VIS vs. ITA

Last updated Jun 3, 2026

VIS (Vanguard Industrials ETF) and ITA (iShares U.S. Aerospace & Defense ETF) are both exchange-traded funds - VIS is a Industrials Equities fund tracking the MSCI US Investable Market Industrials 25/50 Index, while ITA is a Aerospace & Defense fund tracking the Dow Jones U.S. Select Aerospace & Defense Index. Both are passively managed. Over the past 10 years, VIS returned 14.09%/yr vs 15.00%/yr for ITA. Their correlation of 0.86 suggests significant overlap in exposure. VIS charges 0.10%/yr vs 0.38%/yr for ITA.

Performance

VIS vs. ITA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Industrials ETF (VIS) and iShares U.S. Aerospace & Defense ETF (ITA). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VIS achieves a 14.99% return, which is significantly higher than ITA's 6.42% return. Over the past 10 years, VIS has underperformed ITA with an annualized return of 14.09%, while ITA has yielded a comparatively higher 15.00% annualized return.

VIS

• 1D: 1.16%
• 1M: 1.40%
• YTD: 14.99%
• 6M: 16.70%
• 1Y: 28.58%
• 3Y*: 22.65%
• 5Y*: 12.78%
• 10Y*: 14.09%

ITA

• 1D: -0.69%
• 1M: 5.58%
• YTD: 6.42%
• 6M: 13.50%
• 1Y: 28.79%
• 3Y*: 27.53%
• 5Y*: 16.48%
• 10Y*: 15.00%

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

VIS vs. ITA - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VIS Vanguard Industrials ETF	14.99%	18.57%	16.85%	22.50%	-8.57%	20.80%	12.34%	30.09%	-14.01%	21.47%
ITA iShares U.S. Aerospace & Defense ETF	6.42%	48.64%	15.81%	14.33%	9.96%	9.39%	-13.57%	30.51%	-7.22%	35.24%

Correlation

The correlation between VIS and ITA is 0.73, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.73
Correlation (3Y) Calculated over the trailing 3-year period	0.74
Correlation (5Y) Calculated over the trailing 5-year period	0.79
Correlation (10Y) Calculated over the trailing 10-year period	0.82
Correlation (All Time) Calculated using the full available price history since May 8, 2006	0.86

The correlation between VIS and ITA shifts across timeframes, from 0.73 (1 year) to 0.86 (all time), reflecting how their relationship changes across market environments.

VIS vs. ITA - Sectors Allocation Comparison

Sectors	VIS	ITA
Industrials	89.4%	99.8%
Technology	4.5%	0.1%
Utilities	4.3%	-
Consumer Cyclical	1.1%	-
Financial Services	0.2%	-
Energy	0.1%	-
Basic Materials	0.1%	-
Communication Services	0.0%	-
Real Estate	0.0%	-
Healthcare	0.0%	-
Consumer Defensive	-	-

Return for Risk

VIS vs. ITA — Risk / Return Rank

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

VIS

VIS Risk / Return Rank: 50
VIS Sharpe Ratio Rank: 50
VIS Sortino Ratio Rank: 51
VIS Omega Ratio Rank: 47
VIS Calmar Ratio Rank: 46
VIS Martin Ratio Rank: 55

ITA

ITA Risk / Return Rank: 37
ITA Sharpe Ratio Rank: 39
ITA Sortino Ratio Rank: 39
ITA Omega Ratio Rank: 36
ITA Calmar Ratio Rank: 37
ITA 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.

VIS vs. ITA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Industrials ETF (VIS) and iShares U.S. Aerospace & Defense ETF (ITA). 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.

