VLSMX vs. VBAIX

Last updated Aug 1, 2026

VLSMX (VALIC Company I Moderate Growth Lifestyle Fund) and VBAIX (Vanguard Balanced Index Fund Institutional Shares) are both Diversified Portfolio funds. Over the past 5 years, VLSMX returned 5.55%/yr vs 7.53%/yr for VBAIX. Their 0.96 correlation means they have historically moved very closely together. VLSMX charges 0.12%/yr vs 0.04%/yr for VBAIX.

Performance

VLSMX vs. VBAIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in VALIC Company I Moderate Growth Lifestyle Fund (VLSMX) and Vanguard Balanced Index Fund Institutional Shares (VBAIX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with VLSMX having a 5.58% return and VBAIX slightly higher at 5.84%.

VLSMX

• 1D: 1.14%
• 1M: -0.44%
• 6M: 3.96%
• YTD: 5.58%
• 1Y: 13.11%
• 3Y*: 10.78%
• 5Y*: 5.55%
• 10Y*: —
• ALL TIME*: 5.55%

VBAIX

• 1D: 1.01%
• 1M: -0.81%
• 6M: 4.74%
• YTD: 5.84%
• 1Y: 13.39%
• 3Y*: 13.84%
• 5Y*: 7.53%
• 10Y*: 9.67%
• ALL TIME*: 7.40%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
VBAIX Vanguard Balanced Index Fund Institutional Shares	$0.00	$0.00	$0.00
VLSMX VALIC Company I Moderate Growth Lifestyle Fund	$0.00	$0.00	$0.00

VLSMX vs. VBAIX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
VLSMX VALIC Company I Moderate Growth Lifestyle Fund	5.58%	11.90%	10.83%	13.95%	-14.66%	3.57%
VBAIX Vanguard Balanced Index Fund Institutional Shares	5.84%	13.60%	17.78%	17.55%	-16.87%	6.25%

Correlation

The correlation between VLSMX and VBAIX is 0.95 - they have historically moved very closely together. At this level, their price movements offset little of one another.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.95
Correlation (3Y) Balances recent behavior with more history.	0.95
Correlation (5Y) Shows whether the relationship held over a longer period.	0.96
Correlation (All Time) Calculated using the full available price history since Jun 15, 2021	0.96

The correlation between VLSMX and VBAIX has been stable across timeframes, ranging from 0.95 to 0.96 - a consistent structural relationship.

Return for Risk

VLSMX vs. VBAIX — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

VLSMX

VLSMX Risk / Return Rank: 59
VLSMX Sharpe Ratio Rank: 59
VLSMX Sortino Ratio Rank: 62
VLSMX Omega Ratio Rank: 57
VLSMX Calmar Ratio Rank: 52
VLSMX Martin Ratio Rank: 65

VBAIX

VBAIX Risk / Return Rank: 65
VBAIX Sharpe Ratio Rank: 62
VBAIX Sortino Ratio Rank: 61
VBAIX Omega Ratio Rank: 59
VBAIX Calmar Ratio Rank: 67
VBAIX Martin Ratio Rank: 77

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

VLSMX vs. VBAIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for VALIC Company I Moderate Growth Lifestyle Fund (VLSMX) and Vanguard Balanced Index Fund Institutional Shares (VBAIX). 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.

	VLSMX	VBAIX	Difference
Sharpe ratio: Return per unit of total volatility	1.53	1.45	+0.08
Sortino ratio: Return per unit of downside risk	2.24	2.07	+0.17
Omega ratio: Gain probability vs. loss probability	1.28	1.26	+0.02
Calmar ratio: Return relative to maximum drawdown	1.97	2.13	-0.16
Martin ratio: Return relative to average drawdown	8.47	9.09	-0.61

VLSMX vs. VBAIX - Sharpe Ratio Comparison

The current VLSMX Sharpe Ratio is 1.53, which is comparable to the VBAIX Sharpe Ratio of 1.45. The chart below compares the historical Sharpe Ratios of VLSMX and VBAIX, 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

VLSMX vs. VBAIX - Drawdown Comparison

The maximum VLSMX drawdown since its inception was -20.09%, smaller than the maximum VBAIX drawdown of -35.82%. Use the drawdown chart below to compare losses from any high point for VLSMX and VBAIX.

Drawdown Indicators

	VLSMX	VBAIX	Difference
Max Drawdown Largest peak-to-trough decline	-20.09%	-35.82%	+15.73%
Max Drawdown (1Y) Largest decline over 1 year	-6.29%	-5.84%	-0.45%
Max Drawdown (3Y) Largest decline over 3 years	-11.69%	-11.57%	-0.12%
Max Drawdown (5Y) Largest decline over 5 years	-20.09%	-21.52%	+1.43%
Max Drawdown (10Y) Largest decline over 10 years	—	-22.77%	—
Current Drawdown Current decline from peak	-0.93%	-1.46%	+0.53%
Average Drawdown Average peak-to-trough decline	-5.06%	-4.40%	-0.66%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.46%	1.36%	+0.10%

Volatility

VLSMX vs. VBAIX - Volatility Comparison

VALIC Company I Moderate Growth Lifestyle Fund (VLSMX) and Vanguard Balanced Index Fund Institutional Shares (VBAIX) have volatilities of 2.35% and 2.31%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VLSMX	VBAIX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.35%	2.31%	+0.04%
Volatility (6M) Calculated over the trailing 6-month period	6.84%	6.84%	0.00%
Volatility (1Y) Calculated over the trailing 1-year period	8.12%	8.56%	-0.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.94%	11.19%	-1.25%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	9.89%	11.25%	-1.36%

VLSMX vs. VBAIX - Expense Ratio Comparison

VLSMX has a 0.12% expense ratio, which is higher than VBAIX's 0.04% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VLSMX vs. VBAIX - Dividend Comparison

VLSMX's dividend yield for the trailing twelve months is around 6.07%, more than VBAIX's 5.39% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VBAIX Vanguard Balanced Index Fund Institutional Shares	5.39%	6.01%	8.01%	4.36%	2.84%	3.20%	2.65%	2.29%	2.33%	1.96%	2.10%	2.10%
VLSMX VALIC Company I Moderate Growth Lifestyle Fund	6.07%	0.00%	2.12%	11.91%	9.84%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VLSMX and VBAIX in my portfolio?

With a correlation of 0.95, VLSMX and VBAIX 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 is riskier, VLSMX or VBAIX?

VLSMX has higher volatility (2.35%) compared to VBAIX (2.31%). In terms of maximum drawdown, VLSMX dropped -20.09% vs VBAIX's -35.82%.

Which has better risk-adjusted returns?

VLSMX currently has the higher Sharpe Ratio (1.53 vs 1.45), 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.