VMLUX vs. VONE

Last updated Jun 4, 2026

VMLUX (Vanguard Limited-Term Tax-Exempt Fund Admiral Shares) and VONE (Vanguard Russell 1000 ETF) are both funds - VMLUX is a Municipal Bonds fund managed by Vanguard, while VONE is a Large Cap Blend Equities fund tracking the Russell 1000 Index. Over the past 10 years, VMLUX returned 2.15%/yr vs 15.25%/yr for VONE. At a correlation of -0.03, they often move in opposite directions. VMLUX charges 0.09%/yr vs 0.08%/yr for VONE.

Performance

VMLUX vs. VONE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Limited-Term Tax-Exempt Fund Admiral Shares (VMLUX) and Vanguard Russell 1000 ETF (VONE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VMLUX achieves a 1.05% return, which is significantly lower than VONE's 10.56% return. Over the past 10 years, VMLUX has underperformed VONE with an annualized return of 2.15%, while VONE has yielded a comparatively higher 15.25% annualized return.

VMLUX

• 1D: 0.09%
• 1M: 0.36%
• YTD: 1.05%
• 6M: 1.41%
• 1Y: 4.44%
• 3Y*: 4.34%
• 5Y*: 2.21%
• 10Y*: 2.15%

VONE

• 1D: -0.70%
• 1M: 4.95%
• YTD: 10.56%
• 6M: 10.53%
• 1Y: 27.04%
• 3Y*: 22.12%
• 5Y*: 13.08%
• 10Y*: 15.25%

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

VMLUX vs. VONE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VMLUX Vanguard Limited-Term Tax-Exempt Fund Admiral Shares	1.05%	5.50%	3.25%	4.29%	-2.90%	0.23%	3.38%	4.21%	1.64%	2.13%
VONE Vanguard Russell 1000 ETF	10.56%	17.21%	24.51%	26.41%	-19.14%	26.49%	20.95%	31.12%	-4.84%	21.55%

Correlation

The correlation between VMLUX and VONE is 0.09, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.09
Correlation (3Y) Calculated over the trailing 3-year period	0.10
Correlation (5Y) Calculated over the trailing 5-year period	0.08
Correlation (10Y) Calculated over the trailing 10-year period	0.03
Correlation (All Time) Calculated using the full available price history since Sep 23, 2010	-0.03

The correlation between VMLUX and VONE shifts across timeframes, from -0.03 (all time) to 0.10 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

VMLUX vs. VONE — Risk / Return Rank

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

VMLUX

VMLUX Risk / Return Rank: 77
VMLUX Sharpe Ratio Rank: 90
VMLUX Sortino Ratio Rank: 96
VMLUX Omega Ratio Rank: 97
VMLUX Calmar Ratio Rank: 57
VMLUX Martin Ratio Rank: 47

VONE

VONE Risk / Return Rank: 67
VONE Sharpe Ratio Rank: 67
VONE Sortino Ratio Rank: 66
VONE Omega Ratio Rank: 66
VONE Calmar Ratio Rank: 61
VONE Martin Ratio Rank: 74

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.

VMLUX vs. VONE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Limited-Term Tax-Exempt Fund Admiral Shares (VMLUX) and Vanguard Russell 1000 ETF (VONE). 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.

	VMLUX	VONE	Difference
Sharpe ratio: Return per unit of total volatility	2.96	2.27	+0.69
Sortino ratio: Return per unit of downside risk	5.48	3.13	+2.35
Omega ratio: Gain probability vs. loss probability	1.98	1.41	+0.57
Calmar ratio: Return relative to maximum drawdown	2.91	3.07	-0.16
Martin ratio: Return relative to average drawdown	9.76	14.15	-4.39
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VMLUX vs. VONE - Sharpe Ratio Comparison

The current VMLUX Sharpe Ratio is 2.96, which is higher than the VONE Sharpe Ratio of 2.27. The chart below compares the historical Sharpe Ratios of VMLUX and VONE, 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

	VMLUX	VONE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.96	2.27	+0.69
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.18	0.77	+0.41
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.12	0.84	+0.28
Sharpe Ratio (All Time) Calculated using the full available price history	1.48	0.85	+0.63

Drawdowns

VMLUX vs. VONE - Drawdown Comparison

The maximum VMLUX drawdown since its inception was -6.41%, smaller than the maximum VONE drawdown of -34.66%. Use the drawdown chart below to compare losses from any high point for VMLUX and VONE.

Drawdown Indicators

	VMLUX	VONE	Difference
Max Drawdown Largest peak-to-trough decline	-6.41%	-34.66%	+28.25%
Max Drawdown (1Y) Largest decline over 1 year	-1.53%	-8.85%	+7.32%
Max Drawdown (3Y) Largest decline over 3 years	-2.02%	-19.06%	+17.04%
Max Drawdown (5Y) Largest decline over 5 years	-5.60%	-25.12%	+19.52%
Max Drawdown (10Y) Largest decline over 10 years	-6.41%	-34.66%	+28.25%
Current Drawdown Current decline from peak	-0.38%	-0.70%	+0.32%
Average Drawdown Average peak-to-trough decline	-0.54%	-3.91%	+3.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.46%	1.92%	-1.46%

Volatility

VMLUX vs. VONE - Volatility Comparison

The current volatility for Vanguard Limited-Term Tax-Exempt Fund Admiral Shares (VMLUX) is 0.46%, while Vanguard Russell 1000 ETF (VONE) has a volatility of 2.82%. This indicates that VMLUX experiences smaller price fluctuations and is considered to be less risky than VONE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VMLUX	VONE	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.46%	2.82%	-2.36%
Volatility (6M) Calculated over the trailing 6-month period	1.15%	8.99%	-7.84%
Volatility (1Y) Calculated over the trailing 1-year period	1.51%	11.97%	-10.46%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.87%	17.08%	-15.21%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.93%	18.25%	-16.32%

VMLUX vs. VONE - Expense Ratio Comparison

VMLUX has a 0.09% expense ratio, which is higher than VONE's 0.08% 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

VMLUX vs. VONE - Dividend Comparison

VMLUX's dividend yield for the trailing twelve months is around 3.16%, more than VONE's 0.99% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VMLUX Vanguard Limited-Term Tax-Exempt Fund Admiral Shares	3.16%	3.85%	3.38%	2.39%	1.64%	1.04%	1.70%	2.10%	1.89%	1.65%	1.62%	1.58%
VONE Vanguard Russell 1000 ETF	0.99%	1.07%	1.20%	1.40%	1.59%	1.16%	1.45%	1.65%	1.96%	1.69%	1.89%	1.89%

Frequently Asked Questions

Can I hold both VMLUX and VONE in my portfolio?

VMLUX and VONE have a correlation of 0.09, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VMLUX or VONE?

VONE has higher volatility (2.82%) compared to VMLUX (0.46%). In terms of maximum drawdown, VMLUX dropped -6.41% vs VONE's -34.66%.

Which has better risk-adjusted returns?

VMLUX currently has the higher Sharpe Ratio (2.96 vs 2.27), 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.