	VIS	ITA	Difference
Sharpe ratio Return per unit of total volatility	1.75	1.39	+0.36
Sortino ratio Return per unit of downside risk	2.51	2.01	+0.50
Omega ratio Gain probability vs. loss probability	1.30	1.24	+0.06
Calmar ratio Return relative to maximum drawdown	2.31	1.87	+0.44
Martin ratio Return relative to average drawdown	9.60	5.10	+4.50
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VIS vs. ITA - Sharpe Ratio Comparison

The current VIS Sharpe Ratio is 1.75, which is comparable to the ITA Sharpe Ratio of 1.39. The chart below compares the historical Sharpe Ratios of VIS and ITA, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	VIS	ITA	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.75	1.39	+0.36
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.70	0.83	-0.13
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.69	0.65	+0.04
Sharpe Ratio (All Time) Calculated using the full available price history	0.52	0.51	+0.01

Drawdowns

VIS vs. ITA - Drawdown Comparison

The maximum VIS drawdown since its inception was -63.51%, which is greater than ITA's maximum drawdown of -59.72%. Use the drawdown chart below to compare losses from any high point for VIS and ITA.

Drawdown Indicators

	VIS	ITA	Difference
Max Drawdown Largest peak-to-trough decline	-63.51%	-59.72%	-3.79%
Max Drawdown (1Y) Largest decline over 1 year	-12.29%	-15.82%	+3.53%
Max Drawdown (3Y) Largest decline over 3 years	-20.80%	-15.82%	-4.98%
Max Drawdown (5Y) Largest decline over 5 years	-22.96%	-18.72%	-4.24%
Max Drawdown (10Y) Largest decline over 10 years	-42.42%	-51.00%	+8.58%
Current Drawdown Current decline from peak	-0.91%	-8.82%	+7.91%
Average Drawdown Average peak-to-trough decline	-8.38%	-9.46%	+1.08%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.95%	5.79%	-2.84%

Volatility

VIS vs. ITA - Volatility Comparison

The current volatility for Vanguard Industrials ETF (VIS) is 5.29%, while iShares U.S. Aerospace & Defense ETF (ITA) has a volatility of 7.15%. This indicates that VIS experiences smaller price fluctuations and is considered to be less risky than ITA based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VIS	ITA	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.29%	7.15%	-1.86%
Volatility (6M) Calculated over the trailing 6-month period	13.55%	17.66%	-4.11%
Volatility (1Y) Calculated over the trailing 1-year period	16.42%	20.80%	-4.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.35%	20.01%	-1.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.43%	23.14%	-2.71%

VIS vs. ITA - Expense Ratio Comparison

VIS has a 0.10% expense ratio, which is lower than ITA's 0.38% expense ratio.

Dividends

VIS vs. ITA - Dividend Comparison

VIS's dividend yield for the trailing twelve months is around 0.89%, more than ITA's 0.47% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ITA iShares U.S. Aerospace & Defense ETF	0.47%	0.55%	0.85%	0.93%	0.95%	0.82%	1.07%	1.54%	1.13%	0.91%	1.07%	1.04%
VIS Vanguard Industrials ETF	0.89%	1.01%	1.23%	1.36%	1.52%	1.11%	1.38%	1.68%	1.90%	1.60%	1.81%	1.94%

Frequently Asked Questions

Can I hold both VIS and ITA in my portfolio?

VIS and ITA have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VIS or ITA?

ITA has higher volatility (7.15%) compared to VIS (5.29%). In terms of maximum drawdown, VIS dropped -63.51% vs ITA's -59.72%.

Which ETF is better, VIS or ITA?

On 10-year performance, ITA leads with 15.00% vs 14.09% for VIS. On fees, VIS is cheaper at 0.10% per year. On volatility, VIS has been the lower-risk option at 5.29%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VIS or ITA?

Over the 10-year period, ITA has performed better with a 15.00% return vs 14.09%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VIS or ITA?

VIS is cheaper with a 0.10% expense ratio, compared with 0.38% for ITA.

Which ETF pays a higher dividend yield, VIS or ITA?

VIS has the higher dividend yield at 0.89%, compared with 0.47% for ITA.

What is the main difference between VIS and ITA?

VIS is categorized as Industrials Equities, while ITA is Aerospace & Defense. VIS tracks MSCI US Investable Market Industrials 25/50 Index, while ITA tracks Dow Jones U.S. Select Aerospace & Defense Index. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.10% for VIS and 0.38% for ITA.

Which has better risk-adjusted returns?

VIS currently has the higher Sharpe Ratio (1.75 vs 1.39), 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.