VTC vs. VCPAX

Last updated Jun 4, 2026

VTC (Vanguard Total Corporate Bond ETF) and VCPAX (Vanguard Core-Plus Bond Fund Admiral Shares) are both funds - VTC is a Corporate Bonds fund tracking the Bloomberg Barclays U.S. Corporate Bond Index, while VCPAX is a Total Bond Market fund managed by Vanguard. Over the past 3 years, VTC returned 5.22%/yr vs 5.43%/yr for VCPAX. Their correlation of 0.92 suggests significant overlap in exposure. VTC charges 0.04%/yr vs 0.20%/yr for VCPAX.

Performance

VTC vs. VCPAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Total Corporate Bond ETF (VTC) and Vanguard Core-Plus Bond Fund Admiral Shares (VCPAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VTC achieves a 0.60% return, which is significantly lower than VCPAX's 0.78% return.

VTC

• 1D: -0.22%
• 1M: 0.63%
• YTD: 0.60%
• 6M: 0.33%
• 1Y: 5.99%
• 3Y*: 5.22%
• 5Y*: 0.51%
• 10Y*: —

VCPAX

• 1D: 0.06%
• 1M: 0.58%
• YTD: 0.78%
• 6M: 0.78%
• 1Y: 6.21%
• 3Y*: 5.43%
• 5Y*: —
• 10Y*: —

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

VTC vs. VCPAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
VTC Vanguard Total Corporate Bond ETF	0.60%	7.58%	2.15%	8.58%	-15.68%	-0.26%
VCPAX Vanguard Core-Plus Bond Fund Admiral Shares	0.78%	8.06%	2.95%	6.80%	-12.60%	0.32%

Correlation

The correlation between VTC and VCPAX is 0.93, 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	0.93
Correlation (3Y) Calculated over the trailing 3-year period	0.94
Correlation (All Time) Calculated using the full available price history since Oct 15, 2021	0.92

The correlation between VTC and VCPAX has been stable across timeframes, ranging from 0.92 to 0.94 - a consistent structural relationship.

Return for Risk

VTC vs. VCPAX — Risk / Return Rank

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

VTC

VTC Risk / Return Rank: 39
VTC Sharpe Ratio Rank: 38
VTC Sortino Ratio Rank: 38
VTC Omega Ratio Rank: 35
VTC Calmar Ratio Rank: 41
VTC Martin Ratio Rank: 41

VCPAX

VCPAX Risk / Return Rank: 37
VCPAX Sharpe Ratio Rank: 37
VCPAX Sortino Ratio Rank: 40
VCPAX Omega Ratio Rank: 37
VCPAX Calmar Ratio Rank: 39
VCPAX Martin Ratio Rank: 33

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.

VTC vs. VCPAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Total Corporate Bond ETF (VTC) and Vanguard Core-Plus Bond Fund Admiral Shares (VCPAX). 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.

	VTC	VCPAX	Difference
Sharpe ratio: Return per unit of total volatility	1.38	1.74	-0.37
Sortino ratio: Return per unit of downside risk	2.02	2.63	-0.61
Omega ratio: Gain probability vs. loss probability	1.24	1.32	-0.08
Calmar ratio: Return relative to maximum drawdown	2.09	2.35	-0.26
Martin ratio: Return relative to average drawdown	6.63	7.52	-0.88
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VTC vs. VCPAX - Sharpe Ratio Comparison

The current VTC Sharpe Ratio is 1.38, which is comparable to the VCPAX Sharpe Ratio of 1.74. The chart below compares the historical Sharpe Ratios of VTC and VCPAX, 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

	VTC	VCPAX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.38	1.74	-0.37
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.07	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.32	0.19	+0.13

Drawdowns

VTC vs. VCPAX - Drawdown Comparison

The maximum VTC drawdown since its inception was -22.05%, which is greater than VCPAX's maximum drawdown of -17.25%. Use the drawdown chart below to compare losses from any high point for VTC and VCPAX.

Drawdown Indicators

	VTC	VCPAX	Difference
Max Drawdown Largest peak-to-trough decline	-22.05%	-17.25%	-4.80%
Max Drawdown (1Y) Largest decline over 1 year	-2.88%	-2.65%	-0.23%
Max Drawdown (3Y) Largest decline over 3 years	-6.46%	-5.71%	-0.75%
Max Drawdown (5Y) Largest decline over 5 years	-22.05%	—	—
Current Drawdown Current decline from peak	-0.99%	-1.03%	+0.04%
Average Drawdown Average peak-to-trough decline	-5.84%	-6.45%	+0.61%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.90%	0.83%	+0.07%

Volatility

VTC vs. VCPAX - Volatility Comparison

Vanguard Total Corporate Bond ETF (VTC) has a higher volatility of 1.43% compared to Vanguard Core-Plus Bond Fund Admiral Shares (VCPAX) at 1.30%. This indicates that VTC's price experiences larger fluctuations and is considered to be riskier than VCPAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VTC	VCPAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.43%	1.30%	+0.13%
Volatility (6M) Calculated over the trailing 6-month period	3.22%	2.59%	+0.63%
Volatility (1Y) Calculated over the trailing 1-year period	4.37%	3.59%	+0.78%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.08%	5.64%	+1.44%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	7.68%	5.64%	+2.04%

VTC vs. VCPAX - Expense Ratio Comparison

VTC has a 0.04% expense ratio, which is lower than VCPAX's 0.20% 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

VTC vs. VCPAX - Dividend Comparison

VTC's dividend yield for the trailing twelve months is around 4.93%, more than VCPAX's 4.84% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
VCPAX Vanguard Core-Plus Bond Fund Admiral Shares	4.84%	4.86%	5.19%	4.55%	3.26%	0.27%	0.00%	0.00%	0.00%	0.00%
VTC Vanguard Total Corporate Bond ETF	4.93%	4.76%	4.50%	3.80%	3.13%	2.36%	2.69%	3.34%	3.53%	0.55%

Frequently Asked Questions

Can I hold both VTC and VCPAX in my portfolio?

With a correlation of 0.93, VTC and VCPAX 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, VTC or VCPAX?

VTC has higher volatility (1.43%) compared to VCPAX (1.30%). In terms of maximum drawdown, VTC dropped -22.05% vs VCPAX's -17.25%.

Which has better risk-adjusted returns?

VCPAX currently has the higher Sharpe Ratio (1.74 vs 1.38), 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.