VGVT vs. IEF
VGVT (Vanguard Government Securities Active ETF) and IEF (iShares 7-10 Year Treasury Bond ETF) are both exchange-traded funds - VGVT is a Intermediate Core Bond fund actively managed by Vanguard, while IEF is a Government Bonds fund tracking the ICE U.S. Treasury 7-10 Year Bond Index. VGVT is actively managed, while IEF is passively managed. Over the past year, VGVT returned 3.46% vs 2.77% for IEF. Their correlation of 0.89 suggests significant overlap in exposure. VGVT charges 0.10%/yr vs 0.15%/yr for IEF.
Performance
VGVT vs. IEF - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, VGVT achieves a -0.14% return, which is significantly higher than IEF's -1.08% return.
VGVT
- 1D
- -0.19%
- 1M
- -0.33%
- 6M
- -0.37%
- YTD
- -0.14%
- 1Y
- 3.46%
- 3Y*
- —
- 5Y*
- —
- 10Y*
- —
IEF
- 1D
- -0.36%
- 1M
- -0.62%
- 6M
- -1.10%
- YTD
- -1.08%
- 1Y
- 2.77%
- 3Y*
- 2.52%
- 5Y*
- -1.53%
- 10Y*
- 0.48%
VGVT vs. IEF - Yearly Performance Comparison
| 2026 (YTD) | 2025 | |
|---|---|---|
VGVT Vanguard Government Securities Active ETF | -0.14% | 3.56% |
IEF iShares 7-10 Year Treasury Bond ETF | -1.08% | 3.90% |
Correlation
The correlation between VGVT and IEF is 0.89, 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 | 0.89 |
Correlation (All Time) Calculated using the full available price history since Jul 9, 2025 | 0.89 |
The correlation between VGVT and IEF has been stable across timeframes, ranging from 0.89 to 0.89 - a consistent structural relationship.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
VGVT vs. IEF — Risk / Return Rank
VGVT
IEF
VGVT vs. IEF - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Government Securities Active ETF (VGVT) and iShares 7-10 Year Treasury Bond ETF (IEF). 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.
| VGVT | IEF | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.48 | ||
| Sortino ratioReturn per unit of downside risk | +0.70 | ||
| Omega ratioGain probability vs. loss probability | 1.19 | 1.10 | +0.09 |
| Calmar ratioReturn relative to maximum drawdown | 1.25 | 0.68 | +0.57 |
| Martin ratioReturn relative to average drawdown | 3.30 | 1.76 | +1.55 |
Loading charts...
Drawdowns
VGVT vs. IEF - Drawdown Comparison
The maximum VGVT drawdown since its inception was -2.77%, smaller than the maximum IEF drawdown of -23.93%. Use the drawdown chart below to compare losses from any high point for VGVT and IEF.
Loading charts...
Drawdown Indicators
| VGVT | IEF | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -2.77% | -23.93% | +21.16% |
Max Drawdown (1Y)Largest decline over 1 year | -2.77% | -4.07% | +1.30% |
Max Drawdown (3Y)Largest decline over 3 years | — | -7.71% | — |
Max Drawdown (5Y)Largest decline over 5 years | — | -21.40% | — |
Max Drawdown (10Y)Largest decline over 10 years | — | -23.93% | — |
Current DrawdownCurrent decline from peak | -2.00% | -11.72% | +9.72% |
Average DrawdownAverage peak-to-trough decline | -0.77% | -5.37% | +4.60% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 1.05% | 1.58% | -0.53% |
Volatility
VGVT vs. IEF - Volatility Comparison
The current volatility for Vanguard Government Securities Active ETF (VGVT) is 1.02%, while iShares 7-10 Year Treasury Bond ETF (IEF) has a volatility of 1.61%. This indicates that VGVT experiences smaller price fluctuations and is considered to be less risky than IEF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
Loading charts...
Volatility by Period
| VGVT | IEF | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.02% | 1.61% | -0.59% |
Volatility (6M)Calculated over the trailing 6-month period | 2.49% | 3.60% | -1.11% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.24% | 4.72% | -1.48% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 3.25% | 7.71% | -4.46% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 3.25% | 6.61% | -3.36% |
VGVT vs. IEF - Expense Ratio Comparison
VGVT has a 0.10% expense ratio, which is lower than IEF's 0.15% 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. IEF - Dividend Comparison
VGVT's dividend yield for the trailing twelve months is around 4.38%, more than IEF's 3.94% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IEF iShares 7-10 Year Treasury Bond ETF | 3.94% | 3.77% | 3.62% | 2.91% | 1.96% | 0.83% | 1.08% | 2.08% | 2.24% | 1.82% | 1.81% | 1.90% |
VGVT Vanguard Government Securities Active ETF | 4.38% | 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
VGVT and IEF have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
IEF has higher volatility (1.61%) compared to VGVT (1.02%). In terms of maximum drawdown, VGVT dropped -2.77% vs IEF's -23.93%.
On 1-year performance, VGVT leads with 3.46% vs 2.77% for IEF. On fees, VGVT is cheaper at 0.10% per year. On volatility, VGVT has been the lower-risk option at 1.02%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 1-year period, VGVT has performed better with a 3.46% return vs 2.77%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
VGVT is cheaper with a 0.10% expense ratio, compared with 0.15% for IEF.
VGVT has the higher dividend yield at 4.38%, compared with 3.94% for IEF.
VGVT is categorized as Intermediate Core Bond, while IEF is Government Bonds. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.10% for VGVT and 0.15% for IEF.
VGVT currently has the higher Sharpe Ratio (1.07 vs 0.59), 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.
Find the right allocation for VGVT and IEF
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer