VSBSX vs. VSDM
VSBSX (Vanguard Short-Term Treasury Index Fund Admiral Shares) and VSDM (Vanguard Short Duration Tax-Exempt Bond ETF) are both funds - VSBSX is a Government Bonds fund tracking the Spliced Bloomberg U.S. Treasury 1-3 Year Index, while VSDM is a Municipal Bonds fund actively managed by Vanguard. VSBSX is passively managed, while VSDM is actively managed. Over the past year, VSBSX returned 2.61% vs 3.09% for VSDM. Their 0.46 correlation means their historical movements had little consistent relationship. VSBSX charges 0.06%/yr vs 0.12%/yr for VSDM.
Performance
VSBSX vs. VSDM - Performance Comparison
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Returns By Period
In the year-to-date period, VSBSX achieves a 0.76% return, which is significantly lower than VSDM's 1.10% return.
VSBSX
- 1D
- -0.05%
- 1M
- 0.10%
- 6M
- 0.60%
- YTD
- 0.76%
- 1Y
- 2.61%
- 3Y*
- 4.39%
- 5Y*
- 1.91%
- 10Y*
- 1.74%
- ALL TIME*
- 1.41%
VSDM
- 1D
- 0.11%
- 1M
- -0.45%
- 6M
- 0.32%
- YTD
- 1.10%
- 1Y
- 3.09%
- 3Y*
- —
- 5Y*
- —
- 10Y*
- —
- ALL TIME*
- 3.75%
Liquidity Comparison
| Position | Avg. Volume Value (2W) | Avg. Volume Value (1M) | Avg. Volume Value (3M) |
|---|---|---|---|
| $0.00 | $0.00 | $0.00 | |
| $9.87M | $9.16M | $8.72M |
VSBSX vs. VSDM - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | |
|---|---|---|---|
VSBSX Vanguard Short-Term Treasury Index Fund Admiral Shares | 0.76% | 5.08% | 0.58% |
VSDM Vanguard Short Duration Tax-Exempt Bond ETF | 1.10% | 5.39% | -0.10% |
Correlation
The correlation between VSBSX and VSDM is 0.45, which is low. Their historical price movements had little consistent relationship.
| Correlation | |
|---|---|
Correlation (1Y) Focuses on recent behavior, but can change the most. | 0.45 |
Correlation (All Time) Calculated using the full available price history since Nov 21, 2024 | 0.46 |
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Return for Risk
VSBSX vs. VSDM — Risk / Return Rank
VSBSX
VSDM
VSBSX vs. VSDM - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Short-Term Treasury Index Fund Admiral Shares (VSBSX) and Vanguard Short Duration Tax-Exempt Bond ETF (VSDM). 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.
| VSBSX | VSDM | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.11 | ||
| Sortino ratioReturn per unit of downside risk | +0.67 | ||
| Omega ratioGain probability vs. loss probability | 1.50 | 1.51 | -0.02 |
| Calmar ratioReturn relative to maximum drawdown | 3.70 | 2.12 | +1.58 |
| Martin ratioReturn relative to average drawdown | 14.76 | 7.12 | +7.63 |
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Drawdowns
VSBSX vs. VSDM - Drawdown Comparison
The maximum VSBSX drawdown since its inception was -5.77%, which is greater than VSDM's maximum drawdown of -1.81%. Use the drawdown chart below to compare losses from any high point for VSBSX and VSDM.
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Drawdown Indicators
| VSBSX | VSDM | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -5.77% | -1.81% | -3.96% |
Max Drawdown (1Y)Largest decline over 1 year | -0.84% | -1.46% | +0.62% |
Max Drawdown (3Y)Largest decline over 3 years | -0.84% | — | — |
Max Drawdown (5Y)Largest decline over 5 years | -5.72% | — | — |
Max Drawdown (10Y)Largest decline over 10 years | -5.77% | — | — |
Current DrawdownCurrent decline from peak | -0.05% | -0.49% | +0.44% |
Average DrawdownAverage peak-to-trough decline | -0.59% | -0.31% | -0.28% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.21% | 0.43% | -0.22% |
Volatility
VSBSX vs. VSDM - Volatility Comparison
The current volatility for Vanguard Short-Term Treasury Index Fund Admiral Shares (VSBSX) is 0.36%, while Vanguard Short Duration Tax-Exempt Bond ETF (VSDM) has a volatility of 0.43%. This indicates that VSBSX experiences smaller price fluctuations and is considered to be less risky than VSDM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| VSBSX | VSDM | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.36% | 0.43% | -0.07% |
Volatility (6M)Calculated over the trailing 6-month period | 0.99% | 1.11% | -0.12% |
Volatility (1Y)Calculated over the trailing 1-year period | 1.30% | 1.37% | -0.07% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 1.96% | 1.89% | +0.07% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 1.54% | 1.89% | -0.35% |
VSBSX vs. VSDM - Expense Ratio Comparison
VSBSX has a 0.06% expense ratio, which is lower than VSDM's 0.12% 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
VSBSX vs. VSDM - Dividend Comparison
VSBSX's dividend yield for the trailing twelve months is around 3.48%, more than VSDM's 3.14% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
VSBSX Vanguard Short-Term Treasury Index Fund Admiral Shares | 3.48% | 3.98% | 4.50% | 3.29% | 1.12% | 0.63% | 1.72% | 2.26% | 1.80% | 1.10% | 0.76% | 0.71% |
VSDM Vanguard Short Duration Tax-Exempt Bond ETF | 3.14% | 3.06% | 0.35% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
Frequently Asked Questions
VSBSX and VSDM have a correlation of 0.45, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
VSDM has higher volatility (0.43%) compared to VSBSX (0.36%). In terms of maximum drawdown, VSBSX dropped -5.77% vs VSDM's -1.81%.
VSBSX currently has the higher Sharpe Ratio (2.38 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.
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