VWOB vs. SMLV

Last updated Jun 9, 2026

VWOB (Vanguard Emerging Markets Government Bond ETF) and SMLV (SPDR SSGA US Small Cap Low Volatility Index ETF) are both exchange-traded funds - VWOB is a Emerging Markets Bonds fund tracking the Bloomberg USD Emerging Markets Government RIC Capped Index, while SMLV is a Volatility Hedged Equity fund tracking the SSGA US Small Cap Low Volatility Index. Both are passively managed. Over the past 10 years, VWOB returned 3.44%/yr vs 10.25%/yr for SMLV. At a 0.34 correlation, their price movements are largely independent. VWOB charges 0.15%/yr vs 0.12%/yr for SMLV.

Performance

VWOB vs. SMLV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Emerging Markets Government Bond ETF (VWOB) and SPDR SSGA US Small Cap Low Volatility Index ETF (SMLV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VWOB achieves a 0.95% return, which is significantly lower than SMLV's 14.81% return. Over the past 10 years, VWOB has underperformed SMLV with an annualized return of 3.44%, while SMLV has yielded a comparatively higher 10.25% annualized return.

VWOB

• 1D: -0.18%
• 1M: -0.48%
• YTD: 0.95%
• 6M: 1.64%
• 1Y: 10.16%
• 3Y*: 9.06%
• 5Y*: 1.85%
• 10Y*: 3.44%

SMLV

• 1D: 0.20%
• 1M: 1.40%
• YTD: 14.81%
• 6M: 15.50%
• 1Y: 23.44%
• 3Y*: 15.62%
• 5Y*: 8.02%
• 10Y*: 10.25%

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

VWOB vs. SMLV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VWOB Vanguard Emerging Markets Government Bond ETF	0.95%	13.49%	5.20%	10.68%	-17.39%	-1.80%	5.65%	14.46%	-2.92%	8.41%
SMLV SPDR SSGA US Small Cap Low Volatility Index ETF	14.81%	5.66%	16.77%	7.52%	-7.69%	27.67%	-1.55%	24.10%	-6.62%	5.68%

Correlation

The correlation between VWOB and SMLV is 0.44, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.44
Correlation (3Y) Calculated over the trailing 3-year period	0.43
Correlation (5Y) Calculated over the trailing 5-year period	0.41
Correlation (10Y) Calculated over the trailing 10-year period	0.36
Correlation (All Time) Calculated using the full available price history since Jun 5, 2013	0.34

The correlation between VWOB and SMLV shifts across timeframes, from 0.34 (all time) to 0.44 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

VWOB vs. SMLV — Risk / Return Rank

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

VWOB

VWOB Risk / Return Rank: 63
VWOB Sharpe Ratio Rank: 66
VWOB Sortino Ratio Rank: 70
VWOB Omega Ratio Rank: 71
VWOB Calmar Ratio Rank: 51
VWOB Martin Ratio Rank: 59

SMLV

SMLV Risk / Return Rank: 54
SMLV Sharpe Ratio Rank: 48
SMLV Sortino Ratio Rank: 49
SMLV Omega Ratio Rank: 49
SMLV Calmar Ratio Rank: 70
SMLV Martin Ratio Rank: 55

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.

VWOB vs. SMLV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Emerging Markets Government Bond ETF (VWOB) and SPDR SSGA US Small Cap Low Volatility Index ETF (SMLV). 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.

	VWOB	SMLV	Difference
Sharpe ratio: Return per unit of total volatility	1.97	1.50	+0.47
Sortino ratio: Return per unit of downside risk	2.85	2.17	+0.68
Omega ratio: Gain probability vs. loss probability	1.38	1.28	+0.10
Calmar ratio: Return relative to maximum drawdown	2.28	3.21	-0.93
Martin ratio: Return relative to average drawdown	9.60	8.78	+0.82
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VWOB vs. SMLV - Sharpe Ratio Comparison

The current VWOB Sharpe Ratio is 1.97, which is higher than the SMLV Sharpe Ratio of 1.50. The chart below compares the historical Sharpe Ratios of VWOB and SMLV, 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

	VWOB	SMLV	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.97	1.50	+0.47
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.20	0.44	-0.24
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.37	0.49	-0.12
Sharpe Ratio (All Time) Calculated using the full available price history	0.41	0.55	-0.14

Drawdowns

VWOB vs. SMLV - Drawdown Comparison

The maximum VWOB drawdown since its inception was -26.98%, smaller than the maximum SMLV drawdown of -42.45%. Use the drawdown chart below to compare losses from any high point for VWOB and SMLV.

