VLTCX vs. VBIAX

Last updated Jun 24, 2026

VLTCX (Vanguard Long-Term Corporate Bond Index Fund Admiral Shares) and VBIAX (Vanguard Balanced Index Fund Admiral Shares) are both mutual funds - VLTCX is a Corporate Bonds fund managed by Vanguard, while VBIAX is a Diversified Portfolio fund tracking the 60% CRSP US Total Market Index / 40% Bloomberg U.S. Aggregate Float Adjusted Index. Over the past 10 years, VLTCX returned 2.32%/yr vs 9.89%/yr for VBIAX. At a 0.01 correlation, their price movements are largely independent. Both charge a 0.07% expense ratio.

Performance

VLTCX vs. VBIAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Long-Term Corporate Bond Index Fund Admiral Shares (VLTCX) and Vanguard Balanced Index Fund Admiral Shares (VBIAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VLTCX achieves a 1.02% return, which is significantly lower than VBIAX's 6.36% return. Over the past 10 years, VLTCX has underperformed VBIAX with an annualized return of 2.32%, while VBIAX has yielded a comparatively higher 9.89% annualized return.

VLTCX

• 1D: -0.54%
• 1M: 1.17%
• YTD: 1.02%
• 6M: 0.92%
• 1Y: 6.06%
• 3Y*: 4.20%
• 5Y*: -2.14%
• 10Y*: 2.32%

VBIAX

• 1D: -0.31%
• 1M: 0.57%
• YTD: 6.36%
• 6M: 5.74%
• 1Y: 17.06%
• 3Y*: 14.33%
• 5Y*: 7.55%
• 10Y*: 9.89%

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

VLTCX vs. VBIAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VLTCX Vanguard Long-Term Corporate Bond Index Fund Admiral Shares	1.02%	7.27%	-1.47%	11.05%	-25.77%	-1.16%	13.68%	23.19%	-6.85%	12.40%
VBIAX Vanguard Balanced Index Fund Admiral Shares	6.36%	13.61%	14.58%	17.54%	-16.90%	14.21%	16.40%	21.78%	-2.86%	13.89%

Correlation

The correlation between VLTCX and VBIAX is 0.52, 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	0.52
Correlation (3Y) Calculated over the trailing 3-year period	0.49
Correlation (5Y) Calculated over the trailing 5-year period	0.41
Correlation (10Y) Calculated over the trailing 10-year period	0.22
Correlation (All Time) Calculated using the full available price history since Nov 23, 2009	0.01

Over the past year, VLTCX and VBIAX have become more correlated (0.52) than their long-term average of 0.01, meaning their price movements have been converging.

Return for Risk

VLTCX vs. VBIAX — Risk / Return Rank

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

VLTCX

VLTCX Risk / Return Rank: 11
VLTCX Sharpe Ratio Rank: 11
VLTCX Sortino Ratio Rank: 11
VLTCX Omega Ratio Rank: 10
VLTCX Calmar Ratio Rank: 14
VLTCX Martin Ratio Rank: 11

VBIAX

VBIAX Risk / Return Rank: 67
VBIAX Sharpe Ratio Rank: 63
VBIAX Sortino Ratio Rank: 63
VBIAX Omega Ratio Rank: 61
VBIAX Calmar Ratio Rank: 70
VBIAX Martin Ratio Rank: 78

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.

VLTCX vs. VBIAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Long-Term Corporate Bond Index Fund Admiral Shares (VLTCX) and Vanguard Balanced Index Fund Admiral Shares (VBIAX). 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.

	VLTCX	VBIAX	Difference
Sharpe ratio: Return per unit of total volatility	0.84	2.14	-1.31
Sortino ratio: Return per unit of downside risk	1.24	3.03	-1.79
Omega ratio: Gain probability vs. loss probability	1.14	1.39	-0.25
Calmar ratio: Return relative to maximum drawdown	1.19	3.08	-1.88
Martin ratio: Return relative to average drawdown	2.86	13.64	-10.78

VLTCX vs. VBIAX - Sharpe Ratio Comparison

The current VLTCX Sharpe Ratio is 0.84, which is lower than the VBIAX Sharpe Ratio of 2.14. The chart below compares the historical Sharpe Ratios of VLTCX and VBIAX, 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

VLTCX vs. VBIAX - Drawdown Comparison

The maximum VLTCX drawdown since its inception was -34.56%, roughly equal to the maximum VBIAX drawdown of -35.90%. Use the drawdown chart below to compare losses from any high point for VLTCX and VBIAX.

Drawdown Indicators

	VLTCX	VBIAX	Difference
Max Drawdown Largest peak-to-trough decline	-34.56%	-35.90%	+1.34%
Max Drawdown (1Y) Largest decline over 1 year	-5.29%	-5.83%	+0.54%
Max Drawdown (3Y) Largest decline over 3 years	-12.87%	-11.70%	-1.17%
Max Drawdown (5Y) Largest decline over 5 years	-34.56%	-21.53%	-13.03%
Max Drawdown (10Y) Largest decline over 10 years	-34.56%	-22.78%	-11.78%
Current Drawdown Current decline from peak	-13.97%	-0.93%	-13.04%
Average Drawdown Average peak-to-trough decline	-8.06%	-4.44%	-3.62%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.20%	1.31%	+0.89%

Volatility

VLTCX vs. VBIAX - Volatility Comparison

The current volatility for Vanguard Long-Term Corporate Bond Index Fund Admiral Shares (VLTCX) is 1.91%, while Vanguard Balanced Index Fund Admiral Shares (VBIAX) has a volatility of 3.24%. This indicates that VLTCX experiences smaller price fluctuations and is considered to be less risky than VBIAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VLTCX	VBIAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.91%	3.24%	-1.33%
Volatility (6M) Calculated over the trailing 6-month period	5.57%	6.69%	-1.12%
Volatility (1Y) Calculated over the trailing 1-year period	7.56%	8.38%	-0.82%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	11.84%	11.12%	+0.72%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.61%	11.25%	-0.64%

VLTCX vs. VBIAX - Expense Ratio Comparison

Both VLTCX and VBIAX have an expense ratio of 0.07%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VLTCX vs. VBIAX - Dividend Comparison

VLTCX's dividend yield for the trailing twelve months is around 5.51%, more than VBIAX's 5.26% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VBIAX Vanguard Balanced Index Fund Admiral Shares	5.26%	6.00%	5.27%	4.35%	2.83%	3.19%	2.65%	2.28%	2.32%	1.95%	2.09%	2.09%
VLTCX Vanguard Long-Term Corporate Bond Index Fund Admiral Shares	5.51%	5.48%	5.58%	4.65%	4.41%	3.03%	3.15%	3.82%	4.56%	4.01%	4.37%	4.71%

Frequently Asked Questions

Can I hold both VLTCX and VBIAX in my portfolio?

VLTCX and VBIAX have a correlation of 0.52, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VLTCX or VBIAX?

VBIAX has higher volatility (3.24%) compared to VLTCX (1.91%). In terms of maximum drawdown, VLTCX dropped -34.56% vs VBIAX's -35.90%.

Which has better risk-adjusted returns?

VBIAX currently has the higher Sharpe Ratio (2.14 vs 0.84), 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.