VSC.TO vs. RCDB.NEO

Last updated Jun 4, 2026

VSC.TO (Vanguard Canadian Short-Term Corporate Bond Index ETF) and RCDB.NEO (RBC Canadian Discount Bond ETF) are both Short-Term Bond funds. VSC.TO is passively managed, while RCDB.NEO is actively managed. Over the past 5 years, VSC.TO returned 2.76%/yr vs 2.25%/yr for RCDB.NEO. A 0.61 correlation means they provide meaningful diversification when combined. VSC.TO charges 0.11%/yr vs 0.17%/yr for RCDB.NEO.

Performance

VSC.TO vs. RCDB.NEO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in Vanguard Canadian Short-Term Corporate Bond Index ETF (VSC.TO) and RBC Canadian Discount Bond ETF (RCDB.NEO). 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 VSC.TO having a 1.14% return and RCDB.NEO slightly higher at 1.15%.

VSC.TO

• 1D: -0.08%
• 1M: 0.93%
• YTD: 1.14%
• 6M: 1.15%
• 1Y: 3.74%
• 3Y*: 5.79%
• 5Y*: 2.76%
• 10Y*: 2.74%

RCDB.NEO

• 1D: 0.00%
• 1M: 1.09%
• YTD: 1.15%
• 6M: 0.91%
• 1Y: 3.01%
• 3Y*: 4.84%
• 5Y*: 2.25%
• 10Y*: —

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

VSC.TO vs. RCDB.NEO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
VSC.TO Vanguard Canadian Short-Term Corporate Bond Index ETF	1.14%	4.63%	6.69%	6.75%	-4.23%	-0.97%	6.27%	1.14%
RCDB.NEO RBC Canadian Discount Bond ETF	1.15%	3.75%	5.58%	5.68%	-4.07%	-0.68%	5.61%	0.58%

Correlation

The correlation between VSC.TO and RCDB.NEO is 0.58, 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	0.58
Correlation (3Y) Calculated over the trailing 3-year period	0.73
Correlation (5Y) Calculated over the trailing 5-year period	0.71
Correlation (All Time) Calculated using the full available price history since Jun 12, 2019	0.61

The correlation between VSC.TO and RCDB.NEO shifts across timeframes, from 0.58 (1 year) to 0.73 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

VSC.TO vs. RCDB.NEO — Risk / Return Rank

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

VSC.TO

VSC.TO Risk / Return Rank: 56
VSC.TO Sharpe Ratio Rank: 56
VSC.TO Sortino Ratio Rank: 57
VSC.TO Omega Ratio Rank: 63
VSC.TO Calmar Ratio Rank: 50
VSC.TO Martin Ratio Rank: 56

RCDB.NEO

RCDB.NEO Risk / Return Rank: 38
RCDB.NEO Sharpe Ratio Rank: 37
RCDB.NEO Sortino Ratio Rank: 36
RCDB.NEO Omega Ratio Rank: 36
RCDB.NEO Calmar Ratio Rank: 40
RCDB.NEO Martin Ratio Rank: 41

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.

VSC.TO vs. RCDB.NEO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Canadian Short-Term Corporate Bond Index ETF (VSC.TO) and RBC Canadian Discount Bond ETF (RCDB.NEO). 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.

	VSC.TO	RCDB.NEO	Difference
Sharpe ratio: Return per unit of total volatility	1.91	1.29	+0.62
Sortino ratio: Return per unit of downside risk	2.70	1.85	+0.85
Omega ratio: Gain probability vs. loss probability	1.39	1.24	+0.15
Calmar ratio: Return relative to maximum drawdown	2.46	1.91	+0.55
Martin ratio: Return relative to average drawdown	9.75	6.47	+3.28
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VSC.TO vs. RCDB.NEO - Sharpe Ratio Comparison

The current VSC.TO Sharpe Ratio is 1.91, which is higher than the RCDB.NEO Sharpe Ratio of 1.29. The chart below compares the historical Sharpe Ratios of VSC.TO and RCDB.NEO, 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

	VSC.TO	RCDB.NEO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.91	1.29	+0.62
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.02	0.80	+0.22
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.54	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.60	0.45	+0.15

Drawdowns

VSC.TO vs. RCDB.NEO - Drawdown Comparison

The maximum VSC.TO drawdown since its inception was -15.87%, which is greater than RCDB.NEO's maximum drawdown of -8.31%. Use the drawdown chart below to compare losses from any high point for VSC.TO and RCDB.NEO.

Drawdown Indicators

	VSC.TO	RCDB.NEO	Difference
Max Drawdown Largest peak-to-trough decline	-15.87%	-8.31%	-7.56%
Max Drawdown (1Y) Largest decline over 1 year	-1.53%	-1.59%	+0.06%
Max Drawdown (3Y) Largest decline over 3 years	-1.53%	-1.59%	+0.06%
Max Drawdown (5Y) Largest decline over 5 years	-7.68%	-6.90%	-0.78%
Max Drawdown (10Y) Largest decline over 10 years	-15.87%	—	—
Current Drawdown Current decline from peak	-0.11%	-0.03%	-0.08%
Average Drawdown Average peak-to-trough decline	-0.97%	-1.41%	+0.44%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.38%	0.47%	-0.09%

Volatility

VSC.TO vs. RCDB.NEO - Volatility Comparison

Vanguard Canadian Short-Term Corporate Bond Index ETF (VSC.TO) has a higher volatility of 0.75% compared to RBC Canadian Discount Bond ETF (RCDB.NEO) at 0.67%. This indicates that VSC.TO's price experiences larger fluctuations and is considered to be riskier than RCDB.NEO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VSC.TO	RCDB.NEO	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.75%	0.67%	+0.08%
Volatility (6M) Calculated over the trailing 6-month period	1.64%	1.84%	-0.20%
Volatility (1Y) Calculated over the trailing 1-year period	1.97%	2.35%	-0.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.73%	2.83%	-0.10%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.15%	5.48%	-0.33%

VSC.TO vs. RCDB.NEO - Expense Ratio Comparison

VSC.TO has a 0.11% expense ratio, which is lower than RCDB.NEO's 0.17% 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

VSC.TO vs. RCDB.NEO - Dividend Comparison

VSC.TO's dividend yield for the trailing twelve months is around 3.69%, more than RCDB.NEO's 2.11% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
RCDB.NEO RBC Canadian Discount Bond ETF	2.11%	1.96%	1.58%	1.22%	1.16%	1.33%	1.68%	0.78%	0.00%	0.00%	0.00%	0.00%
VSC.TO Vanguard Canadian Short-Term Corporate Bond Index ETF	3.69%	3.61%	3.54%	3.14%	2.85%	2.59%	2.64%	2.71%	2.77%	2.75%	2.89%	3.05%

Frequently Asked Questions

Can I hold both VSC.TO and RCDB.NEO in my portfolio?

VSC.TO and RCDB.NEO have a correlation of 0.58, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VSC.TO or RCDB.NEO?

On fees, VSC.TO is cheaper at 0.11% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VSC.TO or RCDB.NEO?

VSC.TO is cheaper with a 0.11% expense ratio, compared with 0.17% for RCDB.NEO.

What is the main difference between VSC.TO and RCDB.NEO?

They also come from different issuers: Vanguard and RBC. Their fees differ too: 0.11% for VSC.TO and 0.17% for RCDB.NEO.