VIITX vs. VFSUX

Last updated Jun 23, 2026

VIITX (Vanguard Institutional Intermediate-Term Bond Fund) and VFSUX (Vanguard Short-Term Investment-Grade Fund Admiral Shares) are both mutual funds - VIITX is a Short-Term Bond fund managed by Vanguard, while VFSUX is a Total Bond Market fund managed by Vanguard. Over the past 10 years, VIITX returned 2.12%/yr vs 2.60%/yr for VFSUX. Their correlation of 0.83 suggests significant overlap in exposure. VIITX charges 0.02%/yr vs 0.10%/yr for VFSUX.

Performance

VIITX vs. VFSUX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Institutional Intermediate-Term Bond Fund (VIITX) and Vanguard Short-Term Investment-Grade Fund Admiral Shares (VFSUX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VIITX achieves a 0.61% return, which is significantly higher than VFSUX's 0.53% return. Over the past 10 years, VIITX has underperformed VFSUX with an annualized return of 2.12%, while VFSUX has yielded a comparatively higher 2.60% annualized return.

VIITX

• 1D: 0.19%
• 1M: 0.53%
• YTD: 0.61%
• 6M: 0.75%
• 1Y: 4.57%
• 3Y*: 4.98%
• 5Y*: 1.51%
• 10Y*: 2.12%

VFSUX

• 1D: 0.10%
• 1M: 0.31%
• YTD: 0.53%
• 6M: 0.91%
• 1Y: 4.40%
• 3Y*: 5.63%
• 5Y*: 2.38%
• 10Y*: 2.60%

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

VIITX vs. VFSUX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VIITX Vanguard Institutional Intermediate-Term Bond Fund	0.61%	7.23%	3.67%	5.31%	-7.99%	-1.02%	6.17%	6.44%	0.87%	2.00%
VFSUX Vanguard Short-Term Investment-Grade Fund Admiral Shares	0.53%	6.87%	5.08%	6.17%	-5.75%	-0.62%	5.26%	5.85%	0.98%	2.13%

Correlation

The correlation between VIITX and VFSUX is 0.84, 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	0.84
Correlation (3Y) Calculated over the trailing 3-year period	0.86
Correlation (5Y) Calculated over the trailing 5-year period	0.88
Correlation (10Y) Calculated over the trailing 10-year period	0.83
Correlation (All Time) Calculated using the full available price history since Nov 3, 2015	0.83

The correlation between VIITX and VFSUX has been stable across timeframes, ranging from 0.83 to 0.88 - a consistent structural relationship.

Return for Risk

VIITX vs. VFSUX — Risk / Return Rank

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

VIITX

VIITX Risk / Return Rank: 47
VIITX Sharpe Ratio Rank: 48
VIITX Sortino Ratio Rank: 53
VIITX Omega Ratio Rank: 50
VIITX Calmar Ratio Rank: 46
VIITX Martin Ratio Rank: 37

VFSUX

VFSUX Risk / Return Rank: 60
VFSUX Sharpe Ratio Rank: 49
VFSUX Sortino Ratio Rank: 76
VFSUX Omega Ratio Rank: 72
VFSUX Calmar Ratio Rank: 50
VFSUX Martin Ratio Rank: 52

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.

VIITX vs. VFSUX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Institutional Intermediate-Term Bond Fund (VIITX) and Vanguard Short-Term Investment-Grade Fund Admiral Shares (VFSUX). 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.

	VIITX	VFSUX	Difference
Sharpe ratio: Return per unit of total volatility	1.89	1.89	0.00
Sortino ratio: Return per unit of downside risk	2.80	3.31	-0.52
Omega ratio: Gain probability vs. loss probability	1.36	1.43	-0.07
Calmar ratio: Return relative to maximum drawdown	2.48	2.59	-0.11
Martin ratio: Return relative to average drawdown	7.65	10.04	-2.39

VIITX vs. VFSUX - Sharpe Ratio Comparison

The current VIITX Sharpe Ratio is 1.89, which is comparable to the VFSUX Sharpe Ratio of 1.89. The chart below compares the historical Sharpe Ratios of VIITX and VFSUX, 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

VIITX vs. VFSUX - Drawdown Comparison

The maximum VIITX drawdown since its inception was -11.86%, which is greater than VFSUX's maximum drawdown of -9.24%. Use the drawdown chart below to compare losses from any high point for VIITX and VFSUX.

Drawdown Indicators

	VIITX	VFSUX	Difference
Max Drawdown Largest peak-to-trough decline	-11.86%	-9.24%	-2.62%
Max Drawdown (1Y) Largest decline over 1 year	-1.89%	-1.71%	-0.18%
Max Drawdown (3Y) Largest decline over 3 years	-3.32%	-1.71%	-1.61%
Max Drawdown (5Y) Largest decline over 5 years	-11.86%	-9.24%	-2.62%
Max Drawdown (10Y) Largest decline over 10 years	-11.86%	-9.24%	-2.62%
Current Drawdown Current decline from peak	-0.82%	-0.52%	-0.30%
Average Drawdown Average peak-to-trough decline	-2.12%	-0.87%	-1.25%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.61%	0.44%	+0.17%

Volatility

VIITX vs. VFSUX - Volatility Comparison

Vanguard Institutional Intermediate-Term Bond Fund (VIITX) has a higher volatility of 0.87% compared to Vanguard Short-Term Investment-Grade Fund Admiral Shares (VFSUX) at 0.80%. This indicates that VIITX's price experiences larger fluctuations and is considered to be riskier than VFSUX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VIITX	VFSUX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.87%	0.80%	+0.07%
Volatility (6M) Calculated over the trailing 6-month period	1.92%	1.73%	+0.19%
Volatility (1Y) Calculated over the trailing 1-year period	2.48%	2.33%	+0.15%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.85%	2.99%	+0.86%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.07%	2.49%	+0.58%

VIITX vs. VFSUX - Expense Ratio Comparison

VIITX has a 0.02% expense ratio, which is lower than VFSUX's 0.10% 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

VIITX vs. VFSUX - Dividend Comparison

VIITX's dividend yield for the trailing twelve months is around 4.56%, less than VFSUX's 4.73% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VFSUX Vanguard Short-Term Investment-Grade Fund Admiral Shares	4.73%	4.59%	4.16%	3.14%	2.03%	1.79%	2.34%	2.92%	2.79%	2.11%	2.14%	2.09%
VIITX Vanguard Institutional Intermediate-Term Bond Fund	4.56%	4.51%	4.71%	3.61%	2.14%	2.20%	2.87%	2.69%	2.62%	2.04%	2.95%	0.57%

Frequently Asked Questions

Can I hold both VIITX and VFSUX in my portfolio?

VIITX and VFSUX have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VIITX or VFSUX?

VIITX has higher volatility (0.87%) compared to VFSUX (0.80%). In terms of maximum drawdown, VIITX dropped -11.86% vs VFSUX's -9.24%.

Which has better risk-adjusted returns?

VFSUX currently has the higher Sharpe Ratio (1.89 vs 1.89), 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.