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VCSH vs. LQD
Performance
Risk-Adjusted Performance
Dividends
Drawdowns
Volatility

Correlation

The correlation between VCSH and LQD is 0.70, 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.


-0.50.00.51.00.7

Performance

VCSH vs. LQD - Performance Comparison

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

-1.00%0.00%1.00%2.00%3.00%4.00%5.00%6.00%AugustSeptemberOctoberNovemberDecember2025
2.63%
0.66%
VCSH
LQD

Key characteristics

Sharpe Ratio

VCSH:

2.17

LQD:

0.32

Sortino Ratio

VCSH:

3.26

LQD:

0.49

Omega Ratio

VCSH:

1.42

LQD:

1.06

Calmar Ratio

VCSH:

4.03

LQD:

0.14

Martin Ratio

VCSH:

10.02

LQD:

0.88

Ulcer Index

VCSH:

0.50%

LQD:

2.57%

Daily Std Dev

VCSH:

2.31%

LQD:

7.02%

Max Drawdown

VCSH:

-12.86%

LQD:

-24.95%

Current Drawdown

VCSH:

-0.38%

LQD:

-11.22%

Returns By Period

In the year-to-date period, VCSH achieves a 0.18% return, which is significantly higher than LQD's -0.06% return. Over the past 10 years, VCSH has outperformed LQD with an annualized return of 2.30%, while LQD has yielded a comparatively lower 2.07% annualized return.


VCSH

YTD

0.18%

1M

0.13%

6M

2.58%

1Y

5.26%

5Y*

1.90%

10Y*

2.30%

LQD

YTD

-0.06%

1M

-0.34%

6M

0.66%

1Y

2.46%

5Y*

-0.44%

10Y*

2.07%

*Annualized

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VCSH vs. LQD - Expense Ratio Comparison

VCSH has a 0.04% expense ratio, which is lower than LQD's 0.15% 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%.


LQD
iShares iBoxx $ Investment Grade Corporate Bond ETF
Expense ratio chart for LQD: current value at 0.15% compared with the broader market ranging from 0.00% to 2.12%.0.50%1.00%1.50%2.00%0.15%
Expense ratio chart for VCSH: current value at 0.04% compared with the broader market ranging from 0.00% to 2.12%.0.50%1.00%1.50%2.00%0.04%

Risk-Adjusted Performance

VCSH vs. LQD — Risk-Adjusted Performance Rank

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

VCSH
The Risk-Adjusted Performance Rank of VCSH is 8585
Overall Rank
The Sharpe Ratio Rank of VCSH is 8585
Sharpe Ratio Rank
The Sortino Ratio Rank of VCSH is 8888
Sortino Ratio Rank
The Omega Ratio Rank of VCSH is 8585
Omega Ratio Rank
The Calmar Ratio Rank of VCSH is 9191
Calmar Ratio Rank
The Martin Ratio Rank of VCSH is 7474
Martin Ratio Rank

LQD
The Risk-Adjusted Performance Rank of LQD is 1313
Overall Rank
The Sharpe Ratio Rank of LQD is 1313
Sharpe Ratio Rank
The Sortino Ratio Rank of LQD is 1212
Sortino Ratio Rank
The Omega Ratio Rank of LQD is 1212
Omega Ratio Rank
The Calmar Ratio Rank of LQD is 1212
Calmar Ratio Rank
The Martin Ratio Rank of LQD is 1313
Martin Ratio Rank
The risk-adjusted ranks indicate the investment's position relative to the market. A rank closer to 100 signifies top-performing investments, while a rank closer to 0 might suggest underperformance, based on the selected ratio. The values are calculated based on the past 12 months of returns.

VCSH vs. LQD - Risk-Adjusted Performance Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Short-Term Corporate Bond ETF (VCSH) and iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD). 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.


Sharpe ratio
The chart of Sharpe ratio for VCSH, currently valued at 2.29, compared to the broader market0.002.004.002.290.32
The chart of Sortino ratio for VCSH, currently valued at 3.44, compared to the broader market-2.000.002.004.006.008.0010.0012.003.440.49
The chart of Omega ratio for VCSH, currently valued at 1.45, compared to the broader market0.501.001.502.002.503.001.451.06
The chart of Calmar ratio for VCSH, currently valued at 4.21, compared to the broader market0.005.0010.0015.004.210.14
The chart of Martin ratio for VCSH, currently valued at 10.47, compared to the broader market0.0020.0040.0060.0080.00100.0010.470.88
VCSH
LQD

The current VCSH Sharpe Ratio is 2.17, which is higher than the LQD Sharpe Ratio of 0.32. The chart below compares the historical Sharpe Ratios of VCSH and LQD, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.


Rolling 12-month Sharpe Ratio0.001.002.003.004.00AugustSeptemberOctoberNovemberDecember2025
2.29
0.32
VCSH
LQD

Dividends

VCSH vs. LQD - Dividend Comparison

VCSH's dividend yield for the trailing twelve months is around 3.96%, less than LQD's 4.45% yield.


TTM20242023202220212020201920182017201620152014
VCSH
Vanguard Short-Term Corporate Bond ETF
3.96%3.96%3.09%2.01%1.81%2.27%2.87%2.65%2.25%2.10%2.08%2.01%
LQD
iShares iBoxx $ Investment Grade Corporate Bond ETF
4.45%4.45%3.99%3.30%2.30%2.66%3.29%3.67%3.10%3.34%3.47%3.39%

Drawdowns

VCSH vs. LQD - Drawdown Comparison

The maximum VCSH drawdown since its inception was -12.86%, smaller than the maximum LQD drawdown of -24.95%. Use the drawdown chart below to compare losses from any high point for VCSH and LQD. For additional features, visit the drawdowns tool.


-12.00%-10.00%-8.00%-6.00%-4.00%-2.00%0.00%AugustSeptemberOctoberNovemberDecember2025
-0.38%
-11.22%
VCSH
LQD

Volatility

VCSH vs. LQD - Volatility Comparison

The current volatility for Vanguard Short-Term Corporate Bond ETF (VCSH) is 0.71%, while iShares iBoxx $ Investment Grade Corporate Bond ETF (LQD) has a volatility of 2.23%. This indicates that VCSH experiences smaller price fluctuations and is considered to be less risky than LQD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


0.50%1.00%1.50%2.00%2.50%AugustSeptemberOctoberNovemberDecember2025
0.71%
2.23%
VCSH
LQD
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Disclaimer

The information contained herein does not constitute investment advice and made available for educational purposes only. Prices and returns on equities are listed without consideration of fees, commissions, taxes, penalties, or interest payable due to purchasing, holding, or selling.

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