VUCP.L vs. VHYG.L

Last updated Jun 5, 2026

VUCP.L (Vanguard USD Corporate Bond UCITS ETF Distributing) and VHYG.L (Vanguard FTSE All-World High Dividend Yield UCITS ETF) are both exchange-traded funds - VUCP.L is a Corporate Bonds fund tracking the Bloomberg US Corp Bond TR USD, while VHYG.L is a Global Equities fund tracking the MSCI World High Dividend Yield NR USD. Both are passively managed. Over the past 5 years, VUCP.L returned 1.01%/yr vs 11.68%/yr for VHYG.L. At a 0.18 correlation, their price movements are largely independent. VUCP.L charges 0.09%/yr vs 0.29%/yr for VHYG.L.

Performance

VUCP.L vs. VHYG.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in Vanguard USD Corporate Bond UCITS ETF Distributing (VUCP.L) and Vanguard FTSE All-World High Dividend Yield UCITS ETF (VHYG.L). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VUCP.L achieves a 0.04% return, which is significantly lower than VHYG.L's 11.62% return.

VUCP.L

• 1D: 0.29%
• 1M: 1.42%
• YTD: 0.04%
• 6M: -0.47%
• 1Y: 5.40%
• 3Y*: 1.87%
• 5Y*: 1.01%
• 10Y*: 2.70%

VHYG.L

• 1D: 0.37%
• 1M: 3.93%
• YTD: 11.62%
• 6M: 13.20%
• 1Y: 28.51%
• 3Y*: 15.99%
• 5Y*: 11.68%
• 10Y*: —

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

VUCP.L vs. VHYG.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
VUCP.L Vanguard USD Corporate Bond UCITS ETF Distributing	0.04%	-0.91%	4.32%	1.29%	-5.38%	-0.63%	4.96%	-4.62%
VHYG.L Vanguard FTSE All-World High Dividend Yield UCITS ETF	11.62%	18.36%	10.99%	5.01%	6.20%	19.28%	-3.61%	-18.20%

Correlation

The correlation between VUCP.L and VHYG.L is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.26
Correlation (3Y) Calculated over the trailing 3-year period	0.27
Correlation (5Y) Calculated over the trailing 5-year period	0.15
Correlation (All Time) Calculated using the full available price history since Sep 25, 2019	0.18

The correlation between VUCP.L and VHYG.L shifts across timeframes, from 0.15 (5 years) to 0.27 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

VUCP.L vs. VHYG.L — Risk / Return Rank

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

VUCP.L

VUCP.L Risk / Return Rank: 24
VUCP.L Sharpe Ratio Rank: 25
VUCP.L Sortino Ratio Rank: 25
VUCP.L Omega Ratio Rank: 24
VUCP.L Calmar Ratio Rank: 24
VUCP.L Martin Ratio Rank: 21

VHYG.L

VHYG.L Risk / Return Rank: 86
VHYG.L Sharpe Ratio Rank: 90
VHYG.L Sortino Ratio Rank: 90
VHYG.L Omega Ratio Rank: 90
VHYG.L Calmar Ratio Rank: 80
VHYG.L 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.

VUCP.L vs. VHYG.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard USD Corporate Bond UCITS ETF Distributing (VUCP.L) and Vanguard FTSE All-World High Dividend Yield UCITS ETF (VHYG.L). 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.

	VUCP.L	VHYG.L	Difference
Sharpe ratio: Return per unit of total volatility	0.90	3.10	-2.20
Sortino ratio: Return per unit of downside risk	1.35	4.11	-2.76
Omega ratio: Gain probability vs. loss probability	1.15	1.58	-0.43
Calmar ratio: Return relative to maximum drawdown	1.08	4.10	-3.02
Martin ratio: Return relative to average drawdown	2.44	14.82	-12.39
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VUCP.L vs. VHYG.L - Sharpe Ratio Comparison

The current VUCP.L Sharpe Ratio is 0.90, which is lower than the VHYG.L Sharpe Ratio of 3.10. The chart below compares the historical Sharpe Ratios of VUCP.L and VHYG.L, 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

	VUCP.L	VHYG.L	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.90	3.10	-2.20
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.12	1.05	-0.93
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.27	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.27	0.42	-0.14

Drawdowns

VUCP.L vs. VHYG.L - Drawdown Comparison

The maximum VUCP.L drawdown since its inception was -16.84%, smaller than the maximum VHYG.L drawdown of -39.80%. Use the drawdown chart below to compare losses from any high point for VUCP.L and VHYG.L.

Drawdown Indicators

	VUCP.L	VHYG.L	Difference
Max Drawdown Largest peak-to-trough decline	-16.84%	-39.80%	+22.96%
Max Drawdown (1Y) Largest decline over 1 year	-5.00%	-6.93%	+1.93%
Max Drawdown (3Y) Largest decline over 3 years	-9.00%	-12.76%	+3.76%
Max Drawdown (5Y) Largest decline over 5 years	-13.14%	-12.76%	-0.38%
Max Drawdown (10Y) Largest decline over 10 years	-16.84%	—	—
Current Drawdown Current decline from peak	-7.67%	0.00%	-7.67%
Average Drawdown Average peak-to-trough decline	-7.67%	-8.23%	+0.56%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.21%	1.92%	+0.29%

Volatility

VUCP.L vs. VHYG.L - Volatility Comparison

The current volatility for Vanguard USD Corporate Bond UCITS ETF Distributing (VUCP.L) is 1.62%, while Vanguard FTSE All-World High Dividend Yield UCITS ETF (VHYG.L) has a volatility of 2.27%. This indicates that VUCP.L experiences smaller price fluctuations and is considered to be less risky than VHYG.L based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VUCP.L	VHYG.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.62%	2.27%	-0.65%
Volatility (6M) Calculated over the trailing 6-month period	4.46%	7.12%	-2.66%
Volatility (1Y) Calculated over the trailing 1-year period	5.99%	9.16%	-3.17%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	8.51%	11.12%	-2.61%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	9.92%	15.91%	-5.99%

VUCP.L vs. VHYG.L - Expense Ratio Comparison

VUCP.L has a 0.09% expense ratio, which is lower than VHYG.L's 0.29% expense ratio.

Dividends

VUCP.L vs. VHYG.L - Dividend Comparison

VUCP.L's dividend yield for the trailing twelve months is around 3.85%, while VHYG.L has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
VHYG.L Vanguard FTSE All-World High Dividend Yield UCITS ETF	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VUCP.L Vanguard USD Corporate Bond UCITS ETF Distributing	3.85%	4.02%	4.73%	3.57%	2.79%	1.85%	2.36%	2.64%	2.58%	2.57%	1.73%

Frequently Asked Questions

Can I hold both VUCP.L and VHYG.L in my portfolio?

VUCP.L and VHYG.L have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VUCP.L or VHYG.L?

On fees, VUCP.L is cheaper at 0.09% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VUCP.L or VHYG.L?

VUCP.L is cheaper with a 0.09% expense ratio, compared with 0.29% for VHYG.L.

What is the main difference between VUCP.L and VHYG.L?

VUCP.L is categorized as Corporate Bonds, while VHYG.L is Global Equities. VUCP.L tracks Bloomberg US Corp Bond TR USD, while VHYG.L tracks MSCI World High Dividend Yield NR USD. Their fees differ too: 0.09% for VUCP.L and 0.29% for VHYG.L.