VMBSX vs. VWELX
VMBSX (Vanguard Mortgage-Backed Securities Index Fund Admiral Shares) and VWELX (Vanguard Wellington Fund Investor Shares) are both mutual funds - VMBSX is a Total Bond Market fund managed by Vanguard, while VWELX is a Diversified Portfolio fund actively managed by Vanguard. Over the past 10 years, VMBSX returned 1.85%/yr vs 10.12%/yr for VWELX. At a 0.07 correlation, their price movements are largely independent. VMBSX charges 0.07%/yr vs 0.24%/yr for VWELX.
Performance
VMBSX vs. VWELX - Performance Comparison
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Returns By Period
In the year-to-date period, VMBSX achieves a 0.60% return, which is significantly lower than VWELX's 6.39% return. Over the past 10 years, VMBSX has underperformed VWELX with an annualized return of 1.85%, while VWELX has yielded a comparatively higher 10.12% annualized return.
VMBSX
- 1D
- -0.21%
- 1M
- 0.08%
- YTD
- 0.60%
- 6M
- 0.94%
- 1Y
- 6.11%
- 3Y*
- 4.62%
- 5Y*
- 0.47%
- 10Y*
- 1.85%
VWELX
- 1D
- -0.67%
- 1M
- 2.71%
- YTD
- 6.39%
- 6M
- 6.66%
- 1Y
- 19.88%
- 3Y*
- 15.35%
- 5Y*
- 8.69%
- 10Y*
- 10.12%
VMBSX vs. VWELX - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
VMBSX Vanguard Mortgage-Backed Securities Index Fund Admiral Shares | 0.60% | 8.43% | 1.76% | 4.99% | -11.56% | -1.35% | 3.74% | 11.47% | 0.87% | 2.32% |
VWELX Vanguard Wellington Fund Investor Shares | 6.39% | 16.54% | 14.73% | 14.29% | -14.36% | 18.99% | 10.57% | 22.51% | -3.43% | 13.98% |
Correlation
The correlation between VMBSX and VWELX is 0.41, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.41 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.39 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.35 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.19 |
Correlation (All Time) Calculated using the full available price history since Nov 24, 2009 | 0.07 |
Over the past year, VMBSX and VWELX have become more correlated (0.41) than their long-term average of 0.07, meaning their price movements have been converging.
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Return for Risk
VMBSX vs. VWELX — Risk / Return Rank
VMBSX
VWELX
VMBSX vs. VWELX - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Mortgage-Backed Securities Index Fund Admiral Shares (VMBSX) and Vanguard Wellington Fund Investor Shares (VWELX). 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.
| VMBSX | VWELX | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.64 | ||
| Sortino ratioReturn per unit of downside risk | -0.75 | ||
| Omega ratioGain probability vs. loss probability | 1.33 | 1.45 | -0.12 |
| Calmar ratioReturn relative to maximum drawdown | 2.54 | 2.99 | -0.45 |
| Martin ratioReturn relative to average drawdown | 8.52 | 13.88 | -5.36 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| VMBSX | VWELX | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 1.78 | 2.41 | -0.64 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.07 | 0.78 | -0.71 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.38 | 0.88 | -0.50 |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.58 | 0.84 | -0.26 |
Drawdowns
VMBSX vs. VWELX - Drawdown Comparison
The maximum VMBSX drawdown since its inception was -17.44%, smaller than the maximum VWELX drawdown of -36.12%. Use the drawdown chart below to compare losses from any high point for VMBSX and VWELX.
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Drawdown Indicators
| VMBSX | VWELX | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -17.44% | -36.12% | +18.68% |
Max Drawdown (1Y)Largest decline over 1 year | -2.67% | -6.78% | +4.11% |
Max Drawdown (3Y)Largest decline over 3 years | -7.53% | -11.98% | +4.45% |
Max Drawdown (5Y)Largest decline over 5 years | -17.12% | -20.88% | +3.76% |
Max Drawdown (10Y)Largest decline over 10 years | -17.44% | -25.33% | +7.89% |
Current DrawdownCurrent decline from peak | -1.43% | -0.67% | -0.76% |
Average DrawdownAverage peak-to-trough decline | -2.48% | -3.92% | +1.44% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.79% | 1.46% | -0.67% |
Volatility
VMBSX vs. VWELX - Volatility Comparison
The current volatility for Vanguard Mortgage-Backed Securities Index Fund Admiral Shares (VMBSX) is 1.43%, while Vanguard Wellington Fund Investor Shares (VWELX) has a volatility of 2.61%. This indicates that VMBSX experiences smaller price fluctuations and is considered to be less risky than VWELX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| VMBSX | VWELX | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.43% | 2.61% | -1.18% |
Volatility (6M)Calculated over the trailing 6-month period | 2.72% | 6.68% | -3.96% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.82% | 8.41% | -4.59% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 6.40% | 11.14% | -4.74% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 4.86% | 11.53% | -6.67% |
VMBSX vs. VWELX - Expense Ratio Comparison
VMBSX has a 0.07% expense ratio, which is lower than VWELX's 0.24% 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
VMBSX vs. VWELX - Dividend Comparison
VMBSX's dividend yield for the trailing twelve months is around 4.17%, less than VWELX's 10.83% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
VMBSX Vanguard Mortgage-Backed Securities Index Fund Admiral Shares | 4.17% | 4.18% | 4.24% | 3.28% | 2.31% | 0.99% | 2.00% | 7.48% | 2.72% | 2.16% | 1.98% | 2.01% |
VWELX Vanguard Wellington Fund Investor Shares | 10.83% | 11.46% | 10.76% | 6.01% | 8.19% | 8.64% | 7.77% | 4.67% | 9.49% | 5.82% | 4.44% | 7.03% |
Frequently Asked Questions
VMBSX and VWELX have a correlation of 0.41, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
VWELX has higher volatility (2.61%) compared to VMBSX (1.43%). In terms of maximum drawdown, VMBSX dropped -17.44% vs VWELX's -36.12%.
VWELX currently has the higher Sharpe Ratio (2.41 vs 1.78), 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.
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