VGSH vs. VDY.TO
VGSH (Vanguard Short-Term Treasury ETF) and VDY.TO (Vanguard FTSE Canadian High Dividend Yield Index ETF) are both exchange-traded funds - VGSH is a Government Bonds fund tracking the Bloomberg U.S. Treasury 1-3 Year Index, while VDY.TO is a Dividend fund tracking the FTSE Canada High Dividend Yield Index. Both are passively managed. Over the past 10 years, VGSH returned 1.73%/yr vs 13.61%/yr for VDY.TO. At a correlation of -0.12, they often move in opposite directions. VGSH charges 0.03%/yr vs 0.22%/yr for VDY.TO.
Performance
VGSH vs. VDY.TO - Performance Comparison
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Different Trading Currencies
VGSH is traded in USD, while VDY.TO is traded in CAD. To make them comparable, the VDY.TO values have been converted to USD using the latest available exchange rates.
Returns By Period
In the year-to-date period, VGSH achieves a 0.57% return, which is significantly lower than VDY.TO's 21.35% return. Over the past 10 years, VGSH has underperformed VDY.TO with an annualized return of 1.73%, while VDY.TO has yielded a comparatively higher 13.61% annualized return.
VGSH
- 1D
- -0.03%
- 1M
- 0.16%
- YTD
- 0.57%
- 6M
- 0.83%
- 1Y
- 3.36%
- 3Y*
- 4.25%
- 5Y*
- 1.83%
- 10Y*
- 1.73%
VDY.TO
- 1D
- 0.47%
- 1M
- 3.28%
- YTD
- 21.35%
- 6M
- 21.69%
- 1Y
- 45.54%
- 3Y*
- 25.54%
- 5Y*
- 14.55%
- 10Y*
- 13.61%
VGSH vs. VDY.TO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
VGSH Vanguard Short-Term Treasury ETF | 0.57% | 5.07% | 4.00% | 4.31% | -3.86% | -0.60% | 3.04% | 3.52% | 1.55% | 0.04% |
VDY.TO Vanguard FTSE Canadian High Dividend Yield Index ETF | 21.35% | 35.39% | 11.96% | 11.05% | -6.18% | 36.67% | 1.03% | 26.64% | -17.06% | 16.18% |
Correlation
The correlation between VGSH and VDY.TO is 0.00, 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 | 0.00 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.00 |
Correlation (5Y) Calculated over the trailing 5-year period | -0.03 |
Correlation (10Y) Calculated over the trailing 10-year period | -0.11 |
Correlation (All Time) Calculated using the full available price history since Nov 8, 2012 | -0.12 |
The correlation between VGSH and VDY.TO shifts across timeframes, from -0.12 (all time) to 0.00 (1 year), reflecting how their relationship changes across market environments.
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Return for Risk
VGSH vs. VDY.TO — Risk / Return Rank
VGSH
VDY.TO
VGSH vs. VDY.TO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Short-Term Treasury ETF (VGSH) and Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY.TO). 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.
| VGSH | VDY.TO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -2.38 | ||
| Sortino ratioReturn per unit of downside risk | -2.58 | ||
| Omega ratioGain probability vs. loss probability | 1.55 | 1.94 | -0.39 |
| Calmar ratioReturn relative to maximum drawdown | 3.76 | 12.92 | -9.16 |
| Martin ratioReturn relative to average drawdown | 14.67 | 44.56 | -29.89 |
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Drawdowns
VGSH vs. VDY.TO - Drawdown Comparison
The maximum VGSH drawdown since its inception was -5.70%, smaller than the maximum VDY.TO drawdown of -44.42%. Use the drawdown chart below to compare losses from any high point for VGSH and VDY.TO.
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Drawdown Indicators
| VGSH | VDY.TO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -5.70% | -44.42% | +38.72% |
Max Drawdown (1Y)Largest decline over 1 year | -0.88% | -3.59% | +2.71% |
Max Drawdown (3Y)Largest decline over 3 years | -0.97% | -12.92% | +11.95% |
Max Drawdown (5Y)Largest decline over 5 years | -5.66% | -23.69% | +18.03% |
Max Drawdown (10Y)Largest decline over 10 years | -5.70% | -44.42% | +38.72% |
Current DrawdownCurrent decline from peak | -0.21% | 0.00% | -0.21% |
Average DrawdownAverage peak-to-trough decline | -0.60% | -8.79% | +8.19% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.23% | 1.04% | -0.81% |
Volatility
VGSH vs. VDY.TO - Volatility Comparison
The current volatility for Vanguard Short-Term Treasury ETF (VGSH) is 0.37%, while Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY.TO) has a volatility of 3.14%. This indicates that VGSH experiences smaller price fluctuations and is considered to be less risky than VDY.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| VGSH | VDY.TO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.37% | 3.14% | -2.77% |
Volatility (6M)Calculated over the trailing 6-month period | 0.90% | 7.41% | -6.51% |
Volatility (1Y)Calculated over the trailing 1-year period | 1.28% | 9.31% | -8.03% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 1.97% | 13.44% | -11.47% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 1.58% | 17.45% | -15.87% |
VGSH vs. VDY.TO - Expense Ratio Comparison
VGSH has a 0.03% expense ratio, which is lower than VDY.TO's 0.22% 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%.
Dividends
VGSH vs. VDY.TO - Dividend Comparison
VGSH's dividend yield for the trailing twelve months is around 3.87%, more than VDY.TO's 2.83% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
VDY.TO Vanguard FTSE Canadian High Dividend Yield Index ETF | 2.83% | 3.59% | 4.37% | 4.64% | 4.42% | 3.46% | 4.59% | 4.25% | 4.44% | 3.42% | 3.25% | 4.11% |
VGSH Vanguard Short-Term Treasury ETF | 3.87% | 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 VDY.TO have a correlation of 0.00, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
On fees, VGSH is cheaper at 0.03% per year. The better choice depends on whether you care most about return, fees, risk, or income.
VGSH is cheaper with a 0.03% expense ratio, compared with 0.22% for VDY.TO.
VGSH is categorized as Government Bonds, while VDY.TO is Dividend. VGSH tracks Bloomberg U.S. Treasury 1-3 Year Index, while VDY.TO tracks FTSE Canada High Dividend Yield Index. Their fees differ too: 0.03% for VGSH and 0.22% for VDY.TO.
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