PortfoliosLab logoPortfoliosLab logo

Documentation

Upgrade your plan
VCIT vs. IGOV
Performance
Return for Risk
Drawdowns
Volatility
Dividends

VCIT vs. IGOV

Last updated Jun 4, 2026

VCIT (Vanguard Intermediate-Term Corporate Bond ETF) and IGOV (iShares International Treasury Bond ETF) are both exchange-traded funds - VCIT is a Corporate Bonds fund tracking the Barclays U.S. 5-10 Year Corp Index, while IGOV is a International Government Bonds fund tracking the S&P/Citigroup International Treasury Bond Index Ex-US. Both are passively managed. Over the past 10 years, VCIT returned 2.93%/yr vs -1.38%/yr for IGOV. At a 0.48 correlation, their price movements are largely independent. VCIT charges 0.04%/yr vs 0.35%/yr for IGOV.

Performance

VCIT vs. IGOV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Intermediate-Term Corporate Bond ETF (VCIT) and iShares International Treasury Bond ETF (IGOV). The values are adjusted to include any dividend payments, if applicable.

Loading charts...

Returns By Period

In the year-to-date period, VCIT achieves a 0.18% return, which is significantly higher than IGOV's -0.50% return. Over the past 10 years, VCIT has outperformed IGOV with an annualized return of 2.93%, while IGOV has yielded a comparatively lower -1.38% annualized return.

VCIT

1D
-0.22%
1M
0.28%
YTD
0.18%
6M
0.07%
1Y
6.13%
3Y*
6.00%
5Y*
1.22%
10Y*
2.93%

IGOV

1D
-0.84%
1M
-0.43%
YTD
-0.50%
6M
-0.39%
1Y
0.56%
3Y*
2.56%
5Y*
-4.47%
10Y*
-1.38%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VCIT vs. IGOV - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
VCIT
Vanguard Intermediate-Term Corporate Bond ETF		0.18%9.34%3.20%8.98%-13.98%-1.77%9.46%14.10%-1.74%5.31%
IGOV
iShares International Treasury Bond ETF		-0.50%9.96%-6.50%5.57%-22.07%-9.25%10.88%3.76%-2.60%11.38%

Correlation

The correlation between VCIT and IGOV is 0.71, 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

0.71

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

0.70

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

0.71

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

0.62

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

0.48

Over the past year, VCIT and IGOV have become more correlated (0.71) than their long-term average of 0.48, 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 Intermediate-Term Corporate Bond ETF

iShares International Treasury Bond ETF

Often compared with VCIT:
VCIT vs. BNDVCIT vs. LQDVCIT vs. IGIBVCIT vs. VTCVCIT vs. VCLTVCIT vs. SPIBVCIT vs. VTEB
Often compared with IGOV:
IGOV vs. BNDXIGOV vs. BWXIGOV vs. AGGIGOV vs. BSVIGOV vs. FLIAIGOV vs. BNDIGOV vs. PFUIX

Return for Risk

VCIT vs. IGOV — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
VCIT
VCIT Risk / Return Rank: 4242
Overall Rank
VCIT Sharpe Ratio Rank: 4242
Sharpe Ratio Rank
VCIT Sortino Ratio Rank: 4343
Sortino Ratio Rank
VCIT Omega Ratio Rank: 4040
Omega Ratio Rank
VCIT Calmar Ratio Rank: 4141
Calmar Ratio Rank
VCIT Martin Ratio Rank: 4242
Martin Ratio Rank
IGOV
IGOV Risk / Return Rank: 99
Overall Rank
IGOV Sharpe Ratio Rank: 99
Sharpe Ratio Rank
IGOV Sortino Ratio Rank: 99
Sortino Ratio Rank
IGOV Omega Ratio Rank: 99
Omega Ratio Rank
IGOV Calmar Ratio Rank: 1010
Calmar Ratio Rank
IGOV Martin Ratio Rank: 99
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.

VCIT vs. IGOV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Intermediate-Term Corporate Bond ETF (VCIT) and iShares International Treasury Bond ETF (IGOV). 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.

VCITIGOVDifference
Sharpe ratioReturn per unit of total volatility
1.50
0.07

+1.43

Sortino ratioReturn per unit of downside risk
2.22
0.16

+2.06

Omega ratioGain probability vs. loss probability

1.27

1.02

+0.25

Calmar ratioReturn relative to maximum drawdown

2.08

0.10

+1.98

Martin ratioReturn relative to average drawdown

6.95

0.23

+6.71

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

VCIT vs. IGOV - Sharpe Ratio Comparison

The current VCIT Sharpe Ratio is 1.50, which is higher than the IGOV Sharpe Ratio of 0.07. The chart below compares the historical Sharpe Ratios of VCIT and IGOV, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Loading charts...

