VSDB vs. DDV

Last updated Jul 14, 2026

VSDB (Vanguard Short Duration Bond ETF Shares) and DDV (Defined Duration 5 ETF) are both exchange-traded funds - VSDB is a Short-Term Bond fund actively managed by Vanguard, while DDV is a Intermediate Core Bond fund actively managed by Discipline Funds. Both are actively managed. A 0.73 correlation means they provide meaningful diversification when combined. VSDB charges 0.15%/yr vs 0.25%/yr for DDV.

Performance

VSDB vs. DDV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Short Duration Bond ETF Shares (VSDB) and Defined Duration 5 ETF (DDV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VSDB achieves a 1.02% return, which is significantly lower than DDV's 2.14% return.

VSDB

• 1D: -0.16%
• 1M: -0.07%
• 6M: 0.97%
• YTD: 1.02%
• 1Y: 4.36%
• 3Y*: —
• 5Y*: —
• 10Y*: —

DDV

• 1D: -0.23%
• 1M: -0.14%
• 6M: 1.64%
• YTD: 2.14%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

VSDB vs. DDV - Yearly Performance Comparison

	2026 (YTD)	2025
VSDB Vanguard Short Duration Bond ETF Shares	1.02%	0.83%
DDV Defined Duration 5 ETF	2.14%	0.47%

Correlation

The correlation between VSDB and DDV is 0.73, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Nov 13, 2025	0.73

Return for Risk

VSDB vs. DDV — Risk / Return Rank

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

VSDB

VSDB Risk / Return Rank: 88
VSDB Sharpe Ratio Rank: 92
VSDB Sortino Ratio Rank: 94
VSDB Omega Ratio Rank: 92
VSDB Calmar Ratio Rank: 75
VSDB Martin Ratio Rank: 84

DDV

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

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.

VSDB vs. DDV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Short Duration Bond ETF Shares (VSDB) and Defined Duration 5 ETF (DDV). 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.

	VSDB	DDV	Difference
Sharpe ratio: Return per unit of total volatility	2.52	—	—
Sortino ratio: Return per unit of downside risk	3.86	—	—
Omega ratio: Gain probability vs. loss probability	1.50	—	—
Calmar ratio: Return relative to maximum drawdown	3.08	—	—
Martin ratio: Return relative to average drawdown	13.47	—	—

Drawdowns

VSDB vs. DDV - Drawdown Comparison

The maximum VSDB drawdown since its inception was -1.42%, smaller than the maximum DDV drawdown of -1.92%. Use the drawdown chart below to compare losses from any high point for VSDB and DDV.

Drawdown Indicators

	VSDB	DDV	Difference
Max Drawdown Largest peak-to-trough decline	-1.42%	-1.92%	+0.50%
Max Drawdown (1Y) Largest decline over 1 year	-1.42%	—	—
Current Drawdown Current decline from peak	-0.33%	-0.49%	+0.16%
Average Drawdown Average peak-to-trough decline	-0.19%	-0.34%	+0.15%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.32%	—	—

Volatility

Volatility by Period

	VSDB	DDV	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.52%	—	—
Volatility (6M) Calculated over the trailing 6-month period	1.41%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	1.75%	2.68%	-0.93%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.89%	2.68%	-0.79%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.89%	2.68%	-0.79%

VSDB vs. DDV - Expense Ratio Comparison

VSDB has a 0.15% expense ratio, which is lower than DDV's 0.25% 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

VSDB vs. DDV - Dividend Comparison

VSDB's dividend yield for the trailing twelve months is around 4.18%, more than DDV's 1.63% yield.

Position	TTM	2025
DDV Defined Duration 5 ETF	1.63%	0.42%
VSDB Vanguard Short Duration Bond ETF Shares	4.18%	3.30%

Frequently Asked Questions

Can I hold both VSDB and DDV in my portfolio?

VSDB and DDV have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VSDB or DDV?

On fees, VSDB is cheaper at 0.15% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VSDB or DDV?

VSDB is cheaper with a 0.15% expense ratio, compared with 0.25% for DDV.

Which ETF pays a higher dividend yield, VSDB or DDV?

VSDB has the higher dividend yield at 4.18%, compared with 1.63% for DDV.

What is the main difference between VSDB and DDV?

VSDB is categorized as Short-Term Bond, while DDV is Intermediate Core Bond. They also come from different issuers: Vanguard and Discipline Funds. Their fees differ too: 0.15% for VSDB and 0.25% for DDV.