VPLS vs. IBHI

Last updated Jun 14, 2026

VPLS (Vanguard Core-Plus Bond ETF) and IBHI (iShares iBonds 2029 Term High Yield and Income ETF) are both exchange-traded funds - VPLS is a Intermediate Core-Plus Bond fund actively managed by Vanguard, while IBHI is a High Yield Bonds fund tracking the Bloomberg 2029 Term High Yield and Income Index - Benchmark TR Gross. VPLS is actively managed, while IBHI is passively managed. Over the past year, VPLS returned 5.65% vs 6.95% for IBHI. A 0.53 correlation means they provide meaningful diversification when combined. VPLS charges 0.20%/yr vs 0.35%/yr for IBHI.

Performance

VPLS vs. IBHI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Core-Plus Bond ETF (VPLS) and iShares iBonds 2029 Term High Yield and Income ETF (IBHI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VPLS achieves a 0.90% return, which is significantly lower than IBHI's 1.47% return.

VPLS

• 1D: 0.01%
• 1M: 1.11%
• YTD: 0.90%
• 6M: 1.35%
• 1Y: 5.65%
• 3Y*: —
• 5Y*: —
• 10Y*: —

IBHI

• 1D: 0.13%
• 1M: 0.67%
• YTD: 1.47%
• 6M: 2.17%
• 1Y: 6.95%
• 3Y*: 8.77%
• 5Y*: —
• 10Y*: —

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

VPLS vs. IBHI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
VPLS Vanguard Core-Plus Bond ETF	0.90%	7.86%	2.72%	2.83%
IBHI iShares iBonds 2029 Term High Yield and Income ETF	1.47%	7.88%	8.33%	3.05%

Correlation

The correlation between VPLS and IBHI is 0.59, 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	0.59
Correlation (All Time) Calculated using the full available price history since Dec 7, 2023	0.53

The correlation between VPLS and IBHI has been stable across timeframes, ranging from 0.53 to 0.59 - a consistent structural relationship.

Return for Risk

VPLS vs. IBHI — Risk / Return Rank

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

VPLS

VPLS Risk / Return Rank: 46
VPLS Sharpe Ratio Rank: 48
VPLS Sortino Ratio Rank: 50
VPLS Omega Ratio Rank: 46
VPLS Calmar Ratio Rank: 44
VPLS Martin Ratio Rank: 43

IBHI

IBHI Risk / Return Rank: 69
IBHI Sharpe Ratio Rank: 61
IBHI Sortino Ratio Rank: 69
IBHI Omega Ratio Rank: 63
IBHI Calmar Ratio Rank: 72
IBHI Martin Ratio Rank: 81

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.

VPLS vs. IBHI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Core-Plus Bond ETF (VPLS) and iShares iBonds 2029 Term High Yield and Income ETF (IBHI). 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.

	VPLS	IBHI	Difference
Sharpe ratio: Return per unit of total volatility	1.46	1.78	-0.32
Sortino ratio: Return per unit of downside risk	2.16	2.73	-0.57
Omega ratio: Gain probability vs. loss probability	1.26	1.33	-0.07
Calmar ratio: Return relative to maximum drawdown	1.94	3.22	-1.28
Martin ratio: Return relative to average drawdown	6.12	14.06	-7.94

VPLS vs. IBHI - Sharpe Ratio Comparison

The current VPLS Sharpe Ratio is 1.46, which is comparable to the IBHI Sharpe Ratio of 1.78. The chart below compares the historical Sharpe Ratios of VPLS and IBHI, 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

VPLS vs. IBHI - Drawdown Comparison

The maximum VPLS drawdown since its inception was -4.17%, smaller than the maximum IBHI drawdown of -13.65%. Use the drawdown chart below to compare losses from any high point for VPLS and IBHI.

Drawdown Indicators

	VPLS	IBHI	Difference
Max Drawdown Largest peak-to-trough decline	-4.17%	-13.65%	+9.48%
Max Drawdown (1Y) Largest decline over 1 year	-2.72%	-2.11%	-0.61%
Max Drawdown (3Y) Largest decline over 3 years	—	-5.73%	—
Current Drawdown Current decline from peak	-0.95%	-0.21%	-0.74%
Average Drawdown Average peak-to-trough decline	-1.01%	-2.83%	+1.82%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.86%	0.48%	+0.38%

Volatility

VPLS vs. IBHI - Volatility Comparison

Vanguard Core-Plus Bond ETF (VPLS) has a higher volatility of 1.28% compared to iShares iBonds 2029 Term High Yield and Income ETF (IBHI) at 0.97%. This indicates that VPLS's price experiences larger fluctuations and is considered to be riskier than IBHI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VPLS	IBHI	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.28%	0.97%	+0.31%
Volatility (6M) Calculated over the trailing 6-month period	2.75%	2.79%	-0.04%
Volatility (1Y) Calculated over the trailing 1-year period	3.62%	3.82%	-0.20%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.60%	7.96%	-3.36%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.60%	7.96%	-3.36%

VPLS vs. IBHI - Expense Ratio Comparison

VPLS has a 0.20% expense ratio, which is lower than IBHI's 0.35% expense ratio.

Dividends

VPLS vs. IBHI - Dividend Comparison

VPLS's dividend yield for the trailing twelve months is around 4.75%, less than IBHI's 6.70% yield.

Position	TTM	2025	2024	2023	2022
IBHI iShares iBonds 2029 Term High Yield and Income ETF	6.70%	6.79%	6.66%	6.48%	5.26%
VPLS Vanguard Core-Plus Bond ETF	4.75%	4.78%	4.52%	0.18%	0.00%

Frequently Asked Questions

Can I hold both VPLS and IBHI in my portfolio?

VPLS and IBHI have a correlation of 0.59, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VPLS or IBHI?

VPLS has higher volatility (1.28%) compared to IBHI (0.97%). In terms of maximum drawdown, VPLS dropped -4.17% vs IBHI's -13.65%.

Which ETF is better, VPLS or IBHI?

On 1-year performance, IBHI leads with 6.95% vs 5.65% for VPLS. On fees, VPLS is cheaper at 0.20% per year. On volatility, IBHI has been the lower-risk option at 0.97%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VPLS or IBHI?

Over the 1-year period, IBHI has performed better with a 6.95% return vs 5.65%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VPLS or IBHI?

VPLS is cheaper with a 0.20% expense ratio, compared with 0.35% for IBHI.

Which ETF pays a higher dividend yield, VPLS or IBHI?

IBHI has the higher dividend yield at 6.70%, compared with 4.75% for VPLS.

What is the main difference between VPLS and IBHI?

VPLS is categorized as Intermediate Core-Plus Bond, while IBHI is High Yield Bonds. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.20% for VPLS and 0.35% for IBHI.

Which has better risk-adjusted returns?

IBHI currently has the higher Sharpe Ratio (1.78 vs 1.46), 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.