Sharpe Ratios by Period

VCITIGOVDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

1.50

0.07

+1.43

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.19

-0.45

+0.64

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.47

-0.16

+0.63

Sharpe Ratio (All Time)

Calculated using the full available price history

0.75

0.02

+0.74

Drawdowns

VCIT vs. IGOV - Drawdown Comparison

The maximum VCIT drawdown since its inception was -20.56%, smaller than the maximum IGOV drawdown of -35.88%. Use the drawdown chart below to compare losses from any high point for VCIT and IGOV.

Loading charts...

Drawdown Indicators

VCITIGOVDifference

Max Drawdown

Largest peak-to-trough decline

-20.56%

-35.88%

+15.32%

Max Drawdown (1Y)

Largest decline over 1 year

-2.96%

-5.70%

+2.74%

Max Drawdown (3Y)

Largest decline over 3 years

-6.11%

-10.65%

+4.54%

Max Drawdown (5Y)

Largest decline over 5 years

-20.56%

-33.17%

+12.61%

Max Drawdown (10Y)

Largest decline over 10 years

-20.56%

-35.88%

+15.32%

Current Drawdown

Current decline from peak

-1.36%

-24.01%

+22.65%

Average Drawdown

Average peak-to-trough decline

-3.16%

-11.02%

+7.86%

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.88%

2.42%

-1.54%

Volatility

VCIT vs. IGOV - Volatility Comparison

The current volatility for Vanguard Intermediate-Term Corporate Bond ETF (VCIT) is 1.38%, while iShares International Treasury Bond ETF (IGOV) has a volatility of 2.80%. This indicates that VCIT experiences smaller price fluctuations and is considered to be less risky than IGOV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Loading charts...

Volatility by Period

VCITIGOVDifference

Volatility (1M)

Calculated over the trailing 1-month period

1.38%

2.80%

-1.42%

Volatility (6M)

Calculated over the trailing 6-month period

3.06%

6.19%

-3.13%

Volatility (1Y)

Calculated over the trailing 1-year period

4.10%

8.11%

-4.01%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

6.61%

9.96%

-3.35%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

6.28%

8.59%

-2.31%

VCIT vs. IGOV - Expense Ratio Comparison

VCIT has a 0.04% expense ratio, which is lower than IGOV's 0.35% expense ratio.

Dividends

VCIT vs. IGOV - Dividend Comparison

VCIT's dividend yield for the trailing twelve months is around 4.80%, more than IGOV's 1.42% yield.

PositionTTM20252024202320222021202020192018201720162015
IGOV
iShares International Treasury Bond ETF		1.42%1.41%0.59%0.00%0.11%0.39%0.00%0.24%0.31%0.19%0.69%0.12%
VCIT
Vanguard Intermediate-Term Corporate Bond ETF		4.80%4.62%4.43%3.72%3.03%2.87%2.78%3.37%3.61%3.21%3.29%3.34%

Frequently Asked Questions

VCIT and IGOV have a correlation of 0.71, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IGOV has higher volatility (2.80%) compared to VCIT (1.38%). In terms of maximum drawdown, VCIT dropped -20.56% vs IGOV's -35.88%.

On 10-year performance, VCIT leads with 2.93% vs -1.38% for IGOV. On fees, VCIT is cheaper at 0.04% per year. On volatility, VCIT has been the lower-risk option at 1.38%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, VCIT has performed better with a 2.93% return vs -1.38%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

VCIT is cheaper with a 0.04% expense ratio, compared with 0.35% for IGOV.

VCIT has the higher dividend yield at 4.80%, compared with 1.42% for IGOV.

VCIT is categorized as Corporate Bonds, while IGOV is International Government Bonds. VCIT tracks Barclays U.S. 5-10 Year Corp Index, while IGOV tracks S&P/Citigroup International Treasury Bond Index Ex-US. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.04% for VCIT and 0.35% for IGOV.

VCIT currently has the higher Sharpe Ratio (1.50 vs 0.07), 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.

Portfolio Optimizer

Find the right allocation for VCIT and IGOV

Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.

Open Portfolio Optimizer