VEIRX vs. VDADX

Last updated Jun 24, 2026

VEIRX (Vanguard Equity Income Fund Admiral Shares) and VDADX (Vanguard Dividend Appreciation Index Fund Admiral Shares) are both mutual funds - VEIRX is a Large Cap Value Equities fund actively managed by Vanguard, while VDADX is a Dividend fund tracking the S&P U.S. Dividend Growers Index. VEIRX is actively managed, while VDADX is passively managed. Over the past 10 years, VEIRX returned 12.02%/yr vs 13.36%/yr for VDADX. Their correlation of 0.91 suggests significant overlap in exposure. VEIRX charges 0.19%/yr vs 0.07%/yr for VDADX.

Performance

VEIRX vs. VDADX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Equity Income Fund Admiral Shares (VEIRX) and Vanguard Dividend Appreciation Index Fund Admiral Shares (VDADX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VEIRX achieves a 8.18% return, which is significantly higher than VDADX's 7.47% return. Over the past 10 years, VEIRX has underperformed VDADX with an annualized return of 12.02%, while VDADX has yielded a comparatively higher 13.36% annualized return.

VEIRX

• 1D: -0.17%
• 1M: -0.40%
• YTD: 8.18%
• 6M: 7.57%
• 1Y: 20.43%
• 3Y*: 16.91%
• 5Y*: 11.47%
• 10Y*: 12.02%

VDADX

• 1D: 0.13%
• 1M: 0.98%
• YTD: 7.47%
• 6M: 6.75%
• 1Y: 18.93%
• 3Y*: 16.01%
• 5Y*: 11.03%
• 10Y*: 13.36%

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

VEIRX vs. VDADX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VEIRX Vanguard Equity Income Fund Admiral Shares	8.18%	17.25%	14.91%	7.76%	-0.08%	25.49%	3.08%	25.34%	-5.68%	17.68%
VDADX Vanguard Dividend Appreciation Index Fund Admiral Shares	7.47%	14.17%	16.99%	14.44%	-9.80%	23.59%	15.47%	29.68%	-2.06%	22.22%

Correlation

The correlation between VEIRX and VDADX is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.90
Correlation (3Y) Calculated over the trailing 3-year period	0.90
Correlation (5Y) Calculated over the trailing 5-year period	0.91
Correlation (10Y) Calculated over the trailing 10-year period	0.90
Correlation (All Time) Calculated using the full available price history since Dec 20, 2013	0.91

The correlation between VEIRX and VDADX has been stable across timeframes, ranging from 0.90 to 0.91 - a consistent structural relationship.

VEIRX vs. VDADX - Sectors Allocation Comparison

Sectors	VEIRX	VDADX
Financial Services	20.5%	19.9%
Healthcare	14.8%	16.6%
Technology	13.0%	29.0%
Industrials	10.6%	11.3%
Consumer Defensive	9.4%	9.3%
Energy	8.3%	3.2%
Utilities	7.0%	2.9%
Consumer Cyclical	6.0%	4.4%
Basic Materials	3.4%	3.3%
Communication Services	2.9%	0.5%
Real Estate	1.9%	-

Return for Risk

VEIRX vs. VDADX — Risk / Return Rank

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

VEIRX

VEIRX Risk / Return Rank: 59
VEIRX Sharpe Ratio Rank: 57
VEIRX Sortino Ratio Rank: 58
VEIRX Omega Ratio Rank: 54
VEIRX Calmar Ratio Rank: 67
VEIRX Martin Ratio Rank: 59

VDADX

VDADX Risk / Return Rank: 52
VDADX Sharpe Ratio Rank: 53
VDADX Sortino Ratio Rank: 56
VDADX Omega Ratio Rank: 50
VDADX Calmar Ratio Rank: 49
VDADX Martin Ratio Rank: 54

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.

VEIRX vs. VDADX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Equity Income Fund Admiral Shares (VEIRX) and Vanguard Dividend Appreciation Index Fund Admiral Shares (VDADX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	VEIRX	VDADX	Difference
Sharpe ratio: Return per unit of total volatility	2.06	1.99	+0.07
Sortino ratio: Return per unit of downside risk	2.93	2.87	+0.06
Omega ratio: Gain probability vs. loss probability	1.37	1.35	+0.02
Calmar ratio: Return relative to maximum drawdown	3.00	2.56	+0.44
Martin ratio: Return relative to average drawdown	11.12	10.31	+0.81

VEIRX vs. VDADX - Sharpe Ratio Comparison

The current VEIRX Sharpe Ratio is 2.06, which is comparable to the VDADX Sharpe Ratio of 1.99. The chart below compares the historical Sharpe Ratios of VEIRX and VDADX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

VEIRX vs. VDADX - Drawdown Comparison

The maximum VEIRX drawdown since its inception was -54.02%, which is greater than VDADX's maximum drawdown of -31.70%. Use the drawdown chart below to compare losses from any high point for VEIRX and VDADX.

Drawdown Indicators

	VEIRX	VDADX	Difference
Max Drawdown Largest peak-to-trough decline	-54.02%	-31.70%	-22.32%
Max Drawdown (1Y) Largest decline over 1 year	-7.13%	-7.93%	+0.80%
Max Drawdown (3Y) Largest decline over 3 years	-13.36%	-14.95%	+1.59%
Max Drawdown (5Y) Largest decline over 5 years	-15.12%	-20.42%	+5.30%
Max Drawdown (10Y) Largest decline over 10 years	-35.26%	-31.70%	-3.56%
Current Drawdown Current decline from peak	-1.42%	-0.62%	-0.80%
Average Drawdown Average peak-to-trough decline	-6.49%	-3.39%	-3.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.92%	1.96%	-0.04%

Volatility

VEIRX vs. VDADX - Volatility Comparison

Vanguard Equity Income Fund Admiral Shares (VEIRX) and Vanguard Dividend Appreciation Index Fund Admiral Shares (VDADX) have volatilities of 2.82% and 2.88%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VEIRX	VDADX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.82%	2.88%	-0.06%
Volatility (6M) Calculated over the trailing 6-month period	7.60%	7.72%	-0.12%
Volatility (1Y) Calculated over the trailing 1-year period	10.40%	10.21%	+0.19%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.89%	14.27%	-0.38%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.31%	16.21%	+0.10%

VEIRX vs. VDADX - Expense Ratio Comparison

VEIRX has a 0.19% expense ratio, which is higher than VDADX's 0.07% 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

VEIRX vs. VDADX - Dividend Comparison

VEIRX's dividend yield for the trailing twelve months is around 10.26%, more than VDADX's 1.45% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VDADX Vanguard Dividend Appreciation Index Fund Admiral Shares	1.45%	1.60%	1.71%	1.86%	1.94%	1.53%	1.61%	1.69%	2.07%	1.88%	2.14%	2.34%
VEIRX Vanguard Equity Income Fund Admiral Shares	10.26%	11.03%	9.83%	7.96%	8.79%	7.71%	2.86%	4.45%	10.98%	3.04%	3.87%	6.48%

Frequently Asked Questions

Can I hold both VEIRX and VDADX in my portfolio?

With a correlation of 0.90, VEIRX and VDADX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, VEIRX or VDADX?

VDADX has higher volatility (2.88%) compared to VEIRX (2.82%). In terms of maximum drawdown, VEIRX dropped -54.02% vs VDADX's -31.70%.

Which has better risk-adjusted returns?

VEIRX currently has the higher Sharpe Ratio (2.06 vs 1.99), 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.