VSCSX vs. BND

Last updated Jun 4, 2026

VSCSX (Vanguard Short-Term Corporate Bond Index Fund Admiral Shares) and BND (Vanguard Total Bond Market ETF) are both funds - VSCSX is a Corporate Bonds fund managed by Vanguard, while BND is a Total Bond Market fund tracking the Bloomberg U.S. Aggregate Float Adjusted Index. Over the past 10 years, VSCSX returned 2.73%/yr vs 1.58%/yr for BND. Their correlation of 0.81 suggests significant overlap in exposure. VSCSX charges 0.07%/yr vs 0.03%/yr for BND.

Performance

VSCSX vs. BND - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Short-Term Corporate Bond Index Fund Admiral Shares (VSCSX) and Vanguard Total Bond Market ETF (BND). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VSCSX achieves a 0.71% return, which is significantly higher than BND's 0.27% return. Over the past 10 years, VSCSX has outperformed BND with an annualized return of 2.73%, while BND has yielded a comparatively lower 1.58% annualized return.

VSCSX

• 1D: 0.00%
• 1M: 0.33%
• YTD: 0.71%
• 6M: 0.99%
• 1Y: 4.63%
• 3Y*: 5.66%
• 5Y*: 2.40%
• 10Y*: 2.73%

BND

• 1D: -0.19%
• 1M: 0.27%
• YTD: 0.27%
• 6M: 0.12%
• 1Y: 5.11%
• 3Y*: 3.96%
• 5Y*: 0.09%
• 10Y*: 1.58%

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

VSCSX vs. BND - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VSCSX Vanguard Short-Term Corporate Bond Index Fund Admiral Shares	0.71%	6.75%	5.36%	6.11%	-5.72%	-0.43%	5.06%	6.85%	0.88%	2.46%
BND Vanguard Total Bond Market ETF	0.27%	7.08%	1.38%	5.65%	-13.11%	-1.86%	7.71%	8.84%	-0.12%	3.57%

Correlation

The correlation between VSCSX and BND is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.90
Correlation (3Y) Calculated over the trailing 3-year period	0.90
Correlation (5Y) Calculated over the trailing 5-year period	0.89
Correlation (10Y) Calculated over the trailing 10-year period	0.83
Correlation (All Time) Calculated using the full available price history since Nov 20, 2009	0.81

The correlation between VSCSX and BND has been stable across timeframes, ranging from 0.81 to 0.90 - a consistent structural relationship.

Return for Risk

VSCSX vs. BND — Risk / Return Rank

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

VSCSX

VSCSX Risk / Return Rank: 80
VSCSX Sharpe Ratio Rank: 84
VSCSX Sortino Ratio Rank: 87
VSCSX Omega Ratio Rank: 83
VSCSX Calmar Ratio Rank: 76
VSCSX Martin Ratio Rank: 72

BND

BND Risk / Return Rank: 37
BND Sharpe Ratio Rank: 37
BND Sortino Ratio Rank: 39
BND Omega Ratio Rank: 35
BND Calmar Ratio Rank: 38
BND Martin Ratio Rank: 36

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.

VSCSX vs. BND - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Short-Term Corporate Bond Index Fund Admiral Shares (VSCSX) and Vanguard Total Bond Market ETF (BND). 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.

	VSCSX	BND	Difference
Sharpe ratio Return per unit of total volatility	2.69	1.36	+1.33
Sortino ratio Return per unit of downside risk	4.13	2.03	+2.10
Omega ratio Gain probability vs. loss probability	1.55	1.24	+0.31
Calmar ratio Return relative to maximum drawdown	3.44	1.92	+1.53
Martin ratio Return relative to average drawdown	13.75	5.80	+7.95
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VSCSX vs. BND - Sharpe Ratio Comparison

The current VSCSX Sharpe Ratio is 2.69, which is higher than the BND Sharpe Ratio of 1.36. The chart below compares the historical Sharpe Ratios of VSCSX and BND, 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

	VSCSX	BND	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.69	1.36	+1.33
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.89	0.01	+0.88
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.16	0.29	+0.87
Sharpe Ratio (All Time) Calculated using the full available price history	1.36	0.59	+0.78

Drawdowns

VSCSX vs. BND - Drawdown Comparison

The maximum VSCSX drawdown since its inception was -9.36%, smaller than the maximum BND drawdown of -18.58%. Use the drawdown chart below to compare losses from any high point for VSCSX and BND.

Drawdown Indicators

	VSCSX	BND	Difference
Max Drawdown Largest peak-to-trough decline	-9.36%	-18.58%	+9.22%
Max Drawdown (1Y) Largest decline over 1 year	-1.36%	-2.68%	+1.32%
Max Drawdown (3Y) Largest decline over 3 years	-1.36%	-5.92%	+4.56%
Max Drawdown (5Y) Largest decline over 5 years	-9.36%	-17.91%	+8.55%
Max Drawdown (10Y) Largest decline over 10 years	-9.36%	-18.58%	+9.22%
Current Drawdown Current decline from peak	-0.26%	-2.37%	+2.11%
Average Drawdown Average peak-to-trough decline	-0.98%	-3.06%	+2.08%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.34%	0.88%	-0.54%

Volatility

VSCSX vs. BND - Volatility Comparison

The current volatility for Vanguard Short-Term Corporate Bond Index Fund Admiral Shares (VSCSX) is 0.57%, while Vanguard Total Bond Market ETF (BND) has a volatility of 1.23%. This indicates that VSCSX experiences smaller price fluctuations and is considered to be less risky than BND based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VSCSX	BND	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.57%	1.23%	-0.66%
Volatility (6M) Calculated over the trailing 6-month period	1.27%	2.66%	-1.39%
Volatility (1Y) Calculated over the trailing 1-year period	1.75%	3.78%	-2.03%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.71%	6.02%	-3.31%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.37%	5.53%	-3.16%

VSCSX vs. BND - Expense Ratio Comparison

VSCSX has a 0.07% expense ratio, which is higher than BND's 0.03% 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

VSCSX vs. BND - Dividend Comparison

VSCSX's dividend yield for the trailing twelve months is around 4.42%, more than BND's 3.97% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BND Vanguard Total Bond Market ETF	3.97%	3.86%	3.67%	3.09%	2.60%	2.12%	2.38%	2.72%	2.81%	2.54%	2.51%	2.57%
VSCSX Vanguard Short-Term Corporate Bond Index Fund Admiral Shares	4.42%	4.32%	4.27%	3.07%	1.98%	1.78%	2.25%	2.85%	2.66%	2.26%	1.93%	2.21%

Frequently Asked Questions

Can I hold both VSCSX and BND in my portfolio?

With a correlation of 0.90, VSCSX and BND 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, VSCSX or BND?

BND has higher volatility (1.23%) compared to VSCSX (0.57%). In terms of maximum drawdown, VSCSX dropped -9.36% vs BND's -18.58%.

Which has better risk-adjusted returns?

VSCSX currently has the higher Sharpe Ratio (2.69 vs 1.36), 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.