VMNIX vs. VMNFX

Last updated Jun 6, 2026

VMNIX (Vanguard Market Neutral Fund Institutional Shares) and VMNFX (Vanguard Market Neutral Fund Investor Shares) are both Long-Short funds from Vanguard. Over the past 10 years, VMNIX returned 5.07%/yr vs 5.01%/yr for VMNFX. With a 0.99 correlation, they move nearly in lockstep. VMNIX charges 1.25%/yr vs 1.31%/yr for VMNFX.

Performance

VMNIX vs. VMNFX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Market Neutral Fund Institutional Shares (VMNIX) and Vanguard Market Neutral Fund Investor Shares (VMNFX). 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 VMNIX having a 11.87% return and VMNFX slightly higher at 11.89%. Both investments have delivered pretty close results over the past 10 years, with VMNIX having a 5.07% annualized return and VMNFX not far behind at 5.01%.

VMNIX

• 1D: -0.19%
• 1M: 0.91%
• YTD: 11.87%
• 6M: 14.55%
• 1Y: 18.16%
• 3Y*: 13.29%
• 5Y*: 13.02%
• 10Y*: 5.07%

VMNFX

• 1D: -0.13%
• 1M: 0.97%
• YTD: 11.89%
• 6M: 14.52%
• 1Y: 18.11%
• 3Y*: 13.25%
• 5Y*: 12.95%
• 10Y*: 5.01%

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

VMNIX vs. VMNFX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VMNIX Vanguard Market Neutral Fund Institutional Shares	11.87%	9.36%	5.84%	12.33%	13.47%	23.39%	-11.58%	-9.48%	0.66%	-4.83%
VMNFX Vanguard Market Neutral Fund Investor Shares	11.89%	9.27%	5.78%	12.23%	13.48%	23.24%	-11.58%	-9.57%	0.60%	-4.89%

Correlation

The correlation between VMNIX and VMNFX is 1.00 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	1.00
Correlation (3Y) Calculated over the trailing 3-year period	1.00
Correlation (5Y) Calculated over the trailing 5-year period	0.99
Correlation (10Y) Calculated over the trailing 10-year period	0.99
Correlation (All Time) Calculated using the full available price history since Nov 17, 1998	0.99

The correlation between VMNIX and VMNFX has been stable across timeframes, ranging from 0.99 to 1.00 - a consistent structural relationship.

Return for Risk

VMNIX vs. VMNFX — Risk / Return Rank

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

VMNIX

VMNIX Risk / Return Rank: 70
VMNIX Sharpe Ratio Rank: 70
VMNIX Sortino Ratio Rank: 75
VMNIX Omega Ratio Rank: 65
VMNIX Calmar Ratio Rank: 85
VMNIX Martin Ratio Rank: 57

VMNFX

VMNFX Risk / Return Rank: 70
VMNFX Sharpe Ratio Rank: 69
VMNFX Sortino Ratio Rank: 75
VMNFX Omega Ratio Rank: 66
VMNFX Calmar Ratio Rank: 86
VMNFX Martin Ratio Rank: 56

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.

VMNIX vs. VMNFX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Market Neutral Fund Institutional Shares (VMNIX) and Vanguard Market Neutral Fund Investor Shares (VMNFX). 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.

	VMNIX	VMNFX	Difference
Sharpe ratio: Return per unit of total volatility	2.37	2.36	+0.01
Sortino ratio: Return per unit of downside risk	3.55	3.55	0.00
Omega ratio: Gain probability vs. loss probability	1.43	1.43	0.00
Calmar ratio: Return relative to maximum drawdown	3.93	3.93	0.00
Martin ratio: Return relative to average drawdown	10.98	10.91	+0.07
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VMNIX vs. VMNFX - Sharpe Ratio Comparison

The current VMNIX Sharpe Ratio is 2.37, which is comparable to the VMNFX Sharpe Ratio of 2.36. The chart below compares the historical Sharpe Ratios of VMNIX and VMNFX, 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

	VMNIX	VMNFX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.37	2.36	+0.01
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.81	1.80	+0.01
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.79	0.79	+0.01
Sharpe Ratio (All Time) Calculated using the full available price history	0.34	0.34	0.00

Drawdowns

VMNIX vs. VMNFX - Drawdown Comparison

The maximum VMNIX drawdown since its inception was -27.90%, which is greater than VMNFX's maximum drawdown of -26.42%. Use the drawdown chart below to compare losses from any high point for VMNIX and VMNFX.

Drawdown Indicators

	VMNIX	VMNFX	Difference
Max Drawdown Largest peak-to-trough decline	-27.90%	-26.42%	-1.48%
Max Drawdown (1Y) Largest decline over 1 year	-4.67%	-4.65%	-0.02%
Max Drawdown (3Y) Largest decline over 3 years	-5.36%	-5.44%	+0.08%
Max Drawdown (5Y) Largest decline over 5 years	-6.69%	-6.75%	+0.06%
Max Drawdown (10Y) Largest decline over 10 years	-24.95%	-25.09%	+0.14%
Current Drawdown Current decline from peak	-0.19%	-0.13%	-0.06%
Average Drawdown Average peak-to-trough decline	-8.76%	-8.76%	0.00%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.67%	1.67%	0.00%

Volatility

VMNIX vs. VMNFX - Volatility Comparison

Vanguard Market Neutral Fund Institutional Shares (VMNIX) and Vanguard Market Neutral Fund Investor Shares (VMNFX) have volatilities of 1.99% and 1.95%, 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

	VMNIX	VMNFX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.99%	1.95%	+0.04%
Volatility (6M) Calculated over the trailing 6-month period	5.73%	5.76%	-0.03%
Volatility (1Y) Calculated over the trailing 1-year period	7.76%	7.77%	-0.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.22%	7.21%	+0.01%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.40%	6.38%	+0.02%

VMNIX vs. VMNFX - Expense Ratio Comparison

VMNIX has a 1.25% expense ratio, which is lower than VMNFX's 1.31% expense ratio.

Dividends

VMNIX vs. VMNFX - Dividend Comparison

VMNIX's dividend yield for the trailing twelve months is around 3.19%, more than VMNFX's 3.14% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VMNFX Vanguard Market Neutral Fund Investor Shares	3.14%	3.53%	5.61%	5.09%	0.75%	0.16%	0.81%	3.16%	0.94%	1.07%	0.38%	0.02%
VMNIX Vanguard Market Neutral Fund Institutional Shares	3.19%	3.59%	5.67%	5.15%	0.78%	0.20%	0.86%	3.23%	1.00%	1.16%	0.45%	0.10%

Frequently Asked Questions

Can I hold both VMNIX and VMNFX in my portfolio?

With a correlation of 1.00, VMNIX and VMNFX 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, VMNIX or VMNFX?

VMNIX has higher volatility (1.99%) compared to VMNFX (1.95%). In terms of maximum drawdown, VMNIX dropped -27.90% vs VMNFX's -26.42%.

Which has better risk-adjusted returns?

VMNIX currently has the higher Sharpe Ratio (2.37 vs 2.36), 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.