VSMVX vs. VBR

Last updated Jun 24, 2026

VSMVX (Vanguard S&P Small-Cap 600 Value Index Fund Institutional Shares) and VBR (Vanguard Small-Cap Value ETF) are both Small Cap Value Equities funds from Vanguard. Over the past 10 years, VSMVX returned 10.71%/yr vs 11.01%/yr for VBR. With a 0.97 correlation, they move nearly in lockstep. VSMVX charges 0.08%/yr vs 0.05%/yr for VBR.

Performance

VSMVX vs. VBR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard S&P Small-Cap 600 Value Index Fund Institutional Shares (VSMVX) and Vanguard Small-Cap Value ETF (VBR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VSMVX achieves a 17.74% return, which is significantly higher than VBR's 13.29% return. Both investments have delivered pretty close results over the past 10 years, with VSMVX having a 10.71% annualized return and VBR not far ahead at 11.01%.

VSMVX

• 1D: -0.23%
• 1M: 3.22%
• YTD: 17.74%
• 6M: 16.42%
• 1Y: 38.16%
• 3Y*: 15.49%
• 5Y*: 6.61%
• 10Y*: 10.71%

VBR

• 1D: -0.11%
• 1M: 2.54%
• YTD: 13.29%
• 6M: 11.72%
• 1Y: 26.18%
• 3Y*: 16.90%
• 5Y*: 8.59%
• 10Y*: 11.01%

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

VSMVX vs. VBR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VSMVX Vanguard S&P Small-Cap 600 Value Index Fund Institutional Shares	17.74%	6.38%	7.53%	14.85%	-11.12%	30.85%	2.79%	24.47%	-12.67%	11.64%
VBR Vanguard Small-Cap Value ETF	13.29%	9.09%	12.40%	16.00%	-9.38%	28.08%	5.90%	22.78%	-12.28%	11.81%

Correlation

The correlation between VSMVX and VBR is 0.95 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.95
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (5Y) Calculated over the trailing 5-year period	0.97
Correlation (10Y) Calculated over the trailing 10-year period	0.97
Correlation (All Time) Calculated using the full available price history since Dec 17, 2012	0.97

The correlation between VSMVX and VBR has been stable across timeframes, ranging from 0.95 to 0.97 - a consistent structural relationship.

Return for Risk

VSMVX vs. VBR — Risk / Return Rank

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

VSMVX

VSMVX Risk / Return Rank: 71
VSMVX Sharpe Ratio Rank: 65
VSMVX Sortino Ratio Rank: 67
VSMVX Omega Ratio Rank: 54
VSMVX Calmar Ratio Rank: 90
VSMVX Martin Ratio Rank: 82

VBR

VBR Risk / Return Rank: 55
VBR Sharpe Ratio Rank: 52
VBR Sortino Ratio Rank: 54
VBR Omega Ratio Rank: 48
VBR Calmar Ratio Rank: 62
VBR Martin Ratio Rank: 61

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.

VSMVX vs. VBR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard S&P Small-Cap 600 Value Index Fund Institutional Shares (VSMVX) and Vanguard Small-Cap Value ETF (VBR). 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.

	VSMVX	VBR	Difference
Sharpe ratio: Return per unit of total volatility	2.17	1.72	+0.45
Sortino ratio: Return per unit of downside risk	3.09	2.54	+0.55
Omega ratio: Gain probability vs. loss probability	1.37	1.30	+0.07
Calmar ratio: Return relative to maximum drawdown	4.28	2.97	+1.31
Martin ratio: Return relative to average drawdown	14.20	10.49	+3.71

VSMVX vs. VBR - Sharpe Ratio Comparison

The current VSMVX Sharpe Ratio is 2.17, which is comparable to the VBR Sharpe Ratio of 1.72. The chart below compares the historical Sharpe Ratios of VSMVX and VBR, 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

VSMVX vs. VBR - Drawdown Comparison

The maximum VSMVX drawdown since its inception was -47.61%, smaller than the maximum VBR drawdown of -61.98%. Use the drawdown chart below to compare losses from any high point for VSMVX and VBR.

Drawdown Indicators

	VSMVX	VBR	Difference
Max Drawdown Largest peak-to-trough decline	-47.61%	-61.98%	+14.37%
Max Drawdown (1Y) Largest decline over 1 year	-9.33%	-8.85%	-0.48%
Max Drawdown (3Y) Largest decline over 3 years	-28.81%	-24.19%	-4.62%
Max Drawdown (5Y) Largest decline over 5 years	-28.81%	-24.19%	-4.62%
Max Drawdown (10Y) Largest decline over 10 years	-47.61%	-45.28%	-2.33%
Current Drawdown Current decline from peak	-1.37%	-1.14%	-0.23%
Average Drawdown Average peak-to-trough decline	-7.62%	-8.25%	+0.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.81%	2.50%	+0.31%

Volatility

VSMVX vs. VBR - Volatility Comparison

Vanguard S&P Small-Cap 600 Value Index Fund Institutional Shares (VSMVX) has a higher volatility of 4.80% compared to Vanguard Small-Cap Value ETF (VBR) at 3.98%. This indicates that VSMVX's price experiences larger fluctuations and is considered to be riskier than VBR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VSMVX	VBR	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.80%	3.98%	+0.82%
Volatility (6M) Calculated over the trailing 6-month period	11.86%	10.66%	+1.20%
Volatility (1Y) Calculated over the trailing 1-year period	18.42%	15.30%	+3.12%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.97%	19.73%	+2.24%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.15%	21.71%	+2.44%

VSMVX vs. VBR - Expense Ratio Comparison

VSMVX has a 0.08% expense ratio, which is higher than VBR's 0.05% 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

VSMVX vs. VBR - Dividend Comparison

VSMVX's dividend yield for the trailing twelve months is around 1.61%, less than VBR's 1.73% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VBR Vanguard Small-Cap Value ETF	1.73%	1.95%	1.98%	2.12%	2.03%	1.75%	1.68%	2.06%	2.35%	1.79%	1.77%	1.99%
VSMVX Vanguard S&P Small-Cap 600 Value Index Fund Institutional Shares	1.61%	1.45%	1.85%	1.92%	1.88%	1.66%	1.46%	1.65%	1.89%	1.55%	1.26%	1.42%

Frequently Asked Questions

Can I hold both VSMVX and VBR in my portfolio?

With a correlation of 0.95, VSMVX and VBR 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, VSMVX or VBR?

VSMVX has higher volatility (4.80%) compared to VBR (3.98%). In terms of maximum drawdown, VSMVX dropped -47.61% vs VBR's -61.98%.

Which has better risk-adjusted returns?

VSMVX currently has the higher Sharpe Ratio (2.17 vs 1.72), 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.