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VWALX vs. VWELX
Performance
Return for Risk
Drawdowns
Volatility
Dividends

VWALX vs. VWELX

Last updated Jun 5, 2026

VWALX (Vanguard High-Yield Tax-Exempt Fund Admiral Shares) and VWELX (Vanguard Wellington Fund Investor Shares) are both mutual funds - VWALX is a Municipal Bonds fund managed by Vanguard, while VWELX is a Diversified Portfolio fund actively managed by Vanguard. Over the past 10 years, VWALX returned 3.14%/yr vs 10.12%/yr for VWELX. At a correlation of -0.02, they often move in opposite directions. VWALX charges 0.09%/yr vs 0.24%/yr for VWELX.

Performance

VWALX vs. VWELX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard High-Yield Tax-Exempt Fund Admiral Shares (VWALX) and Vanguard Wellington Fund Investor Shares (VWELX). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, VWALX achieves a 2.33% return, which is significantly lower than VWELX's 6.39% return. Over the past 10 years, VWALX has underperformed VWELX with an annualized return of 3.14%, while VWELX has yielded a comparatively higher 10.12% annualized return.

VWALX

1D
0.00%
1M
1.01%
YTD
2.33%
6M
2.69%
1Y
8.55%
3Y*
5.55%
5Y*
1.64%
10Y*
3.14%

VWELX

1D
-0.67%
1M
2.71%
YTD
6.39%
6M
6.66%
1Y
19.88%
3Y*
15.35%
5Y*
8.69%
10Y*
10.12%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VWALX vs. VWELX - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
VWALX
Vanguard High-Yield Tax-Exempt Fund Admiral Shares		2.33%5.06%4.08%8.45%-11.69%3.42%5.49%9.58%1.38%7.96%
VWELX
Vanguard Wellington Fund Investor Shares		6.39%16.54%14.73%14.29%-14.36%18.99%10.57%22.51%-3.43%13.98%

Correlation

The correlation between VWALX and VWELX is 0.25, which is low. Their price movements are largely independent, making them effective diversification partners.

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

0.25

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

0.23

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

0.20

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

0.08

Correlation (All Time)
Calculated using the full available price history since Nov 13, 2001

-0.02

The correlation between VWALX and VWELX shifts across timeframes, from -0.02 (all time) to 0.25 (1 year), reflecting how their relationship changes across market environments.

VWALX vs. VWELX - Sectors Allocation Comparison

Sectors
VWALX
VWELX

Technology

0.0%
31.8%

Financial Services

0.0%
10.6%

Basic Materials

-

2.1%

Communication Services

-

12.3%

Consumer Cyclical

-

10.9%

Consumer Defensive

-

4.4%

Energy

-

4.4%

Healthcare

-

9.8%

Industrials

-

8.5%

Real Estate

-

2.6%

Utilities

-

2.5%

Technology

VWALX
0.0%
VWELX
31.8%

Financial Services

VWALX
0.0%
VWELX
10.6%

Basic Materials

VWALX

-

VWELX
2.1%

Communication Services

VWALX

-

VWELX
12.3%

Consumer Cyclical

VWALX

-

VWELX
10.9%

Consumer Defensive

VWALX

-

VWELX
4.4%

Energy

VWALX

-

VWELX
4.4%

Healthcare

VWALX

-

VWELX
9.8%

Industrials

VWALX

-

VWELX
8.5%

Real Estate

VWALX

-

VWELX
2.6%

Utilities

VWALX

-

VWELX
2.5%

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Vanguard High-Yield Tax-Exempt Fund Admiral Shares

Vanguard Wellington Fund Investor Shares

Often compared with VWALX:
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Often compared with VWELX:
VWELX vs. VWINXVWELX vs. VWENXVWELX vs. VBIAXVWELX vs. FBALXVWELX vs. VOOVWELX vs. PRWCXVWELX vs. VGWLX

Return for Risk

VWALX vs. VWELX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
VWALX
VWALX Risk / Return Rank: 7575
Overall Rank
VWALX Sharpe Ratio Rank: 8383
Sharpe Ratio Rank
VWALX Sortino Ratio Rank: 9090
Sortino Ratio Rank
VWALX Omega Ratio Rank: 9292
Omega Ratio Rank
VWALX Calmar Ratio Rank: 5858
Calmar Ratio Rank
VWALX Martin Ratio Rank: 5252
Martin Ratio Rank
VWELX
VWELX Risk / Return Rank: 6666
Overall Rank
VWELX Sharpe Ratio Rank: 6767
Sharpe Ratio Rank
VWELX Sortino Ratio Rank: 6565
Sortino Ratio Rank
VWELX Omega Ratio Rank: 6565
Omega Ratio Rank
VWELX Calmar Ratio Rank: 6060
Calmar Ratio Rank
VWELX Martin Ratio Rank: 7373
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.

