Short-Term Corporate Bond ETF (VCSH). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, VBR achieves a 11.45% return, which is significantly higher than VCSH's 0.44% return. Over the past 10 years, VBR has outperformed VCSH with an annualized return of 10.50%, while VCSH has yielded a comparatively lower 2.66% annualized return.

VBR

1D
0.16%
1M
0.48%
YTD
11.45%
6M
12.14%
1Y
24.85%
3Y*
15.60%
5Y*
7.78%
10Y*
10.50%

VCSH

1D
0.03%
1M
-0.26%
YTD
0.44%
6M
0.92%
1Y
4.56%
3Y*
5.56%
5Y*
2.26%
10Y*
2.66%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VBR vs. VCSH - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
VBR
Vanguard Small-Cap Value ETF		11.45%9.09%12.40%16.00%-9.38%28.08%5.90%22.78%-12.28%11.81%
VCSH
Vanguard Short-Term Corporate Bond ETF		0.44%6.77%4.91%6.20%-5.62%-0.63%5.13%7.02%0.92%2.17%

Correlation

The correlation between VBR and VCSH is 0.39, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.39

Correlation (3Y)
Calculated over the trailing 3-year period

0.30

Correlation (5Y)
Calculated over the trailing 5-year period

0.26

Correlation (10Y)
Calculated over the trailing 10-year period

0.12

Correlation (All Time)
Calculated using the full available price history since Nov 24, 2009

0.06

Over the past year, VBR and VCSH have become more correlated (0.39) than their long-term average of 0.06, meaning their price movements have been converging.

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

Vanguard Small-Cap Value ETF

Vanguard Short-Term Corporate Bond ETF

Often compared with VBR:
VBR vs. AVUVVBR vs. VBVBR vs. VBKVBR vs. VOOVBR vs. VTIVBR vs. VIOVVBR vs. VSIAX
Often compared with VCSH:
VCSH vs. VGSHVCSH vs. IGSBVCSH vs. BSVVCSH vs. BNDVCSH vs. VTIPVCSH vs. JPSTVCSH vs. VFSTX

Return for Risk

VBR vs. VCSH — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
VBR
VBR Risk / Return Rank: 5757
Overall Rank
VBR Sharpe Ratio Rank: 5353
Sharpe Ratio Rank
VBR Sortino Ratio Rank: 5656
Sortino Ratio Rank
VBR Omega Ratio Rank: 5151
Omega Ratio Rank
VBR Calmar Ratio Rank: 6262
Calmar Ratio Rank
VBR Martin Ratio Rank: 6161
Martin Ratio Rank
VCSH
VCSH Risk / Return Rank: 8282
Overall Rank
VCSH Sharpe Ratio Rank: 8484
Sharpe Ratio Rank
VCSH Sortino Ratio Rank: 9090
Sortino Ratio Rank
VCSH Omega Ratio Rank: 8686
Omega Ratio Rank
VCSH Calmar Ratio Rank: 7272
Calmar Ratio Rank
VCSH Martin Ratio Rank: 7777
Martin Ratio Rank
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. VCSH - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Small-Cap Value ETF (VBR) and Vanguard Short-Term Corporate Bond ETF (VCSH). 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.

VBRVCSHDifference
Sharpe ratioReturn per unit of total volatility
1.65
2.45

-0.80

Sortino ratioReturn per unit of downside risk
2.43
3.82

-1.39

Omega ratioGain probability vs. loss probability

1.29

1.48

-0.20

Calmar ratioReturn relative to maximum drawdown

2.82

3.27

-0.45

Martin ratioReturn relative to average drawdown

9.94

13.41

-3.47

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VBR vs. VCSH - Sharpe Ratio Comparison

The current VBR Sharpe Ratio is 1.65, which is lower than the VCSH Sharpe Ratio of 2.45. The chart below compares the historical Sharpe Ratios of VBR and VCSH, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Sharpe Ratios by Period

VBRVCSHDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

1.65

2.45

-0.80

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.40

0.79

-0.39

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.49

0.80

-0.31

Sharpe Ratio (All Time)

Calculated using the full available price history

0.42

1.01

-0.60

Drawdowns

VBR vs. VCSH - Drawdown Comparison

The maximum VBR drawdown since its inception was -61.98%, which is greater than VCSH's maximum drawdown of -12.86%. Use the drawdown chart below to compare losses from any high point for VBR and VCSH.

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Drawdown Indicators

VBRVCSHDifference

Max Drawdown

Largest peak-to-trough decline

-61.98%

-12.86%

-49.12%

Max Drawdown (1Y)

Largest decline over 1 year

-8.85%

-1.40%

-7.45%

Max Drawdown (3Y)

Largest decline over 3 years

-24.19%

-1.40%

-22.79%

Max Drawdown (5Y)

Largest decline over 5 years

-24.19%

-9.48%

-14.71%

Max Drawdown (10Y)

Largest decline over 10 years

-45.28%

-12.86%

-32.42%

Current Drawdown

Current decline from peak

-0.95%

-0.52%

-0.43%

Average Drawdown

Average peak-to-trough decline

-8.26%

-0.97%

-7.29%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.51%

0.34%

+2.17%

Volatility

VBR vs. VCSH - Volatility Comparison

Vanguard Small-Cap Value ETF (VBR) has a higher volatility of 3.67% compared to Vanguard Short-Term Corporate Bond ETF (VCSH) at 0.61%. This indicates that VBR's price experiences larger fluctuations and is considered to be riskier than VCSH based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

VBRVCSHDifference

Volatility (1M)

Calculated over the trailing 1-month period

3.67%

0.61%

+3.06%

Volatility (6M)

Calculated over the trailing 6-month period

10.49%

1.41%

+9.08%

Volatility (1Y)

Calculated over the trailing 1-year period

15.16%

1.87%

+13.29%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

19.77%

2.88%

+16.89%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

21.74%

3.35%

+18.39%

VBR vs. VCSH - Expense Ratio Comparison

VBR has a 0.05% expense ratio, which is higher than VCSH'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. VCSH - Dividend Comparison

VBR's dividend yield for the trailing twelve months is around 1.76%, less than VCSH's 4.46% yield.

PositionTTM20252024202320222021202020192018201720162015
VBR
Vanguard Small-Cap Value ETF		1.76%1.95%1.98%2.12%2.03%1.75%1.68%2.06%2.35%1.79%1.77%1.99%
VCSH
Vanguard Short-Term Corporate Bond ETF		4.46%4.35%3.96%3.09%2.01%1.81%2.27%2.87%2.65%2.26%2.10%2.08%

Frequently Asked Questions

VBR and VCSH have a correlation of 0.39, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

VBR has higher volatility (3.67%) compared to VCSH (0.61%). In terms of maximum drawdown, VBR dropped -61.98% vs VCSH's -12.86%.

On 10-year performance, VBR leads with 10.50% vs 2.66% for VCSH. On fees, VCSH is cheaper at 0.04% per year. On volatility, VCSH has been the lower-risk option at 0.61%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, VBR has performed better with a 10.50% return vs 2.66%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

VCSH is cheaper with a 0.04% expense ratio, compared with 0.05% for VBR.

VCSH has the higher dividend yield at 4.46%, compared with 1.76% for VBR.

VBR is categorized as Small Cap Value Equities, while VCSH is Corporate Bonds. VBR tracks CRSP US Small Cap Value Index, while VCSH tracks Bloomberg U.S. 1-5 Year Corporate Bond Index. Their fees differ too: 0.05% for VBR and 0.04% for VCSH.

VCSH currently has the higher Sharpe Ratio (2.45 vs 1.65), 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.

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