VCSH vs. SPDN

Last updated Jun 9, 2026

VCSH (Vanguard Short-Term Corporate Bond ETF) and SPDN (Direxion Daily S&P 500 Bear 1x Shares) are both exchange-traded funds - VCSH is a Corporate Bonds fund tracking the Bloomberg U.S. 1-5 Year Corporate Bond Index, while SPDN is a Inverse Equities fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, VCSH returned 2.66%/yr vs -12.43%/yr for SPDN. At a correlation of -0.16, they often move in opposite directions. VCSH charges 0.04%/yr vs 0.50%/yr for SPDN.

Performance

VCSH vs. SPDN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Short-Term Corporate Bond ETF (VCSH) and Direxion Daily S&P 500 Bear 1x Shares (SPDN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VCSH achieves a 0.44% return, which is significantly higher than SPDN's -5.89% return. Over the past 10 years, VCSH has outperformed SPDN with an annualized return of 2.66%, while SPDN has yielded a comparatively lower -12.43% annualized return.

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%

SPDN

• 1D: -0.11%
• 1M: 0.11%
• YTD: -5.89%
• 6M: -5.63%
• 1Y: -14.82%
• 3Y*: -12.12%
• 5Y*: -8.55%
• 10Y*: -12.43%

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

VCSH vs. SPDN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
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%
SPDN Direxion Daily S&P 500 Bear 1x Shares	-5.89%	-11.09%	-12.88%	-15.04%	18.63%	-23.72%	-24.56%	-21.94%	5.41%	-17.16%

Correlation

The correlation between VCSH and SPDN is -0.36, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.36
Correlation (3Y) Calculated over the trailing 3-year period	-0.27
Correlation (5Y) Calculated over the trailing 5-year period	-0.28
Correlation (10Y) Calculated over the trailing 10-year period	-0.16
Correlation (All Time) Calculated using the full available price history since Jun 8, 2016	-0.16

The correlation between VCSH and SPDN shifts across timeframes, from -0.36 (1 year) to -0.16 (all time), reflecting how their relationship changes across market environments.

Return for Risk

VCSH vs. SPDN — Risk / Return Rank

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

VCSH

VCSH Risk / Return Rank: 82
VCSH Sharpe Ratio Rank: 84
VCSH Sortino Ratio Rank: 90
VCSH Omega Ratio Rank: 86
VCSH Calmar Ratio Rank: 72
VCSH Martin Ratio Rank: 77

SPDN

SPDN Risk / Return Rank: 1
SPDN Sharpe Ratio Rank: 0
SPDN Sortino Ratio Rank: 1
SPDN Omega Ratio Rank: 1
SPDN Calmar Ratio Rank: 2
SPDN Martin Ratio Rank: 1

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.

VCSH vs. SPDN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Short-Term Corporate Bond ETF (VCSH) and Direxion Daily S&P 500 Bear 1x Shares (SPDN). 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.

	VCSH	SPDN	Difference
Sharpe ratio: Return per unit of total volatility	2.45	-1.21	+3.66
Sortino ratio: Return per unit of downside risk	3.82	-1.74	+5.57
Omega ratio: Gain probability vs. loss probability	1.48	0.81	+0.67
Calmar ratio: Return relative to maximum drawdown	3.27	-0.84	+4.11
Martin ratio: Return relative to average drawdown	13.41	-1.53	+14.94
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VCSH vs. SPDN - Sharpe Ratio Comparison

The current VCSH Sharpe Ratio is 2.45, which is higher than the SPDN Sharpe Ratio of -1.21. The chart below compares the historical Sharpe Ratios of VCSH and SPDN, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	VCSH	SPDN	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.45	-1.21	+3.66
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.79	-0.51	+1.30
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.80	-0.69	+1.49
Sharpe Ratio (All Time) Calculated using the full available price history	1.01	-0.69	+1.70

Drawdowns

VCSH vs. SPDN - Drawdown Comparison

The maximum VCSH drawdown since its inception was -12.86%, smaller than the maximum SPDN drawdown of -75.31%. Use the drawdown chart below to compare losses from any high point for VCSH and SPDN.

Drawdown Indicators

	VCSH	SPDN	Difference
Max Drawdown Largest peak-to-trough decline	-12.86%	-75.31%	+62.45%
Max Drawdown (1Y) Largest decline over 1 year	-1.40%	-17.73%	+16.33%
Max Drawdown (3Y) Largest decline over 3 years	-1.40%	-38.24%	+36.84%
Max Drawdown (5Y) Largest decline over 5 years	-9.48%	-43.85%	+34.37%
Max Drawdown (10Y) Largest decline over 10 years	-12.86%	-75.31%	+62.45%
Current Drawdown Current decline from peak	-0.52%	-74.65%	+74.13%
Average Drawdown Average peak-to-trough decline	-0.97%	-48.57%	+47.60%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.34%	9.71%	-9.37%

Volatility

VCSH vs. SPDN - Volatility Comparison

The current volatility for Vanguard Short-Term Corporate Bond ETF (VCSH) is 0.61%, while Direxion Daily S&P 500 Bear 1x Shares (SPDN) has a volatility of 3.55%. This indicates that VCSH experiences smaller price fluctuations and is considered to be less risky than SPDN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VCSH	SPDN	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.61%	3.55%	-2.94%
Volatility (6M) Calculated over the trailing 6-month period	1.41%	9.44%	-8.03%
Volatility (1Y) Calculated over the trailing 1-year period	1.87%	12.33%	-10.46%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.88%	16.90%	-14.02%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.35%	18.05%	-14.70%

VCSH vs. SPDN - Expense Ratio Comparison

VCSH has a 0.04% expense ratio, which is lower than SPDN's 0.50% expense ratio.

Dividends

VCSH vs. SPDN - Dividend Comparison

VCSH's dividend yield for the trailing twelve months is around 4.46%, more than SPDN's 4.01% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SPDN Direxion Daily S&P 500 Bear 1x Shares	4.01%	4.06%	5.32%	5.84%	0.96%	0.00%	0.10%	1.89%	1.24%	0.42%	0.00%	0.00%
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

Can I hold both VCSH and SPDN in my portfolio?

VCSH and SPDN have a correlation of -0.36, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VCSH or SPDN?

SPDN has higher volatility (3.55%) compared to VCSH (0.61%). In terms of maximum drawdown, VCSH dropped -12.86% vs SPDN's -75.31%.

Which ETF is better, VCSH or SPDN?

On 10-year performance, VCSH leads with 2.66% vs -12.43% for SPDN. 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.

Which ETF has performed better, VCSH or SPDN?

Over the 10-year period, VCSH has performed better with a 2.66% return vs -12.43%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VCSH or SPDN?

VCSH is cheaper with a 0.04% expense ratio, compared with 0.50% for SPDN.

Which ETF pays a higher dividend yield, VCSH or SPDN?

VCSH has the higher dividend yield at 4.46%, compared with 4.01% for SPDN.

What is the main difference between VCSH and SPDN?

VCSH is categorized as Corporate Bonds, while SPDN is Inverse Equities. VCSH tracks Bloomberg U.S. 1-5 Year Corporate Bond Index, while SPDN tracks S&P 500 Index. They also come from different issuers: Vanguard and Direxion. Their fees differ too: 0.04% for VCSH and 0.50% for SPDN.

Which has better risk-adjusted returns?

VCSH currently has the higher Sharpe Ratio (2.45 vs -1.21), 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.