VCEB vs. VWOB

Last updated Apr 1, 2026

Compare and contrast key facts about Vanguard ESG U.S. Corporate Bond ETF (VCEB) and Vanguard Emerging Markets Government Bond ETF (VWOB).

VCEB and VWOB are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. VCEB is a passively managed fund by Vanguard that tracks the performance of the Bloomberg Barclays MSCI US Corp SRI Select Index. It was launched on Sep 22, 2020. VWOB is a passively managed fund by Vanguard that tracks the performance of the Barclays USD Emerging Markets Government RIC Capped Index. It was launched on May 31, 2013. Both VCEB and VWOB are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

VCEB vs. VWOB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard ESG U.S. Corporate Bond ETF (VCEB) and Vanguard Emerging Markets Government Bond ETF (VWOB). The values are adjusted to include any dividend payments, if applicable.

VCEB vs. VWOB - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
VCEB Vanguard ESG U.S. Corporate Bond ETF	-0.51%	7.48%	2.23%	8.52%	-15.15%	-1.99%	2.46%
VWOB Vanguard Emerging Markets Government Bond ETF	-1.63%	13.49%	5.20%	10.68%	-17.39%	-1.80%	6.46%

Returns By Period

In the year-to-date period, VCEB achieves a -0.51% return, which is significantly higher than VWOB's -1.63% return.

VCEB

• 1D: 0.51%
• 1M: -1.85%
• YTD: -0.51%
• 6M: 0.08%
• 1Y: 4.55%
• 3Y*: 4.51%
• 5Y*: 0.58%
• 10Y*: —

VWOB

• 1D: 0.86%
• 1M: -3.44%
• YTD: -1.63%
• 6M: 1.03%
• 1Y: 8.59%
• 3Y*: 8.03%
• 5Y*: 2.02%
• 10Y*: 3.45%

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

VCEB vs. VWOB - Expense Ratio Comparison

VCEB has a 0.12% expense ratio, which is lower than VWOB's 0.20% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

VWOB

Vanguard Emerging Markets Government Bond ETF

VCEB

Vanguard ESG U.S. Corporate Bond ETF

Return for Risk

VCEB vs. VWOB — Risk / Return Rank

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

VCEB

VCEB Risk / Return Rank: 54
VCEB Sharpe Ratio Rank: 51
VCEB Sortino Ratio Rank: 48
VCEB Omega Ratio Rank: 46
VCEB Calmar Ratio Rank: 68
VCEB Martin Ratio Rank: 55

VWOB

VWOB Risk / Return Rank: 77
VWOB Sharpe Ratio Rank: 76
VWOB Sortino Ratio Rank: 75
VWOB Omega Ratio Rank: 77
VWOB Calmar Ratio Rank: 78
VWOB 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.

VCEB vs. VWOB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard ESG U.S. Corporate Bond ETF (VCEB) and Vanguard Emerging Markets Government Bond ETF (VWOB). 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.

	VCEB	VWOB	Difference
Sharpe ratio Return per unit of total volatility	0.90	1.32	-0.43
Sortino ratio Return per unit of downside risk	1.26	1.83	-0.57
Omega ratio Gain probability vs. loss probability	1.17	1.28	-0.11
Calmar ratio Return relative to maximum drawdown	1.67	1.97	-0.30
Martin ratio Return relative to average drawdown	5.24	8.17	-2.93
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VCEB vs. VWOB - Sharpe Ratio Comparison

The current VCEB Sharpe Ratio is 0.90, which is lower than the VWOB Sharpe Ratio of 1.32. The chart below compares the historical Sharpe Ratios of VCEB and VWOB, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	VCEB	VWOB	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.90	1.32	-0.43
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.08	0.22	-0.14
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.37	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.03	0.39	-0.36

Correlation

The correlation between VCEB and VWOB is 0.77, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.

Dividends

VCEB vs. VWOB - Dividend Comparison

VCEB's dividend yield for the trailing twelve months is around 4.64%, less than VWOB's 5.98% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VCEB Vanguard ESG U.S. Corporate Bond ETF	4.24%	4.57%	4.47%	3.70%	2.84%	1.69%	0.43%	0.00%	0.00%	0.00%	0.00%	0.00%
VWOB Vanguard Emerging Markets Government Bond ETF	5.45%	5.92%	6.08%	5.50%	5.30%	4.04%	4.18%	4.58%	4.52%	4.61%	4.71%	4.93%

Drawdowns

VCEB vs. VWOB - Drawdown Comparison

The maximum VCEB drawdown since its inception was -21.60%, smaller than the maximum VWOB drawdown of -26.98%. Use the drawdown chart below to compare losses from any high point for VCEB and VWOB.

Drawdown Indicators

	VCEB	VWOB	Difference
Max Drawdown Largest peak-to-trough decline	-21.60%	-26.98%	+5.38%
Max Drawdown (1Y) Largest decline over 1 year	-2.82%	-4.48%	+1.66%
Max Drawdown (5Y) Largest decline over 5 years	-21.39%	-26.98%	+5.59%
Max Drawdown (10Y) Largest decline over 10 years	—	-26.98%	—
Current Drawdown Current decline from peak	-1.87%	-3.47%	+1.60%
Average Drawdown Average peak-to-trough decline	-7.84%	-4.83%	-3.01%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.90%	1.08%	-0.18%

Volatility

VCEB vs. VWOB - Volatility Comparison

The current volatility for Vanguard ESG U.S. Corporate Bond ETF (VCEB) is 2.14%, while Vanguard Emerging Markets Government Bond ETF (VWOB) has a volatility of 2.92%. This indicates that VCEB experiences smaller price fluctuations and is considered to be less risky than VWOB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VCEB	VWOB	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.14%	2.92%	-0.78%
Volatility (6M) Calculated over the trailing 6-month period	2.94%	3.74%	-0.80%
Volatility (1Y) Calculated over the trailing 1-year period	5.10%	6.51%	-1.41%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.85%	9.17%	-2.32%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.72%	9.33%	-2.61%