VWALX vs. VWELX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard High-Yield Tax-Exempt Fund Admiral Shares (VWALX) and Vanguard Wellington Fund Investor Shares (VWELX). 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.

VWALXVWELXDifference
Sharpe ratioReturn per unit of total volatility
2.74
2.41

+0.32

Sortino ratioReturn per unit of downside risk
4.45
3.40

+1.05

Omega ratioGain probability vs. loss probability

1.71

1.45

+0.26

Calmar ratioReturn relative to maximum drawdown

2.92

2.99

-0.08

Martin ratioReturn relative to average drawdown

10.63

13.88

-3.25

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

VWALX vs. VWELX - Sharpe Ratio Comparison

The current VWALX Sharpe Ratio is 2.74, which is comparable to the VWELX Sharpe Ratio of 2.41. The chart below compares the historical Sharpe Ratios of VWALX and VWELX, 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

VWALXVWELXDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.74

2.41

+0.32

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.34

0.78

-0.44

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.68

0.88

-0.20

Sharpe Ratio (All Time)

Calculated using the full available price history

1.09

0.84

+0.25

Drawdowns

VWALX vs. VWELX - Drawdown Comparison

The maximum VWALX drawdown since its inception was -17.24%, smaller than the maximum VWELX drawdown of -36.12%. Use the drawdown chart below to compare losses from any high point for VWALX and VWELX.

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Drawdown Indicators

VWALXVWELXDifference

Max Drawdown

Largest peak-to-trough decline

-17.24%

-36.12%

+18.88%

Max Drawdown (1Y)

Largest decline over 1 year

-3.05%

-6.78%

+3.73%

Max Drawdown (3Y)

Largest decline over 3 years

-7.10%

-11.98%

+4.88%

Max Drawdown (5Y)

Largest decline over 5 years

-17.24%

-20.88%

+3.64%

Max Drawdown (10Y)

Largest decline over 10 years

-17.24%

-25.33%

+8.09%

Current Drawdown

Current decline from peak

0.00%

-0.67%

+0.67%

Average Drawdown

Average peak-to-trough decline

-2.17%

-3.92%

+1.75%

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.84%

1.46%

-0.62%

Volatility

VWALX vs. VWELX - Volatility Comparison

The current volatility for Vanguard High-Yield Tax-Exempt Fund Admiral Shares (VWALX) is 1.27%, while Vanguard Wellington Fund Investor Shares (VWELX) has a volatility of 2.61%. This indicates that VWALX experiences smaller price fluctuations and is considered to be less risky than VWELX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

VWALXVWELXDifference

Volatility (1M)

Calculated over the trailing 1-month period

1.27%

2.61%

-1.34%

Volatility (6M)

Calculated over the trailing 6-month period

2.39%

6.68%

-4.29%

Volatility (1Y)

Calculated over the trailing 1-year period

3.25%

8.41%

-5.16%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

4.81%

11.14%

-6.33%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

4.64%

11.53%

-6.89%

VWALX vs. VWELX - Expense Ratio Comparison

VWALX has a 0.09% expense ratio, which is lower than VWELX's 0.24% 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

VWALX vs. VWELX - Dividend Comparison

VWALX's dividend yield for the trailing twelve months is around 4.13%, less than VWELX's 10.83% yield.

PositionTTM20252024202320222021202020192018201720162015
VWALX
Vanguard High-Yield Tax-Exempt Fund Admiral Shares		4.13%5.04%4.47%3.59%3.44%3.04%3.40%4.03%3.85%3.77%3.86%3.75%
VWELX
Vanguard Wellington Fund Investor Shares		10.83%11.46%10.76%6.01%8.19%8.64%7.77%4.67%9.49%5.82%4.44%7.03%

Frequently Asked Questions

VWALX and VWELX have a correlation of 0.25, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

VWELX has higher volatility (2.61%) compared to VWALX (1.27%). In terms of maximum drawdown, VWALX dropped -17.24% vs VWELX's -36.12%.

VWALX currently has the higher Sharpe Ratio (2.74 vs 2.41), 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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