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VV vs. SHY
Performance
Return for Risk
Drawdowns
Volatility
Dividends

VV vs. SHY

Last updated Jun 4, 2026

VV (Vanguard Large-Cap ETF) and SHY (iShares 1-3 Year Treasury Bond ETF) are both exchange-traded funds - VV is a Large Cap Growth Equities fund tracking the CRSP US Large Cap Index, while SHY is a Government Bonds fund tracking the ICE US Treasury 1-3 Year Index. Both are passively managed. Over the past 10 years, VV returned 15.58%/yr vs 1.65%/yr for SHY. At a correlation of -0.17, they often move in opposite directions. VV charges 0.04%/yr vs 0.15%/yr for SHY.

Performance

VV vs. SHY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Large-Cap ETF (VV) and iShares 1-3 Year Treasury Bond ETF (SHY). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, VV achieves a 10.69% return, which is significantly higher than SHY's 0.43% return. Over the past 10 years, VV has outperformed SHY with an annualized return of 15.58%, while SHY has yielded a comparatively lower 1.65% annualized return.

VV

1D
-0.72%
1M
5.19%
YTD
10.69%
6M
10.54%
1Y
27.77%
3Y*
22.68%
5Y*
13.54%
10Y*
15.58%

SHY

1D
-0.05%
1M
0.08%
YTD
0.43%
6M
0.69%
1Y
3.32%
3Y*
4.03%
5Y*
1.71%
10Y*
1.65%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VV vs. SHY - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
VV
Vanguard Large-Cap ETF		10.69%18.11%25.25%27.18%-19.91%27.41%21.04%31.25%-4.46%22.00%
SHY
iShares 1-3 Year Treasury Bond ETF		0.43%4.95%3.92%4.16%-3.88%-0.71%3.03%3.38%1.46%0.26%

Correlation

The correlation between VV and SHY is 0.20, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.20

Correlation (3Y)
Calculated over the trailing 3-year period

0.14

Correlation (5Y)
Calculated over the trailing 5-year period

0.12

Correlation (10Y)
Calculated over the trailing 10-year period

-0.03

Correlation (All Time)
Calculated using the full available price history since Feb 2, 2004

-0.17

The correlation between VV and SHY shifts across timeframes, from -0.17 (all time) to 0.20 (1 year), reflecting how their relationship changes across market environments.

Compare stocks, funds, or ETFs

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Vanguard Large-Cap ETF

iShares 1-3 Year Treasury Bond ETF

Often compared with VV:
VV vs. VOOVV vs. FXAIXVV vs. VUGVV vs. VTVVV vs. VTIVV vs. VIGVV vs. SCHD
Often compared with SHY:
SHY vs. SGOVSHY vs. VGSHSHY vs. SHVSHY vs. TLTSHY vs. IEFSHY vs. BILSHY vs. BSV

Return for Risk

VV vs. SHY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
VV
VV Risk / Return Rank: 6767
Overall Rank
VV Sharpe Ratio Rank: 6969
Sharpe Ratio Rank
VV Sortino Ratio Rank: 6868
Sortino Ratio Rank
VV Omega Ratio Rank: 6868
Omega Ratio Rank
VV Calmar Ratio Rank: 6060
Calmar Ratio Rank
VV Martin Ratio Rank: 7272
Martin Ratio Rank
SHY
SHY Risk / Return Rank: 7979
Overall Rank
SHY Sharpe Ratio Rank: 7474
Sharpe Ratio Rank
SHY Sortino Ratio Rank: 8888
Sortino Ratio Rank
SHY Omega Ratio Rank: 8282
Omega Ratio Rank
SHY Calmar Ratio Rank: 7373
Calmar Ratio Rank
SHY Martin Ratio Rank: 7777
Martin Ratio Rank
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.

VV vs. SHY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Large-Cap ETF (VV) and iShares 1-3 Year Treasury Bond ETF (SHY). 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.

