VGVT vs. MMKT

Last updated Jul 14, 2026

VGVT (Vanguard Government Securities Active ETF) and MMKT (Texas Capital Government Money Market ETF) are both exchange-traded funds - VGVT is a Intermediate Core Bond fund actively managed by Vanguard, while MMKT is a Money Market fund actively managed by Texas Capital. Both are actively managed. Over the past year, VGVT returned 3.46% vs 3.76% for MMKT. At a 0.02 correlation, their price movements are largely independent. VGVT charges 0.10%/yr vs 0.20%/yr for MMKT.

Performance

VGVT vs. MMKT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Government Securities Active ETF (VGVT) and Texas Capital Government Money Market ETF (MMKT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VGVT achieves a -0.14% return, which is significantly lower than MMKT's 1.83% return.

VGVT

• 1D: -0.19%
• 1M: -0.33%
• 6M: -0.37%
• YTD: -0.14%
• 1Y: 3.46%
• 3Y*: —
• 5Y*: —
• 10Y*: —

MMKT

• 1D: 0.00%
• 1M: 0.27%
• 6M: 1.74%
• YTD: 1.83%
• 1Y: 3.76%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

VGVT vs. MMKT - Yearly Performance Comparison

	2026 (YTD)	2025
VGVT Vanguard Government Securities Active ETF	-0.14%	3.56%
MMKT Texas Capital Government Money Market ETF	1.83%	1.97%

Correlation

The correlation between VGVT and MMKT is 0.01, 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	0.01
Correlation (All Time) Calculated using the full available price history since Jul 9, 2025	0.02

Return for Risk

VGVT vs. MMKT — Risk / Return Rank

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

VGVT

VGVT Risk / Return Rank: 34
VGVT Sharpe Ratio Rank: 36
VGVT Sortino Ratio Rank: 38
VGVT Omega Ratio Rank: 34
VGVT Calmar Ratio Rank: 31
VGVT Martin Ratio Rank: 29

MMKT

MMKT Risk / Return Rank: 100
MMKT Sharpe Ratio Rank: 100
MMKT Sortino Ratio Rank: 100
MMKT Omega Ratio Rank: 100
MMKT Calmar Ratio Rank: 100
MMKT Martin Ratio Rank: 100

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. MMKT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Government Securities Active ETF (VGVT) and Texas Capital Government Money Market ETF (MMKT). 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	MMKT	Difference
Sharpe ratio: Return per unit of total volatility	1.07	16.91	-15.84
Sortino ratio: Return per unit of downside risk	1.60	63.12	-61.52
Omega ratio: Gain probability vs. loss probability	1.19	16.15	-14.96
Calmar ratio: Return relative to maximum drawdown	1.25	151.60	-150.35
Martin ratio: Return relative to average drawdown	3.30	914.42	-911.12

VGVT vs. MMKT - Sharpe Ratio Comparison

The current VGVT Sharpe Ratio is 1.07, which is lower than the MMKT Sharpe Ratio of 16.91. The chart below compares the historical Sharpe Ratios of VGVT and MMKT, 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

VGVT vs. MMKT - Drawdown Comparison

The maximum VGVT drawdown since its inception was -2.77%, which is greater than MMKT's maximum drawdown of -0.04%. Use the drawdown chart below to compare losses from any high point for VGVT and MMKT.

Drawdown Indicators

	VGVT	MMKT	Difference
Max Drawdown Largest peak-to-trough decline	-2.77%	-0.04%	-2.73%
Max Drawdown (1Y) Largest decline over 1 year	-2.77%	-0.02%	-2.75%
Current Drawdown Current decline from peak	-2.00%	0.00%	-2.00%
Average Drawdown Average peak-to-trough decline	-0.77%	-0.00%	-0.77%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.05%	0.00%	+1.05%

Volatility

VGVT vs. MMKT - Volatility Comparison

Vanguard Government Securities Active ETF (VGVT) has a higher volatility of 1.02% compared to Texas Capital Government Money Market ETF (MMKT) at 0.05%. This indicates that VGVT's price experiences larger fluctuations and is considered to be riskier than MMKT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VGVT	MMKT	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.02%	0.05%	+0.97%
Volatility (6M) Calculated over the trailing 6-month period	2.49%	0.13%	+2.36%
Volatility (1Y) Calculated over the trailing 1-year period	3.24%	0.22%	+3.02%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.25%	0.23%	+3.02%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.25%	0.23%	+3.02%

VGVT vs. MMKT - Expense Ratio Comparison

VGVT has a 0.10% expense ratio, which is lower than MMKT'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. MMKT - Dividend Comparison

VGVT's dividend yield for the trailing twelve months is around 4.38%, more than MMKT's 3.68% yield.

Position	TTM	2025	2024
MMKT Texas Capital Government Money Market ETF	3.68%	3.98%	1.07%
VGVT Vanguard Government Securities Active ETF	4.38%	2.29%	0.00%

Frequently Asked Questions

Can I hold both VGVT and MMKT in my portfolio?

VGVT and MMKT have a correlation of 0.01, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VGVT or MMKT?

VGVT has higher volatility (1.02%) compared to MMKT (0.05%). In terms of maximum drawdown, VGVT dropped -2.77% vs MMKT's -0.04%.

Which ETF is better, VGVT or MMKT?

On 1-year performance, MMKT leads with 3.76% vs 3.46% for VGVT. On fees, VGVT is cheaper at 0.10% per year. On volatility, MMKT has been the lower-risk option at 0.05%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VGVT or MMKT?

Over the 1-year period, MMKT has performed better with a 3.76% return vs 3.46%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VGVT or MMKT?

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

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

VGVT has the higher dividend yield at 4.38%, compared with 3.68% for MMKT.

What is the main difference between VGVT and MMKT?

VGVT is categorized as Intermediate Core Bond, while MMKT is Money Market. They also come from different issuers: Vanguard and Texas Capital. Their fees differ too: 0.10% for VGVT and 0.20% for MMKT.

Which has better risk-adjusted returns?

MMKT currently has the higher Sharpe Ratio (16.91 vs 1.07), 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.