VUSB vs. TBIL

Last updated Aug 2, 2026

VUSB (Vanguard Ultra-Short Bond ETF) and TBIL (F/m US Treasury 3 Month Bill ETF) are both Ultrashort Bond funds. VUSB is actively managed, while TBIL is passively managed. Over the past 3 years, VUSB returned 5.25%/yr vs 4.57%/yr for TBIL. Their 0.18 correlation means their historical movements had little consistent relationship. VUSB charges 0.10%/yr vs 0.15%/yr for TBIL.

Performance

VUSB vs. TBIL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Ultra-Short Bond ETF (VUSB) and F/m US Treasury 3 Month Bill ETF (TBIL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VUSB achieves a 1.96% return, which is significantly lower than TBIL's 2.11% return.

VUSB

• 1D: 0.02%
• 1M: 0.24%
• 6M: 1.57%
• YTD: 1.96%
• 1Y: 4.09%
• 3Y*: 5.25%
• 5Y*: 3.54%
• 10Y*: —
• ALL TIME*: 3.37%

TBIL

• 1D: 0.04%
• 1M: 0.28%
• 6M: 1.80%
• YTD: 2.11%
• 1Y: 3.85%
• 3Y*: 4.57%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 4.50%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
TBIL F/m US Treasury 3 Month Bill ETF	$84.47M	$81.39M	$91.49M
VUSB Vanguard Ultra-Short Bond ETF	$68.77M	$73.10M	$81.38M

VUSB vs. TBIL - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
VUSB Vanguard Ultra-Short Bond ETF	1.96%	5.20%	5.68%	5.52%	0.71%
TBIL F/m US Treasury 3 Month Bill ETF	2.11%	4.19%	5.15%	5.12%	1.29%

Correlation

The correlation between VUSB and TBIL is 0.20, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.20
Correlation (3Y) Balances recent behavior with more history.	0.21
Correlation (All Time) Calculated using the full available price history since Aug 9, 2022	0.18

Return for Risk

VUSB vs. TBIL — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

VUSB

VUSB Risk / Return Rank: 99
VUSB Sharpe Ratio Rank: 99
VUSB Sortino Ratio Rank: 99
VUSB Omega Ratio Rank: 99
VUSB Calmar Ratio Rank: 98
VUSB Martin Ratio Rank: 99

TBIL

TBIL Risk / Return Rank: 100
TBIL Sharpe Ratio Rank: 100
TBIL Sortino Ratio Rank: 100
TBIL Omega Ratio Rank: 100
TBIL Calmar Ratio Rank: 100
TBIL Martin Ratio Rank: 100

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

VUSB vs. TBIL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Ultra-Short Bond ETF (VUSB) and F/m US Treasury 3 Month Bill ETF (TBIL). 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.

	VUSB	TBIL	Difference
Sharpe ratio: Return per unit of total volatility	6.39	14.11	-7.71
Sortino ratio: Return per unit of downside risk	10.86	68.82	-57.97
Omega ratio: Gain probability vs. loss probability	3.04	22.93	-19.89
Calmar ratio: Return relative to maximum drawdown	11.62	195.78	-184.16
Martin ratio: Return relative to average drawdown	65.56	1,113.66	-1,048.10

VUSB vs. TBIL - Sharpe Ratio Comparison

The current VUSB Sharpe Ratio is 6.39, which is lower than the TBIL Sharpe Ratio of 14.11. The chart below compares the historical Sharpe Ratios of VUSB and TBIL, 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

VUSB vs. TBIL - Drawdown Comparison

The maximum VUSB drawdown since its inception was -1.79%, which is greater than TBIL's maximum drawdown of -0.10%. Use the drawdown chart below to compare losses from any high point for VUSB and TBIL.

Drawdown Indicators

	VUSB	TBIL	Difference
Max Drawdown Largest peak-to-trough decline	-1.79%	-0.10%	-1.69%
Max Drawdown (1Y) Largest decline over 1 year	-0.37%	-0.02%	-0.35%
Max Drawdown (3Y) Largest decline over 3 years	-0.46%	-0.02%	-0.44%
Max Drawdown (5Y) Largest decline over 5 years	-1.79%	—	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-0.27%	0.00%	-0.27%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.07%	0.00%	+0.07%

Volatility

VUSB vs. TBIL - Volatility Comparison

Vanguard Ultra-Short Bond ETF (VUSB) has a higher volatility of 0.16% compared to F/m US Treasury 3 Month Bill ETF (TBIL) at 0.09%. This indicates that VUSB's price experiences larger fluctuations and is considered to be riskier than TBIL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VUSB	TBIL	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.16%	0.09%	+0.07%
Volatility (6M) Calculated over the trailing 6-month period	0.57%	0.20%	+0.37%
Volatility (1Y) Calculated over the trailing 1-year period	0.67%	0.28%	+0.39%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	0.84%	0.32%	+0.52%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	0.82%	0.32%	+0.50%

VUSB vs. TBIL - Expense Ratio Comparison

VUSB has a 0.10% expense ratio, which is lower than TBIL's 0.15% 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

VUSB vs. TBIL - Dividend Comparison

VUSB's dividend yield for the trailing twelve months is around 4.34%, more than TBIL's 4.04% yield.

Position	TTM	2025	2024	2023	2022	2021
TBIL F/m US Treasury 3 Month Bill ETF	3.69%	4.07%	5.02%	5.00%	1.10%	0.00%
VUSB Vanguard Ultra-Short Bond ETF	3.95%	4.63%	5.16%	4.45%	1.56%	0.26%

Frequently Asked Questions

Can I hold both VUSB and TBIL in my portfolio?

VUSB and TBIL have a correlation of 0.20, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VUSB or TBIL?

VUSB has higher volatility (0.16%) compared to TBIL (0.09%). In terms of maximum drawdown, VUSB dropped -1.79% vs TBIL's -0.10%.

Which ETF is better, VUSB or TBIL?

On 3-year performance, VUSB leads with 5.25% vs 4.57% for TBIL. On fees, VUSB is cheaper at 0.10% 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, VUSB or TBIL?

Over the 3-year period, VUSB has performed better with a 5.25% return vs 4.57%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VUSB or TBIL?

VUSB is cheaper with a 0.10% expense ratio, compared with 0.15% for TBIL.

Which ETF pays a higher dividend yield, VUSB or TBIL?

VUSB has the higher dividend yield at 3.95%, compared with 3.69% for TBIL.

What is the main difference between VUSB and TBIL?

They also come from different issuers: Vanguard and F/m. Their fees differ too: 0.10% for VUSB and 0.15% for TBIL.

Which has better risk-adjusted returns?

TBIL currently has the higher Sharpe Ratio (14.11 vs 6.39), 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.