VUSB vs. VUSFX

Last updated Jun 4, 2026

VUSB (Vanguard Ultra-Short Bond ETF) and VUSFX (Vanguard Ultra-Short-Term Bond Fund Admiral Shares) are both funds - VUSB is a Ultrashort Bond fund actively managed by Vanguard, while VUSFX is a Total Bond Market fund managed by Vanguard. Over the past 5 years, VUSB returned 3.43%/yr vs 3.50%/yr for VUSFX. A 0.63 correlation means they provide meaningful diversification when combined. Both charge a 0.10% expense ratio.

Performance

VUSB vs. VUSFX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Ultra-Short Bond ETF (VUSB) and Vanguard Ultra-Short-Term Bond Fund Admiral Shares (VUSFX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with VUSB having a 1.39% return and VUSFX slightly higher at 1.42%.

VUSB

• 1D: -0.02%
• 1M: 0.40%
• YTD: 1.39%
• 6M: 1.76%
• 1Y: 4.59%
• 3Y*: 5.34%
• 5Y*: 3.43%
• 10Y*: —

VUSFX

• 1D: 0.00%
• 1M: 0.36%
• YTD: 1.42%
• 6M: 1.76%
• 1Y: 4.51%
• 3Y*: 5.44%
• 5Y*: 3.50%
• 10Y*: 2.71%

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

VUSB vs. VUSFX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
VUSB Vanguard Ultra-Short Bond ETF	1.39%	5.20%	5.68%	5.52%	-0.36%	0.00%
VUSFX Vanguard Ultra-Short-Term Bond Fund Admiral Shares	1.42%	5.11%	6.11%	5.53%	-0.38%	0.01%

Correlation

The correlation between VUSB and VUSFX is 0.57, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.57
Correlation (3Y) Calculated over the trailing 3-year period	0.63
Correlation (5Y) Calculated over the trailing 5-year period	0.63
Correlation (All Time) Calculated using the full available price history since Apr 8, 2021	0.63

The correlation between VUSB and VUSFX has been stable across timeframes, ranging from 0.57 to 0.63 - a consistent structural relationship.

Return for Risk

VUSB vs. VUSFX — Risk / Return Rank

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

VUSB

VUSB Risk / Return Rank: 98
VUSB Sharpe Ratio Rank: 99
VUSB Sortino Ratio Rank: 99
VUSB Omega Ratio Rank: 99
VUSB Calmar Ratio Rank: 97
VUSB Martin Ratio Rank: 98

VUSFX

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

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.

VUSB vs. VUSFX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Ultra-Short Bond ETF (VUSB) and Vanguard Ultra-Short-Term Bond Fund Admiral Shares (VUSFX). 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.

	VUSB	VUSFX	Difference
Sharpe ratio: Return per unit of total volatility	7.10	7.69	-0.59
Sortino ratio: Return per unit of downside risk	13.16	15.39	-2.22
Omega ratio: Gain probability vs. loss probability	3.44	4.69	-1.26
Calmar ratio: Return relative to maximum drawdown	12.43	18.20	-5.77
Martin ratio: Return relative to average drawdown	71.97	108.57	-36.60
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VUSB vs. VUSFX - Sharpe Ratio Comparison

The current VUSB Sharpe Ratio is 7.10, which is comparable to the VUSFX Sharpe Ratio of 7.69. The chart below compares the historical Sharpe Ratios of VUSB and VUSFX, 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

	VUSB	VUSFX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	7.10	7.69	-0.59
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	4.14	4.35	-0.20
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	4.00	—
Sharpe Ratio (All Time) Calculated using the full available price history	4.09	4.00	+0.09

Drawdowns

VUSB vs. VUSFX - Drawdown Comparison

The maximum VUSB drawdown since its inception was -1.79%, roughly equal to the maximum VUSFX drawdown of -1.71%. Use the drawdown chart below to compare losses from any high point for VUSB and VUSFX.

Drawdown Indicators

	VUSB	VUSFX	Difference
Max Drawdown Largest peak-to-trough decline	-1.79%	-1.71%	-0.08%
Max Drawdown (1Y) Largest decline over 1 year	-0.37%	-0.25%	-0.12%
Max Drawdown (3Y) Largest decline over 3 years	-0.46%	-0.35%	-0.11%
Max Drawdown (5Y) Largest decline over 5 years	-1.79%	-1.71%	-0.08%
Max Drawdown (10Y) Largest decline over 10 years	—	-1.71%	—
Current Drawdown Current decline from peak	-0.02%	0.00%	-0.02%
Average Drawdown Average peak-to-trough decline	-0.27%	-0.15%	-0.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.06%	0.04%	+0.02%

Volatility

VUSB vs. VUSFX - Volatility Comparison

Vanguard Ultra-Short Bond ETF (VUSB) has a higher volatility of 0.18% compared to Vanguard Ultra-Short-Term Bond Fund Admiral Shares (VUSFX) at 0.13%. This indicates that VUSB's price experiences larger fluctuations and is considered to be riskier than VUSFX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VUSB	VUSFX	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.18%	0.13%	+0.05%
Volatility (6M) Calculated over the trailing 6-month period	0.52%	0.41%	+0.11%
Volatility (1Y) Calculated over the trailing 1-year period	0.65%	0.59%	+0.06%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	0.83%	0.81%	+0.02%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	0.82%	0.68%	+0.14%

VUSB vs. VUSFX - Expense Ratio Comparison

Both VUSB and VUSFX have an expense ratio of 0.10%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VUSB vs. VUSFX - Dividend Comparison

VUSB's dividend yield for the trailing twelve months is around 4.39%, less than VUSFX's 4.53% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
VUSB Vanguard Ultra-Short Bond ETF	4.39%	4.63%	5.16%	4.45%	1.56%	0.26%	0.00%	0.00%	0.00%	0.00%	0.00%
VUSFX Vanguard Ultra-Short-Term Bond Fund Admiral Shares	4.53%	4.73%	5.52%	4.15%	1.38%	0.53%	1.62%	2.68%	2.23%	1.52%	1.07%

Frequently Asked Questions

Can I hold both VUSB and VUSFX in my portfolio?

VUSB and VUSFX have a correlation of 0.57, 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 VUSFX?

VUSB has higher volatility (0.18%) compared to VUSFX (0.13%). In terms of maximum drawdown, VUSB dropped -1.79% vs VUSFX's -1.71%.

Which has better risk-adjusted returns?

VUSFX currently has the higher Sharpe Ratio (7.69 vs 7.10), 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.