VVSHYDifference

Sharpe ratio

Return per unit of total volatility

2.33

2.49

-0.16

Sortino ratio

Return per unit of downside risk

3.18

4.10

-0.92

Omega ratio

Gain probability vs. loss probability

1.42

1.51

-0.09

Calmar ratio

Return relative to maximum drawdown

3.03

3.75

-0.72

Martin ratio

Return relative to average drawdown

13.86

15.21

-1.35

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VV vs. SHY - Sharpe Ratio Comparison

The current VV Sharpe Ratio is 2.33, which is comparable to the SHY Sharpe Ratio of 2.49. The chart below compares the historical Sharpe Ratios of VV and SHY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Sharpe Ratios by Period

VVSHYDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.33

2.49

-0.16

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.79

0.87

-0.08

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.86

1.06

-0.20

Sharpe Ratio (All Time)

Calculated using the full available price history

0.59

1.28

-0.69

Drawdowns

VV vs. SHY - Drawdown Comparison

The maximum VV drawdown since its inception was -54.81%, which is greater than SHY's maximum drawdown of -5.71%. Use the drawdown chart below to compare losses from any high point for VV and SHY.

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Drawdown Indicators

VVSHYDifference

Max Drawdown

Largest peak-to-trough decline

-54.81%

-5.71%

-49.10%

Max Drawdown (1Y)

Largest decline over 1 year

-9.21%

-0.89%

-8.32%

Max Drawdown (3Y)

Largest decline over 3 years

-18.97%

-0.97%

-18.00%

Max Drawdown (5Y)

Largest decline over 5 years

-25.66%

-5.71%

-19.95%

Max Drawdown (10Y)

Largest decline over 10 years

-34.28%

-5.71%

-28.57%

Current Drawdown

Current decline from peak

-0.72%

-0.31%

-0.41%

Average Drawdown

Average peak-to-trough decline

-6.84%

-0.52%

-6.32%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.01%

0.22%

+1.79%

Volatility

VV vs. SHY - Volatility Comparison

Vanguard Large-Cap ETF (VV) has a higher volatility of 2.84% compared to iShares 1-3 Year Treasury Bond ETF (SHY) at 0.35%. This indicates that VV's price experiences larger fluctuations and is considered to be riskier than SHY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

VVSHYDifference

Volatility (1M)

Calculated over the trailing 1-month period

2.84%

0.35%

+2.49%

Volatility (6M)

Calculated over the trailing 6-month period

8.98%

0.92%

+8.06%

Volatility (1Y)

Calculated over the trailing 1-year period

11.99%

1.34%

+10.65%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

17.22%

1.98%

+15.24%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

18.19%

1.57%

+16.62%

VV vs. SHY - Expense Ratio Comparison

VV has a 0.04% expense ratio, which is lower than SHY'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

VV vs. SHY - Dividend Comparison

VV's dividend yield for the trailing twelve months is around 0.98%, less than SHY's 3.68% yield.

PositionTTM20252024202320222021202020192018201720162015
SHY
iShares 1-3 Year Treasury Bond ETF		3.68%3.81%3.92%2.99%1.30%0.26%0.94%2.12%1.72%0.98%0.71%0.54%
VV
Vanguard Large-Cap ETF		0.98%1.08%1.24%1.41%1.66%1.19%1.46%1.81%2.09%1.75%1.98%1.96%

Frequently Asked Questions

VV and SHY 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.

VV has higher volatility (2.84%) compared to SHY (0.35%). In terms of maximum drawdown, VV dropped -54.81% vs SHY's -5.71%.

On 10-year performance, VV leads with 15.58% vs 1.65% for SHY. On fees, VV is cheaper at 0.04% per year. On volatility, SHY has been the lower-risk option at 0.35%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, VV has performed better with a 15.58% return vs 1.65%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

VV is cheaper with a 0.04% expense ratio, compared with 0.15% for SHY.

SHY has the higher dividend yield at 3.68%, compared with 0.98% for VV.

VV is categorized as Large Cap Growth Equities, while SHY is Government Bonds. VV tracks CRSP US Large Cap Index, while SHY tracks ICE US Treasury 1-3 Year Index. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.04% for VV and 0.15% for SHY.

SHY currently has the higher Sharpe Ratio (2.49 vs 2.33), 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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