VGVT vs. GBF

Last updated Jun 4, 2026

VGVT (Vanguard Government Securities Active ETF) and GBF (iShares Government/Credit Bond ETF) are both Intermediate Core Bond funds. VGVT is actively managed, while GBF is passively managed. Their correlation of 0.90 suggests significant overlap in exposure. VGVT charges 0.10%/yr vs 0.20%/yr for GBF.

Performance

VGVT vs. GBF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Government Securities Active ETF (VGVT) and iShares Government/Credit Bond ETF (GBF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VGVT achieves a 0.11% return, which is significantly lower than GBF's 0.22% return.

VGVT

• 1D: -0.15%
• 1M: 0.17%
• YTD: 0.11%
• 6M: 0.10%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

GBF

• 1D: -0.23%
• 1M: 0.25%
• YTD: 0.22%
• 6M: -0.18%
• 1Y: 4.50%
• 3Y*: 3.59%
• 5Y*: -0.21%
• 10Y*: 1.48%

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

VGVT vs. GBF - Yearly Performance Comparison

	2026 (YTD)	2025
VGVT Vanguard Government Securities Active ETF	0.11%	3.28%
GBF iShares Government/Credit Bond ETF	0.22%	2.93%

Correlation

The correlation between VGVT and GBF 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 (All Time) Calculated using the full available price history since Jul 10, 2025	0.90

Return for Risk

VGVT vs. GBF — Risk / Return Rank

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

GBF

GBF Risk / Return Rank: 33
GBF Sharpe Ratio Rank: 33
GBF Sortino Ratio Rank: 34
GBF Omega Ratio Rank: 31
GBF Calmar Ratio Rank: 34
GBF Martin Ratio Rank: 33

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.

VGVT vs. GBF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Government Securities Active ETF (VGVT) and iShares Government/Credit Bond ETF (GBF). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	VGVT	GBF	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	1.21	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	-0.04	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.28	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.17	0.58	+0.59

Drawdowns

VGVT vs. GBF - Drawdown Comparison

The maximum VGVT drawdown since its inception was -2.77%, smaller than the maximum GBF drawdown of -19.67%. Use the drawdown chart below to compare losses from any high point for VGVT and GBF.

Drawdown Indicators

	VGVT	GBF	Difference
Max Drawdown Largest peak-to-trough decline	-2.77%	-19.67%	+16.90%
Max Drawdown (1Y) Largest decline over 1 year	—	-2.73%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-5.78%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-18.45%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-19.67%	—
Current Drawdown Current decline from peak	-1.76%	-4.84%	+3.08%
Average Drawdown Average peak-to-trough decline	-0.67%	-3.67%	+3.00%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.92%	—

Volatility

Volatility by Period

	VGVT	GBF	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	1.21%	—
Volatility (6M) Calculated over the trailing 6-month period	—	2.63%	—
Volatility (1Y) Calculated over the trailing 1-year period	3.22%	3.75%	-0.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.22%	5.93%	-2.71%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.22%	5.28%	-2.06%

VGVT vs. GBF - Expense Ratio Comparison

VGVT has a 0.10% expense ratio, which is lower than GBF's 0.20% 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

VGVT vs. GBF - Dividend Comparison

VGVT's dividend yield for the trailing twelve months is around 3.99%, more than GBF's 3.79% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
GBF iShares Government/Credit Bond ETF	3.79%	3.81%	3.94%	3.03%	2.13%	1.22%	1.64%	2.64%	2.59%	2.31%	2.09%	2.04%
VGVT Vanguard Government Securities Active ETF	3.99%	2.29%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VGVT and GBF in my portfolio?

With a correlation of 0.90, VGVT and GBF 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 ETF is better, VGVT or GBF?

On fees, VGVT is cheaper at 0.10% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VGVT or GBF?

VGVT is cheaper with a 0.10% expense ratio, compared with 0.20% for GBF.

Which ETF pays a higher dividend yield, VGVT or GBF?

VGVT has the higher dividend yield at 3.99%, compared with 3.79% for GBF.

What is the main difference between VGVT and GBF?

They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.10% for VGVT and 0.20% for GBF.