VTP vs. LQDI

Last updated Jun 4, 2026

VTP (Vanguard Total Inflation-Protected Securities ETF) and LQDI (iShares Inflation Hedged Corporate Bond ETF) are both Inflation-Protected Bonds funds. VTP is passively managed, while LQDI is actively managed. A 0.64 correlation means they provide meaningful diversification when combined. VTP charges 0.05%/yr vs 0.18%/yr for LQDI.

Performance

VTP vs. LQDI - Performance Comparison

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

Returns By Period

In the year-to-date period, VTP achieves a 1.55% return, which is significantly lower than LQDI's 1.72% return.

VTP

• 1D: -0.16%
• 1M: -0.08%
• YTD: 1.55%
• 6M: 1.09%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

LQDI

• 1D: -0.39%
• 1M: 0.66%
• YTD: 1.72%
• 6M: 1.56%
• 1Y: 7.30%
• 3Y*: 5.84%
• 5Y*: 1.93%
• 10Y*: —

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

VTP vs. LQDI - Yearly Performance Comparison

	2026 (YTD)	2025
VTP Vanguard Total Inflation-Protected Securities ETF	1.55%	2.27%
LQDI iShares Inflation Hedged Corporate Bond ETF	1.72%	3.35%

Correlation

The correlation between VTP and LQDI is 0.64, 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 Jul 10, 2025	0.64

Return for Risk

VTP vs. LQDI — Risk / Return Rank

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

LQDI

LQDI Risk / Return Rank: 44
LQDI Sharpe Ratio Rank: 41
LQDI Sortino Ratio Rank: 42
LQDI Omega Ratio Rank: 40
LQDI Calmar Ratio Rank: 51
LQDI Martin Ratio Rank: 47

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. LQDI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Total Inflation-Protected Securities ETF (VTP) and iShares Inflation Hedged Corporate Bond ETF (LQDI). 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.

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

Sharpe Ratios by Period

	VTP	LQDI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	1.47	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.24	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.31	0.40	+0.91

Drawdowns

VTP vs. LQDI - Drawdown Comparison

The maximum VTP drawdown since its inception was -1.92%, smaller than the maximum LQDI drawdown of -28.99%. Use the drawdown chart below to compare losses from any high point for VTP and LQDI.

Drawdown Indicators

	VTP	LQDI	Difference
Max Drawdown Largest peak-to-trough decline	-1.92%	-28.99%	+27.07%
Max Drawdown (1Y) Largest decline over 1 year	—	-2.88%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-6.27%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-20.67%	—
Current Drawdown Current decline from peak	-0.30%	-0.39%	+0.09%
Average Drawdown Average peak-to-trough decline	-0.52%	-5.25%	+4.73%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.95%	—

Volatility

Volatility by Period

	VTP	LQDI	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	1.20%	—
Volatility (6M) Calculated over the trailing 6-month period	—	3.44%	—
Volatility (1Y) Calculated over the trailing 1-year period	3.26%	4.97%	-1.71%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.26%	8.18%	-4.92%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.26%	10.84%	-7.58%

VTP vs. LQDI - Expense Ratio Comparison

VTP has a 0.05% expense ratio, which is lower than LQDI's 0.18% 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. LQDI - Dividend Comparison

VTP's dividend yield for the trailing twelve months is around 1.61%, less than LQDI's 4.58% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
LQDI iShares Inflation Hedged Corporate Bond ETF	4.58%	4.46%	4.65%	3.98%	3.27%	2.42%	2.34%	3.26%	2.53%
VTP Vanguard Total Inflation-Protected Securities ETF	1.61%	1.56%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VTP and LQDI in my portfolio?

VTP and LQDI have a correlation of 0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VTP or LQDI?

On fees, VTP is cheaper at 0.05% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VTP or LQDI?

VTP is cheaper with a 0.05% expense ratio, compared with 0.18% for LQDI.

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

LQDI has the higher dividend yield at 4.58%, compared with 1.61% for VTP.

What is the main difference between VTP and LQDI?

They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.05% for VTP and 0.18% for LQDI.