VXF vs. VB

Last updated Jun 23, 2026

VXF (Vanguard Extended Market ETF) and VB (Vanguard Small-Cap ETF) are both exchange-traded funds - VXF is a Mid Cap Blend Equities fund tracking the S&P Completion Index, while VB is a Small Cap Blend Equities fund tracking the CRSP US Small Cap Index. Both are passively managed. Over the past 10 years, VXF returned 12.63%/yr vs 11.79%/yr for VB. With a 0.98 correlation, they move nearly in lockstep. Both charge a 0.05% expense ratio.

Performance

VXF vs. VB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Extended Market ETF (VXF) and Vanguard Small-Cap ETF (VB). 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 VXF having a 15.53% return and VB slightly higher at 15.68%. Over the past 10 years, VXF has outperformed VB with an annualized return of 12.63%, while VB has yielded a comparatively lower 11.79% annualized return.

VXF

• 1D: -0.10%
• 1M: 4.34%
• YTD: 15.53%
• 6M: 12.62%
• 1Y: 30.55%
• 3Y*: 20.27%
• 5Y*: 6.38%
• 10Y*: 12.63%

VB

• 1D: 0.26%
• 1M: 2.83%
• YTD: 15.68%
• 6M: 13.00%
• 1Y: 30.17%
• 3Y*: 17.54%
• 5Y*: 7.39%
• 10Y*: 11.79%

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

VXF vs. VB - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VXF Vanguard Extended Market ETF	15.53%	11.40%	16.89%	25.51%	-26.52%	12.31%	32.45%	27.96%	-9.34%	18.06%
VB Vanguard Small-Cap ETF	15.68%	8.87%	14.17%	18.22%	-17.51%	17.57%	19.19%	27.34%	-9.34%	16.26%

Correlation

The correlation between VXF and VB is 0.97 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.97
Correlation (3Y) Calculated over the trailing 3-year period	0.98
Correlation (5Y) Calculated over the trailing 5-year period	0.98
Correlation (10Y) Calculated over the trailing 10-year period	0.98
Correlation (All Time) Calculated using the full available price history since Jan 30, 2004	0.98

The correlation between VXF and VB has been stable across timeframes, ranging from 0.97 to 0.98 - a consistent structural relationship.

VXF vs. VB - Sectors Allocation Comparison

Sectors	VXF	VB
Technology	22.8%	19.4%
Industrials	19.3%	20.6%
Financial Services	14.0%	12.3%
Healthcare	12.9%	11.3%
Consumer Cyclical	9.2%	10.9%
Real Estate	5.8%	7.5%
Energy	4.4%	4.2%
Basic Materials	4.2%	4.7%
Communication Services	3.2%	3.0%
Consumer Defensive	2.5%	3.1%
Utilities	1.9%	3.1%

Return for Risk

VXF vs. VB — Risk / Return Rank

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

VXF

VXF Risk / Return Rank: 55
VXF Sharpe Ratio Rank: 52
VXF Sortino Ratio Rank: 51
VXF Omega Ratio Rank: 47
VXF Calmar Ratio Rank: 63
VXF Martin Ratio Rank: 61

VB

VB Risk / Return Rank: 60
VB Sharpe Ratio Rank: 56
VB Sortino Ratio Rank: 56
VB Omega Ratio Rank: 52
VB Calmar Ratio Rank: 69
VB Martin Ratio Rank: 69

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.

VXF vs. VB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Extended Market ETF (VXF) and Vanguard Small-Cap ETF (VB). 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.

	VXF	VB	Difference
Sharpe ratio: Return per unit of total volatility	1.72	1.82	-0.10
Sortino ratio: Return per unit of downside risk	2.40	2.59	-0.19
Omega ratio: Gain probability vs. loss probability	1.29	1.31	-0.02
Calmar ratio: Return relative to maximum drawdown	3.01	3.38	-0.37
Martin ratio: Return relative to average drawdown	10.57	12.38	-1.81

VXF vs. VB - Sharpe Ratio Comparison

The current VXF Sharpe Ratio is 1.72, which is comparable to the VB Sharpe Ratio of 1.82. The chart below compares the historical Sharpe Ratios of VXF and VB, 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

VXF vs. VB - Drawdown Comparison

The maximum VXF drawdown since its inception was -58.03%, roughly equal to the maximum VB drawdown of -59.56%. Use the drawdown chart below to compare losses from any high point for VXF and VB.

Drawdown Indicators

	VXF	VB	Difference
Max Drawdown Largest peak-to-trough decline	-58.03%	-59.56%	+1.53%
Max Drawdown (1Y) Largest decline over 1 year	-10.21%	-8.98%	-1.23%
Max Drawdown (3Y) Largest decline over 3 years	-26.92%	-25.36%	-1.56%
Max Drawdown (5Y) Largest decline over 5 years	-36.39%	-28.15%	-8.24%
Max Drawdown (10Y) Largest decline over 10 years	-41.72%	-42.05%	+0.33%
Current Drawdown Current decline from peak	-0.19%	-0.39%	+0.20%
Average Drawdown Average peak-to-trough decline	-9.54%	-8.42%	-1.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.90%	2.44%	+0.46%

Volatility

VXF vs. VB - Volatility Comparison

Vanguard Extended Market ETF (VXF) has a higher volatility of 6.09% compared to Vanguard Small-Cap ETF (VB) at 4.92%. This indicates that VXF's price experiences larger fluctuations and is considered to be riskier than VB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VXF	VB	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.09%	4.92%	+1.17%
Volatility (6M) Calculated over the trailing 6-month period	13.24%	12.21%	+1.03%
Volatility (1Y) Calculated over the trailing 1-year period	17.84%	16.66%	+1.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.43%	20.78%	+1.65%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.34%	21.45%	+0.89%

VXF vs. VB - Expense Ratio Comparison

Both VXF and VB have an expense ratio of 0.05%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VXF vs. VB - Dividend Comparison

VXF's dividend yield for the trailing twelve months is around 1.01%, less than VB's 1.18% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VB Vanguard Small-Cap ETF	1.18%	1.33%	1.30%	1.55%	1.59%	1.24%	1.14%	1.39%	1.67%	1.35%	1.50%	1.48%
VXF Vanguard Extended Market ETF	1.01%	1.14%	1.09%	1.27%	1.15%	1.13%	1.07%	1.30%	1.66%	1.25%	1.43%	1.35%

Frequently Asked Questions

Can I hold both VXF and VB in my portfolio?

With a correlation of 0.97, VXF and VB move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, VXF or VB?

VXF has higher volatility (6.09%) compared to VB (4.92%). In terms of maximum drawdown, VXF dropped -58.03% vs VB's -59.56%.

Which ETF is better, VXF or VB?

On 10-year performance, VXF leads with 12.63% vs 11.79% for VB. Both ETFs have the same 0.05% expense ratio. On volatility, VB has been the lower-risk option at 4.92%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VXF or VB?

Over the 10-year period, VXF has performed better with a 12.63% return vs 11.79%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VXF or VB?

VXF and VB have the same expense ratio: 0.05% per year.

Which ETF pays a higher dividend yield, VXF or VB?

VB has the higher dividend yield at 1.18%, compared with 1.01% for VXF.

What is the main difference between VXF and VB?

VXF is categorized as Mid Cap Blend Equities, while VB is Small Cap Blend Equities. VXF tracks S&P Completion Index, while VB tracks CRSP US Small Cap Index.

Which has better risk-adjusted returns?

VB currently has the higher Sharpe Ratio (1.82 vs 1.72), 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.