VTIVX vs. VWELX

Last updated Jun 4, 2026

VTIVX (Vanguard Target Retirement 2045 Fund) and VWELX (Vanguard Wellington Fund Investor Shares) are both mutual funds - VTIVX is a Target Retirement Date fund managed by Vanguard, while VWELX is a Diversified Portfolio fund actively managed by Vanguard. Over the past 10 years, VTIVX returned 11.35%/yr vs 10.20%/yr for VWELX. With a 0.95 correlation, they move nearly in lockstep. VTIVX charges 0.08%/yr vs 0.24%/yr for VWELX.

Performance

VTIVX vs. VWELX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Target Retirement 2045 Fund (VTIVX) and Vanguard Wellington Fund Investor Shares (VWELX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VTIVX achieves a 11.08% return, which is significantly higher than VWELX's 7.11% return. Over the past 10 years, VTIVX has outperformed VWELX with an annualized return of 11.35%, while VWELX has yielded a comparatively lower 10.20% annualized return.

VTIVX

• 1D: 0.31%
• 1M: 4.78%
• YTD: 11.08%
• 6M: 11.92%
• 1Y: 26.04%
• 3Y*: 18.49%
• 5Y*: 9.63%
• 10Y*: 11.35%

VWELX

• 1D: 0.06%
• 1M: 3.86%
• YTD: 7.11%
• 6M: 7.36%
• 1Y: 21.02%
• 3Y*: 15.61%
• 5Y*: 8.97%
• 10Y*: 10.20%

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

VTIVX vs. VWELX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VTIVX Vanguard Target Retirement 2045 Fund	11.08%	20.01%	13.68%	19.72%	-17.38%	16.16%	16.31%	24.94%	-7.89%	19.16%
VWELX Vanguard Wellington Fund Investor Shares	7.11%	16.54%	14.73%	14.29%	-14.36%	18.99%	10.57%	22.51%	-3.43%	13.98%

Correlation

The correlation between VTIVX and VWELX is 0.94, 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	0.94
Correlation (3Y) Calculated over the trailing 3-year period	0.93
Correlation (5Y) Calculated over the trailing 5-year period	0.94
Correlation (10Y) Calculated over the trailing 10-year period	0.94
Correlation (All Time) Calculated using the full available price history since Oct 28, 2003	0.95

The correlation between VTIVX and VWELX has been stable across timeframes, ranging from 0.93 to 0.95 - a consistent structural relationship.

VTIVX vs. VWELX - Sectors Allocation Comparison

Sectors	VTIVX	VWELX
Technology	27.4%	31.8%
Financial Services	16.1%	10.6%
Industrials	12.3%	8.5%
Consumer Cyclical	9.4%	10.9%
Healthcare	8.3%	9.8%
Communication Services	8.0%	12.3%
Consumer Defensive	4.8%	4.4%
Energy	4.3%	4.4%
Basic Materials	4.3%	2.1%
Utilities	2.7%	2.5%
Real Estate	2.5%	2.6%

Return for Risk

VTIVX vs. VWELX — Risk / Return Rank

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

VTIVX

VTIVX Risk / Return Rank: 71
VTIVX Sharpe Ratio Rank: 75
VTIVX Sortino Ratio Rank: 71
VTIVX Omega Ratio Rank: 68
VTIVX Calmar Ratio Rank: 68
VTIVX Martin Ratio Rank: 74

VWELX

VWELX Risk / Return Rank: 74
VWELX Sharpe Ratio Rank: 78
VWELX Sortino Ratio Rank: 75
VWELX Omega Ratio Rank: 73
VWELX Calmar Ratio Rank: 68
VWELX Martin Ratio Rank: 78

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.

VTIVX vs. VWELX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Target Retirement 2045 Fund (VTIVX) and Vanguard Wellington Fund Investor Shares (VWELX). 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.

	VTIVX	VWELX	Difference
Sharpe ratio: Return per unit of total volatility	2.51	2.56	-0.05
Sortino ratio: Return per unit of downside risk	3.50	3.60	-0.11
Omega ratio: Gain probability vs. loss probability	1.46	1.48	-0.02
Calmar ratio: Return relative to maximum drawdown	3.18	3.17	+0.01
Martin ratio: Return relative to average drawdown	14.06	14.69	-0.63
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VTIVX vs. VWELX - Sharpe Ratio Comparison

The current VTIVX Sharpe Ratio is 2.51, which is comparable to the VWELX Sharpe Ratio of 2.56. The chart below compares the historical Sharpe Ratios of VTIVX and VWELX, 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

	VTIVX	VWELX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.51	2.56	-0.05
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.72	0.81	-0.09
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.77	0.89	-0.12
Sharpe Ratio (All Time) Calculated using the full available price history	0.55	0.84	-0.29

Drawdowns

VTIVX vs. VWELX - Drawdown Comparison

The maximum VTIVX drawdown since its inception was -51.69%, which is greater than VWELX's maximum drawdown of -36.12%. Use the drawdown chart below to compare losses from any high point for VTIVX and VWELX.

Drawdown Indicators

	VTIVX	VWELX	Difference
Max Drawdown Largest peak-to-trough decline	-51.69%	-36.12%	-15.57%
Max Drawdown (1Y) Largest decline over 1 year	-8.30%	-6.78%	-1.52%
Max Drawdown (3Y) Largest decline over 3 years	-13.40%	-11.98%	-1.42%
Max Drawdown (5Y) Largest decline over 5 years	-25.10%	-20.88%	-4.22%
Max Drawdown (10Y) Largest decline over 10 years	-31.42%	-25.33%	-6.09%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-6.33%	-3.92%	-2.41%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.87%	1.46%	+0.41%

Volatility

VTIVX vs. VWELX - Volatility Comparison

Vanguard Target Retirement 2045 Fund (VTIVX) has a higher volatility of 3.18% compared to Vanguard Wellington Fund Investor Shares (VWELX) at 2.52%. This indicates that VTIVX's price experiences larger fluctuations and is considered to be riskier than VWELX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VTIVX	VWELX	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.18%	2.52%	+0.66%
Volatility (6M) Calculated over the trailing 6-month period	8.37%	6.67%	+1.70%
Volatility (1Y) Calculated over the trailing 1-year period	10.50%	8.38%	+2.12%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.49%	11.13%	+2.36%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.79%	11.53%	+3.26%

VTIVX vs. VWELX - Expense Ratio Comparison

VTIVX has a 0.08% expense ratio, which is lower than VWELX's 0.24% 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

VTIVX vs. VWELX - Dividend Comparison

VTIVX's dividend yield for the trailing twelve months is around 2.25%, less than VWELX's 10.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VTIVX Vanguard Target Retirement 2045 Fund	2.25%	2.50%	2.36%	2.27%	2.75%	15.40%	1.90%	2.23%	2.52%	0.04%	2.47%	3.29%
VWELX Vanguard Wellington Fund Investor Shares	10.76%	11.46%	10.76%	6.01%	8.19%	8.64%	7.77%	4.67%	9.49%	5.82%	4.44%	7.03%

Frequently Asked Questions

Can I hold both VTIVX and VWELX in my portfolio?

With a correlation of 0.94, VTIVX and VWELX 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, VTIVX or VWELX?

VTIVX has higher volatility (3.18%) compared to VWELX (2.52%). In terms of maximum drawdown, VTIVX dropped -51.69% vs VWELX's -36.12%.

Which has better risk-adjusted returns?

VWELX currently has the higher Sharpe Ratio (2.56 vs 2.51), 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.