VGSH vs. BKLN
VGSH (Vanguard Short-Term Treasury ETF) and BKLN (Invesco Senior Loan ETF) are both exchange-traded funds - VGSH is a Government Bonds fund tracking the Bloomberg U.S. Treasury 1-3 Year Index, while BKLN is a Bank Loan fund tracking the Morningstar LSTA US Leveraged Loan 100 Index. Both are passively managed. Over the past 10 years, VGSH returned 1.71%/yr vs 4.25%/yr for BKLN. At a correlation of -0.06, they often move in opposite directions. VGSH charges 0.03%/yr vs 0.65%/yr for BKLN.
Performance
VGSH vs. BKLN - Performance Comparison
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Returns By Period
In the year-to-date period, VGSH achieves a 0.36% return, which is significantly higher than BKLN's -0.04% return. Over the past 10 years, VGSH has underperformed BKLN with an annualized return of 1.71%, while BKLN has yielded a comparatively higher 4.25% annualized return.
VGSH
- 1D
- 0.00%
- 1M
- -0.20%
- YTD
- 0.36%
- 6M
- 0.76%
- 1Y
- 3.41%
- 3Y*
- 4.14%
- 5Y*
- 1.79%
- 10Y*
- 1.71%
BKLN
- 1D
- 0.00%
- 1M
- -0.43%
- YTD
- -0.04%
- 6M
- 0.55%
- 1Y
- 4.39%
- 3Y*
- 7.44%
- 5Y*
- 5.09%
- 10Y*
- 4.25%
VGSH vs. BKLN - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
VGSH Vanguard Short-Term Treasury ETF | 0.36% | 5.07% | 4.00% | 4.31% | -3.86% | -0.60% | 3.04% | 3.52% | 1.55% | 0.04% |
BKLN Invesco Senior Loan ETF | -0.04% | 6.88% | 8.21% | 12.53% | -2.51% | 2.32% | 1.32% | 10.03% | -1.32% | 2.13% |
Correlation
The correlation between VGSH and BKLN is 0.09, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.09 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.05 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.05 |
Correlation (10Y) Calculated over the trailing 10-year period | -0.03 |
Correlation (All Time) Calculated using the full available price history since Mar 3, 2011 | -0.06 |
The correlation between VGSH and BKLN shifts across timeframes, from -0.06 (all time) to 0.09 (1 year), reflecting how their relationship changes across market environments.
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Return for Risk
VGSH vs. BKLN — Risk / Return Rank
VGSH
BKLN
VGSH vs. BKLN - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Short-Term Treasury ETF (VGSH) and Invesco Senior Loan ETF (BKLN). 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.
| VGSH | BKLN | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +1.09 | ||
| Sortino ratioReturn per unit of downside risk | +2.08 | ||
| Omega ratioGain probability vs. loss probability | 1.57 | 1.37 | +0.20 |
| Calmar ratioReturn relative to maximum drawdown | 3.88 | 1.44 | +2.44 |
| Martin ratioReturn relative to average drawdown | 15.29 | 5.65 | +9.65 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| VGSH | BKLN | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 2.69 | 1.61 | +1.09 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.91 | 1.14 | -0.23 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 1.09 | 0.66 | +0.43 |
Sharpe Ratio (All Time)Calculated using the full available price history | 1.01 | 0.64 | +0.37 |
Drawdowns
VGSH vs. BKLN - Drawdown Comparison
The maximum VGSH drawdown since its inception was -5.70%, smaller than the maximum BKLN drawdown of -24.17%. Use the drawdown chart below to compare losses from any high point for VGSH and BKLN.
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Drawdown Indicators
| VGSH | BKLN | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -5.70% | -24.17% | +18.47% |
Max Drawdown (1Y)Largest decline over 1 year | -0.88% | -3.07% | +2.19% |
Max Drawdown (3Y)Largest decline over 3 years | -0.97% | -3.55% | +2.58% |
Max Drawdown (5Y)Largest decline over 5 years | -5.66% | -7.31% | +1.65% |
Max Drawdown (10Y)Largest decline over 10 years | -5.70% | -24.17% | +18.47% |
Current DrawdownCurrent decline from peak | -0.41% | -0.48% | +0.07% |
Average DrawdownAverage peak-to-trough decline | -0.60% | -1.09% | +0.49% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.22% | 0.78% | -0.56% |
Volatility
VGSH vs. BKLN - Volatility Comparison
The current volatility for Vanguard Short-Term Treasury ETF (VGSH) is 0.35%, while Invesco Senior Loan ETF (BKLN) has a volatility of 0.44%. This indicates that VGSH experiences smaller price fluctuations and is considered to be less risky than BKLN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| VGSH | BKLN | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.35% | 0.44% | -0.09% |
Volatility (6M)Calculated over the trailing 6-month period | 0.89% | 2.52% | -1.63% |
Volatility (1Y)Calculated over the trailing 1-year period | 1.28% | 2.75% | -1.47% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 1.97% | 4.48% | -2.51% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 1.58% | 6.43% | -4.85% |
VGSH vs. BKLN - Expense Ratio Comparison
VGSH has a 0.03% expense ratio, which is lower than BKLN's 0.65% expense ratio.
Dividends
VGSH vs. BKLN - Dividend Comparison
VGSH's dividend yield for the trailing twelve months is around 3.88%, less than BKLN's 6.63% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
BKLN Invesco Senior Loan ETF | 6.63% | 6.95% | 8.41% | 8.59% | 4.93% | 3.11% | 3.56% | 4.86% | 4.52% | 3.50% | 4.54% | 4.12% |
VGSH Vanguard Short-Term Treasury ETF | 3.88% | 4.00% | 4.18% | 3.31% | 1.15% | 0.66% | 1.74% | 2.28% | 1.79% | 1.10% | 0.84% | 0.69% |
Frequently Asked Questions
VGSH and BKLN have a correlation of 0.09, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
BKLN has higher volatility (0.44%) compared to VGSH (0.35%). In terms of maximum drawdown, VGSH dropped -5.70% vs BKLN's -24.17%.
On 10-year performance, BKLN leads with 4.25% vs 1.71% for VGSH. On fees, VGSH is cheaper at 0.03% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, BKLN has performed better with a 4.25% return vs 1.71%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
VGSH is cheaper with a 0.03% expense ratio, compared with 0.65% for BKLN.
BKLN has the higher dividend yield at 6.63%, compared with 3.88% for VGSH.
VGSH is categorized as Government Bonds, while BKLN is Bank Loan. VGSH tracks Bloomberg U.S. Treasury 1-3 Year Index, while BKLN tracks Morningstar LSTA US Leveraged Loan 100 Index. They also come from different issuers: Vanguard and Invesco. Their fees differ too: 0.03% for VGSH and 0.65% for BKLN.
VGSH currently has the higher Sharpe Ratio (2.69 vs 1.61), 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.
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