Drawdown Indicators

	VWOB	SMLV	Difference
Max Drawdown Largest peak-to-trough decline	-26.98%	-42.45%	+15.47%
Max Drawdown (1Y) Largest decline over 1 year	-4.48%	-7.34%	+2.86%
Max Drawdown (3Y) Largest decline over 3 years	-7.71%	-20.40%	+12.69%
Max Drawdown (5Y) Largest decline over 5 years	-26.98%	-20.40%	-6.58%
Max Drawdown (10Y) Largest decline over 10 years	-26.98%	-42.45%	+15.47%
Current Drawdown Current decline from peak	-0.94%	0.00%	-0.94%
Average Drawdown Average peak-to-trough decline	-4.78%	-5.45%	+0.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.06%	2.68%	-1.62%

Volatility

VWOB vs. SMLV - Volatility Comparison

The current volatility for Vanguard Emerging Markets Government Bond ETF (VWOB) is 1.65%, while SPDR SSGA US Small Cap Low Volatility Index ETF (SMLV) has a volatility of 4.09%. This indicates that VWOB experiences smaller price fluctuations and is considered to be less risky than SMLV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VWOB	SMLV	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.65%	4.09%	-2.44%
Volatility (6M) Calculated over the trailing 6-month period	4.20%	9.92%	-5.72%
Volatility (1Y) Calculated over the trailing 1-year period	5.18%	15.73%	-10.55%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.18%	18.29%	-9.11%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	9.34%	20.96%	-11.62%

VWOB vs. SMLV - Expense Ratio Comparison

VWOB has a 0.15% expense ratio, which is higher than SMLV's 0.12% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VWOB vs. SMLV - Dividend Comparison

VWOB's dividend yield for the trailing twelve months is around 5.88%, more than SMLV's 2.31% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SMLV SPDR SSGA US Small Cap Low Volatility Index ETF	2.31%	2.74%	2.68%	2.68%	2.40%	2.12%	2.47%	2.62%	3.15%	7.92%	3.04%	2.63%
VWOB Vanguard Emerging Markets Government Bond ETF	5.88%	5.92%	6.08%	5.50%	5.30%	4.04%	4.18%	4.58%	4.52%	4.61%	4.71%	4.93%

Frequently Asked Questions

Can I hold both VWOB and SMLV in my portfolio?

VWOB and SMLV have a correlation of 0.44, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VWOB or SMLV?

SMLV has higher volatility (4.09%) compared to VWOB (1.65%). In terms of maximum drawdown, VWOB dropped -26.98% vs SMLV's -42.45%.

Which ETF is better, VWOB or SMLV?

On 10-year performance, SMLV leads with 10.25% vs 3.44% for VWOB. On fees, SMLV is cheaper at 0.12% per year. On volatility, VWOB has been the lower-risk option at 1.65%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VWOB or SMLV?

Over the 10-year period, SMLV has performed better with a 10.25% return vs 3.44%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VWOB or SMLV?

SMLV is cheaper with a 0.12% expense ratio, compared with 0.15% for VWOB.

Which ETF pays a higher dividend yield, VWOB or SMLV?

VWOB has the higher dividend yield at 5.88%, compared with 2.31% for SMLV.

What is the main difference between VWOB and SMLV?

VWOB is categorized as Emerging Markets Bonds, while SMLV is Volatility Hedged Equity. VWOB tracks Bloomberg USD Emerging Markets Government RIC Capped Index, while SMLV tracks SSGA US Small Cap Low Volatility Index. They also come from different issuers: Vanguard and State Street. Their fees differ too: 0.15% for VWOB and 0.12% for SMLV.

Which has better risk-adjusted returns?

VWOB currently has the higher Sharpe Ratio (1.97 vs 1.50), 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.