VTP vs. DFIP

Last updated Jul 15, 2026

VTP (Vanguard Total Inflation-Protected Securities ETF) and DFIP (Dimensional Inflation-Protected Securities ETF) are both Inflation-Protected Bonds funds. VTP is passively managed, while DFIP is actively managed. Over the past year, VTP returned 3.27% vs 3.19% for DFIP. With a 0.96 correlation, they move nearly in lockstep. VTP charges 0.05%/yr vs 0.11%/yr for DFIP.

Performance

VTP vs. DFIP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Total Inflation-Protected Securities ETF (VTP) and Dimensional Inflation-Protected Securities ETF (DFIP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

As of year-to-date, both investments have demonstrated similar returns, with VTP at 0.90% and DFIP at 0.90%.

VTP

• 1D: 0.07%
• 1M: -0.50%
• 6M: 0.58%
• YTD: 0.90%
• 1Y: 3.27%
• 3Y*: —
• 5Y*: —
• 10Y*: —

DFIP

• 1D: 0.11%
• 1M: -0.41%
• 6M: 0.51%
• YTD: 0.90%
• 1Y: 3.19%
• 3Y*: 3.98%
• 5Y*: —
• 10Y*: —

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

VTP vs. DFIP - Yearly Performance Comparison

	2026 (YTD)	2025
VTP Vanguard Total Inflation-Protected Securities ETF	0.90%	2.46%
DFIP Dimensional Inflation-Protected Securities ETF	0.90%	2.55%

Correlation

The correlation between VTP and DFIP is 0.96 - 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	0.96
Correlation (All Time) Calculated using the full available price history since Jul 9, 2025	0.96

The correlation between VTP and DFIP has been stable across timeframes, ranging from 0.96 to 0.96 - a consistent structural relationship.

Return for Risk

VTP vs. DFIP — Risk / Return Rank

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

VTP

VTP Risk / Return Rank: 35
VTP Sharpe Ratio Rank: 33
VTP Sortino Ratio Rank: 32
VTP Omega Ratio Rank: 30
VTP Calmar Ratio Rank: 42
VTP Martin Ratio Rank: 38

DFIP

DFIP Risk / Return Rank: 32
DFIP Sharpe Ratio Rank: 30
DFIP Sortino Ratio Rank: 29
DFIP Omega Ratio Rank: 27
DFIP Calmar Ratio Rank: 38
DFIP 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.

VTP vs. DFIP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Total Inflation-Protected Securities ETF (VTP) and Dimensional Inflation-Protected Securities ETF (DFIP). 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.

	VTP	DFIP	Difference
Sharpe ratio: Return per unit of total volatility	0.98	0.91	+0.07
Sortino ratio: Return per unit of downside risk	1.43	1.35	+0.08
Omega ratio: Gain probability vs. loss probability	1.17	1.16	+0.01
Calmar ratio: Return relative to maximum drawdown	1.71	1.56	+0.15
Martin ratio: Return relative to average drawdown	4.86	4.42	+0.44

VTP vs. DFIP - Sharpe Ratio Comparison

The current VTP Sharpe Ratio is 0.98, which is comparable to the DFIP Sharpe Ratio of 0.91. The chart below compares the historical Sharpe Ratios of VTP and DFIP, 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

VTP vs. DFIP - Drawdown Comparison

The maximum VTP drawdown since its inception was -1.92%, smaller than the maximum DFIP drawdown of -14.96%. Use the drawdown chart below to compare losses from any high point for VTP and DFIP.

Drawdown Indicators

	VTP	DFIP	Difference
Max Drawdown Largest peak-to-trough decline	-1.92%	-14.96%	+13.04%
Max Drawdown (1Y) Largest decline over 1 year	-1.92%	-2.06%	+0.14%
Max Drawdown (3Y) Largest decline over 3 years	—	-4.74%	—
Current Drawdown Current decline from peak	-0.94%	-1.04%	+0.10%
Average Drawdown Average peak-to-trough decline	-0.53%	-6.81%	+6.28%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.67%	0.72%	-0.05%

Volatility

VTP vs. DFIP - Volatility Comparison

The current volatility for Vanguard Total Inflation-Protected Securities ETF (VTP) is 1.19%, while Dimensional Inflation-Protected Securities ETF (DFIP) has a volatility of 1.29%. This indicates that VTP experiences smaller price fluctuations and is considered to be less risky than DFIP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VTP	DFIP	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.19%	1.29%	-0.10%
Volatility (6M) Calculated over the trailing 6-month period	2.48%	2.59%	-0.11%
Volatility (1Y) Calculated over the trailing 1-year period	3.36%	3.53%	-0.17%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.35%	6.76%	-3.41%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.35%	6.76%	-3.41%

VTP vs. DFIP - Expense Ratio Comparison

VTP has a 0.05% expense ratio, which is lower than DFIP's 0.11% 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

VTP vs. DFIP - Dividend Comparison

VTP's dividend yield for the trailing twelve months is around 2.98%, less than DFIP's 4.66% yield.

Position	TTM	2025	2024	2023	2022	2021
DFIP Dimensional Inflation-Protected Securities ETF	4.66%	4.70%	3.69%	3.68%	5.97%	0.56%
VTP Vanguard Total Inflation-Protected Securities ETF	2.98%	1.56%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VTP and DFIP in my portfolio?

With a correlation of 0.96, VTP and DFIP 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, VTP or DFIP?

DFIP has higher volatility (1.29%) compared to VTP (1.19%). In terms of maximum drawdown, VTP dropped -1.92% vs DFIP's -14.96%.

Which ETF is better, VTP or DFIP?

On 1-year performance, VTP leads with 3.27% vs 3.19% for DFIP. On fees, VTP is cheaper at 0.05% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VTP or DFIP?

Over the 1-year period, VTP has performed better with a 3.27% return vs 3.19%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VTP or DFIP?

VTP is cheaper with a 0.05% expense ratio, compared with 0.11% for DFIP.

Which ETF pays a higher dividend yield, VTP or DFIP?

DFIP has the higher dividend yield at 4.66%, compared with 2.98% for VTP.

What is the main difference between VTP and DFIP?

They also come from different issuers: Vanguard and Dimensional. Their fees differ too: 0.05% for VTP and 0.11% for DFIP.

Which has better risk-adjusted returns?

VTP currently has the higher Sharpe Ratio (0.98 vs 0.91), 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.