VTP vs. VTIP
VTP (Vanguard Total Inflation-Protected Securities ETF) and VTIP (Vanguard Short-Term Inflation-Protected Securities ETF) are both Inflation-Protected Bonds funds from Vanguard - VTP tracks the ICE U.S. Treasury Inflation Linked Bond Index while VTIP tracks the Bloomberg U.S. Treasury Inflation-Protected Securities (TIPS) 0-5 Year Index. Both are passively managed. Over the past year, VTP returned 1.93% vs 3.03% for VTIP. Their 0.76 correlation means they have sometimes moved together and sometimes differently. VTP charges 0.05%/yr vs 0.03%/yr for VTIP.
Performance
VTP vs. VTIP - Performance Comparison
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Returns By Period
In the year-to-date period, VTP achieves a 0.56% return, which is significantly lower than VTIP's 1.77% return.
VTP
- 1D
- 0.07%
- 1M
- -0.86%
- 6M
- 0.33%
- YTD
- 0.56%
- 1Y
- 1.93%
- 3Y*
- —
- 5Y*
- —
- 10Y*
- —
- ALL TIME*
- 2.84%
VTIP
- 1D
- -0.06%
- 1M
- 0.10%
- 6M
- 1.40%
- YTD
- 1.77%
- 1Y
- 3.03%
- 3Y*
- 5.00%
- 5Y*
- 3.09%
- 10Y*
- 3.08%
- ALL TIME*
- 2.21%
Liquidity Comparison
| Position | Avg. Volume Value (2W) | Avg. Volume Value (1M) | Avg. Volume Value (3M) |
|---|---|---|---|
| $116.14M | $112.47M | $126.65M | |
| $4.14M | $3.47M | $2.46M |
VTP vs. VTIP - Yearly Performance Comparison
| 2026 (YTD) | 2025 | |
|---|---|---|
VTP Vanguard Total Inflation-Protected Securities ETF | 0.56% | 2.46% |
VTIP Vanguard Short-Term Inflation-Protected Securities ETF | 1.77% | 1.97% |
Correlation
The correlation between VTP and VTIP is 0.75, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.
| Correlation | |
|---|---|
Correlation (1Y) Focuses on recent behavior, but can change the most. | 0.75 |
Correlation (All Time) Calculated using the full available price history since Jul 9, 2025 | 0.76 |
The correlation between VTP and VTIP has been stable across timeframes, ranging from 0.75 to 0.76 - a consistent structural relationship.
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Return for Risk
VTP vs. VTIP — Risk / Return Rank
VTP
VTIP
VTP vs. VTIP - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Total Inflation-Protected Securities ETF (VTP) and Vanguard Short-Term Inflation-Protected Securities ETF (VTIP). 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 | VTIP | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -1.40 | ||
| Sortino ratioReturn per unit of downside risk | -2.21 | ||
| Omega ratioGain probability vs. loss probability | 1.10 | 1.39 | -0.29 |
| Calmar ratioReturn relative to maximum drawdown | 1.01 | 4.26 | -3.25 |
| Martin ratioReturn relative to average drawdown | 2.66 | 13.14 | -10.48 |
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Drawdowns
VTP vs. VTIP - Drawdown Comparison
The maximum VTP drawdown since its inception was -1.92%, smaller than the maximum VTIP drawdown of -6.27%. Use the drawdown chart below to compare losses from any high point for VTP and VTIP.
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Drawdown Indicators
| VTP | VTIP | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -1.92% | -6.27% | +4.35% |
Max Drawdown (1Y)Largest decline over 1 year | -1.92% | -0.71% | -1.21% |
Max Drawdown (3Y)Largest decline over 3 years | — | -0.98% | — |
Max Drawdown (5Y)Largest decline over 5 years | — | -5.50% | — |
Max Drawdown (10Y)Largest decline over 10 years | — | -6.27% | — |
Current DrawdownCurrent decline from peak | -1.28% | -0.29% | -0.99% |
Average DrawdownAverage peak-to-trough decline | -0.56% | -1.03% | +0.47% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.73% | 0.23% | +0.50% |
Volatility
VTP vs. VTIP - Volatility Comparison
Vanguard Total Inflation-Protected Securities ETF (VTP) has a higher volatility of 0.64% compared to Vanguard Short-Term Inflation-Protected Securities ETF (VTIP) at 0.40%. This indicates that VTP's price experiences larger fluctuations and is considered to be riskier than VTIP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| VTP | VTIP | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.64% | 0.40% | +0.24% |
Volatility (6M)Calculated over the trailing 6-month period | 2.47% | 1.22% | +1.25% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.21% | 1.52% | +1.69% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 3.30% | 2.76% | +0.54% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 3.30% | 2.74% | +0.56% |
VTP vs. VTIP - Expense Ratio Comparison
VTP has a 0.05% expense ratio, which is higher than VTIP's 0.03% 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
VTP vs. VTIP - Dividend Comparison
VTP's dividend yield for the trailing twelve months is around 2.99%, less than VTIP's 4.16% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
VTIP Vanguard Short-Term Inflation-Protected Securities ETF | 4.16% | 3.81% | 2.70% | 2.86% | 6.84% | 4.68% | 1.20% | 1.95% | 2.45% | 1.52% | 0.76% |
VTP Vanguard Total Inflation-Protected Securities ETF | 2.99% | 1.56% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
Frequently Asked Questions
VTP and VTIP have a correlation of 0.75, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
VTP has higher volatility (0.64%) compared to VTIP (0.40%). In terms of maximum drawdown, VTP dropped -1.92% vs VTIP's -6.27%.
On 1-year performance, VTIP leads with 3.03% vs 1.93% for VTP. On fees, VTIP is cheaper at 0.03% per year. On volatility, VTIP has been the lower-risk option at 0.40%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 1-year period, VTIP has performed better with a 3.03% return vs 1.93%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
VTIP is cheaper with a 0.03% expense ratio, compared with 0.05% for VTP.
VTIP has the higher dividend yield at 4.16%, compared with 2.99% for VTP.
VTP tracks ICE U.S. Treasury Inflation Linked Bond Index, while VTIP tracks Bloomberg U.S. Treasury Inflation-Protected Securities (TIPS) 0-5 Year Index. Their fees differ too: 0.05% for VTP and 0.03% for VTIP.
VTIP currently has the higher Sharpe Ratio (2.00 vs 0.60), 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.
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