VTTVX vs. SWHRX

Last updated Jun 24, 2026

VTTVX (Vanguard Target Retirement 2025 Fund) and SWHRX (Schwab Target 2025 Fund) are both mutual funds - VTTVX is a Diversified Portfolio fund managed by Vanguard, while SWHRX is a Target Retirement Date fund managed by Charles Schwab. Over the past 10 years, VTTVX returned 8.20%/yr vs 7.66%/yr for SWHRX. With a 0.98 correlation, they move nearly in lockstep. VTTVX charges 0.08%/yr vs 0.00%/yr for SWHRX.

Performance

VTTVX vs. SWHRX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Target Retirement 2025 Fund (VTTVX) and Schwab Target 2025 Fund (SWHRX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VTTVX achieves a 6.37% return, which is significantly higher than SWHRX's 4.71% return. Over the past 10 years, VTTVX has outperformed SWHRX with an annualized return of 8.20%, while SWHRX has yielded a comparatively lower 7.66% annualized return.

VTTVX

• 1D: -0.19%
• 1M: 1.05%
• YTD: 6.37%
• 6M: 6.10%
• 1Y: 15.67%
• 3Y*: 12.55%
• 5Y*: 5.94%
• 10Y*: 8.20%

SWHRX

• 1D: -0.26%
• 1M: 0.59%
• YTD: 4.71%
• 6M: 4.43%
• 1Y: 12.73%
• 3Y*: 11.00%
• 5Y*: 5.10%
• 10Y*: 7.66%

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

VTTVX vs. SWHRX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VTTVX Vanguard Target Retirement 2025 Fund	6.37%	14.63%	9.23%	14.76%	-15.57%	9.78%	13.31%	19.63%	-5.14%	13.68%
SWHRX Schwab Target 2025 Fund	4.71%	12.70%	8.78%	14.29%	-15.90%	10.31%	12.55%	18.66%	-6.00%	15.57%

Correlation

The correlation between VTTVX and SWHRX is 0.98 - 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	0.98
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (10Y) Calculated over the trailing 10-year period	0.97
Correlation (All Time) Calculated using the full available price history since Mar 12, 2008	0.98

The correlation between VTTVX and SWHRX has been stable across timeframes, ranging from 0.96 to 0.98 - a consistent structural relationship.

Return for Risk

VTTVX vs. SWHRX — Risk / Return Rank

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

VTTVX

VTTVX Risk / Return Rank: 70
VTTVX Sharpe Ratio Rank: 71
VTTVX Sortino Ratio Rank: 71
VTTVX Omega Ratio Rank: 72
VTTVX Calmar Ratio Rank: 64
VTTVX Martin Ratio Rank: 70

SWHRX

SWHRX Risk / Return Rank: 55
SWHRX Sharpe Ratio Rank: 55
SWHRX Sortino Ratio Rank: 57
SWHRX Omega Ratio Rank: 56
SWHRX Calmar Ratio Rank: 50
SWHRX Martin Ratio Rank: 60

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.

VTTVX vs. SWHRX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Target Retirement 2025 Fund (VTTVX) and Schwab Target 2025 Fund (SWHRX). 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.

	VTTVX	SWHRX	Difference
Sharpe ratio: Return per unit of total volatility	2.25	2.02	+0.23
Sortino ratio: Return per unit of downside risk	3.20	2.90	+0.30
Omega ratio: Gain probability vs. loss probability	1.43	1.38	+0.05
Calmar ratio: Return relative to maximum drawdown	2.93	2.57	+0.36
Martin ratio: Return relative to average drawdown	12.56	11.22	+1.34

VTTVX vs. SWHRX - Sharpe Ratio Comparison

The current VTTVX Sharpe Ratio is 2.25, which is comparable to the SWHRX Sharpe Ratio of 2.02. The chart below compares the historical Sharpe Ratios of VTTVX and SWHRX, 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

VTTVX vs. SWHRX - Drawdown Comparison

The maximum VTTVX drawdown since its inception was -46.03%, which is greater than SWHRX's maximum drawdown of -37.97%. Use the drawdown chart below to compare losses from any high point for VTTVX and SWHRX.

Drawdown Indicators

	VTTVX	SWHRX	Difference
Max Drawdown Largest peak-to-trough decline	-46.03%	-37.97%	-8.06%
Max Drawdown (1Y) Largest decline over 1 year	-5.57%	-5.18%	-0.39%
Max Drawdown (3Y) Largest decline over 3 years	-7.84%	-7.77%	-0.07%
Max Drawdown (5Y) Largest decline over 5 years	-21.52%	-26.06%	+4.54%
Max Drawdown (10Y) Largest decline over 10 years	-22.51%	-26.06%	+3.55%
Current Drawdown Current decline from peak	-0.42%	-0.45%	+0.03%
Average Drawdown Average peak-to-trough decline	-5.04%	-5.32%	+0.28%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.30%	1.18%	+0.12%

Volatility

VTTVX vs. SWHRX - Volatility Comparison

Vanguard Target Retirement 2025 Fund (VTTVX) has a higher volatility of 2.88% compared to Schwab Target 2025 Fund (SWHRX) at 2.57%. This indicates that VTTVX's price experiences larger fluctuations and is considered to be riskier than SWHRX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VTTVX	SWHRX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.88%	2.57%	+0.31%
Volatility (6M) Calculated over the trailing 6-month period	6.06%	5.44%	+0.62%
Volatility (1Y) Calculated over the trailing 1-year period	7.27%	6.60%	+0.67%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.15%	10.96%	-1.81%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	9.96%	10.52%	-0.56%

VTTVX vs. SWHRX - Expense Ratio Comparison

VTTVX has a 0.08% expense ratio, which is higher than SWHRX's 0.00% 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

VTTVX vs. SWHRX - Dividend Comparison

VTTVX's dividend yield for the trailing twelve months is around 6.94%, less than SWHRX's 9.68% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SWHRX Schwab Target 2025 Fund	9.68%	10.13%	7.82%	5.19%	5.72%	6.41%	2.94%	5.47%	5.95%	3.78%	5.31%	7.05%
VTTVX Vanguard Target Retirement 2025 Fund	6.94%	7.38%	7.63%	3.96%	2.96%	16.28%	4.35%	2.57%	3.14%	0.47%	2.68%	4.98%

Frequently Asked Questions

Can I hold both VTTVX and SWHRX in my portfolio?

With a correlation of 0.98, VTTVX and SWHRX 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, VTTVX or SWHRX?

VTTVX has higher volatility (2.88%) compared to SWHRX (2.57%). In terms of maximum drawdown, VTTVX dropped -46.03% vs SWHRX's -37.97%.

Which has better risk-adjusted returns?

VTTVX currently has the higher Sharpe Ratio (2.25 vs 2.02), 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.