XGB.TO vs. VCIT

Last updated Apr 1, 2026

Compare and contrast key facts about iShares Core Canadian Government Bond Index ETF (XGB.TO) and Vanguard Intermediate-Term Corporate Bond ETF (VCIT).

XGB.TO and VCIT are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. XGB.TO is a passively managed fund by iShares that tracks the performance of the Morningstar Can Core Bd GR CAD. It was launched on Nov 6, 2006. VCIT is a passively managed fund by Vanguard that tracks the performance of the Barclays U.S. 5-10 Year Corp Index. It was launched on Nov 19, 2009. Both XGB.TO and VCIT are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

XGB.TO vs. VCIT - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in iShares Core Canadian Government Bond Index ETF (XGB.TO) and Vanguard Intermediate-Term Corporate Bond ETF (VCIT). The values are adjusted to include any dividend payments, if applicable.

XGB.TO vs. VCIT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XGB.TO iShares Core Canadian Government Bond Index ETF	0.20%	1.65%	3.54%	5.57%	-12.25%	-3.11%	8.14%	6.10%	1.34%	1.71%
VCIT Vanguard Intermediate-Term Corporate Bond ETF	0.90%	4.32%	12.06%	6.58%	-7.85%	-2.65%	7.61%	8.49%	6.60%	-1.40%

Different Trading Currencies

XGB.TO is traded in CAD, while VCIT is traded in USD. To make them comparable, the VCIT values have been converted to CAD using the latest available exchange rates.

Returns By Period

In the year-to-date period, XGB.TO achieves a 0.20% return, which is significantly lower than VCIT's 0.90% return. Over the past 10 years, XGB.TO has underperformed VCIT with an annualized return of 1.07%, while VCIT has yielded a comparatively higher 3.75% annualized return.

XGB.TO

• 1D: 0.21%
• 1M: -2.15%
• YTD: 0.20%
• 6M: -0.38%
• 1Y: -0.04%
• 3Y*: 2.64%
• 5Y*: 0.03%
• 10Y*: 1.07%

VCIT

• 1D: 0.43%
• 1M: -0.04%
• YTD: 0.90%
• 6M: 0.60%
• 1Y: 2.54%
• 3Y*: 6.56%
• 5Y*: 3.53%
• 10Y*: 3.75%

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

XGB.TO vs. VCIT - Expense Ratio Comparison

XGB.TO has a 0.13% expense ratio, which is higher than VCIT's 0.04% 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%.

XGB.TO

iShares Core Canadian Government Bond Index ETF

VCIT

Vanguard Intermediate-Term Corporate Bond ETF

Return for Risk

XGB.TO vs. VCIT — Risk / Return Rank

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

XGB.TO

XGB.TO Risk / Return Rank: 12
XGB.TO Sharpe Ratio Rank: 12
XGB.TO Sortino Ratio Rank: 10
XGB.TO Omega Ratio Rank: 10
XGB.TO Calmar Ratio Rank: 14
XGB.TO Martin Ratio Rank: 14

VCIT

VCIT Risk / Return Rank: 74
VCIT Sharpe Ratio Rank: 74
VCIT Sortino Ratio Rank: 73
VCIT Omega Ratio Rank: 67
VCIT Calmar Ratio Rank: 80
VCIT Martin Ratio Rank: 75

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.

XGB.TO vs. VCIT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core Canadian Government Bond Index ETF (XGB.TO) and Vanguard Intermediate-Term Corporate Bond ETF (VCIT). 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.

	XGB.TO	VCIT	Difference
Sharpe ratio Return per unit of total volatility	-0.01	0.39	-0.40
Sortino ratio Return per unit of downside risk	0.02	0.57	-0.55
Omega ratio Gain probability vs. loss probability	1.00	1.07	-0.07
Calmar ratio Return relative to maximum drawdown	0.09	0.54	-0.45
Martin ratio Return relative to average drawdown	0.18	1.26	-1.07
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XGB.TO vs. VCIT - Sharpe Ratio Comparison

The current XGB.TO Sharpe Ratio is -0.01, which is lower than the VCIT Sharpe Ratio of 0.39. The chart below compares the historical Sharpe Ratios of XGB.TO and VCIT, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	XGB.TO	VCIT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.01	0.39	-0.40
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.00	0.46	-0.45
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.18	0.46	-0.28
Sharpe Ratio (All Time) Calculated using the full available price history	0.51	0.68	-0.17

Correlation

The correlation between XGB.TO and VCIT is 0.54, which is considered to be moderate. This suggests that the two assets have some degree of positive relationship in their price movements. Moderate correlation can be acceptable for portfolio diversification, offering a balance between risk and potential returns.

Dividends

XGB.TO vs. VCIT - Dividend Comparison

XGB.TO's dividend yield for the trailing twelve months is around 3.13%, less than VCIT's 4.72% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
XGB.TO iShares Core Canadian Government Bond Index ETF	3.13%	3.11%	2.95%	2.73%	2.64%	2.25%	2.12%	2.32%	2.44%	2.41%	2.53%	2.62%
VCIT Vanguard Intermediate-Term Corporate Bond ETF	4.72%	4.62%	4.43%	3.72%	3.03%	2.87%	2.78%	3.37%	3.61%	3.21%	3.29%	3.34%

Drawdowns

XGB.TO vs. VCIT - Drawdown Comparison

The maximum XGB.TO drawdown since its inception was -19.53%, which is greater than VCIT's maximum drawdown of -18.31%. Use the drawdown chart below to compare losses from any high point for XGB.TO and VCIT.

Drawdown Indicators

	XGB.TO	VCIT	Difference
Max Drawdown Largest peak-to-trough decline	-19.53%	-20.56%	+1.03%
Max Drawdown (1Y) Largest decline over 1 year	-3.44%	-2.99%	-0.45%
Max Drawdown (5Y) Largest decline over 5 years	-16.44%	-20.56%	+4.12%
Max Drawdown (10Y) Largest decline over 10 years	-19.53%	-20.56%	+1.03%
Current Drawdown Current decline from peak	-6.53%	-1.98%	-4.55%
Average Drawdown Average peak-to-trough decline	-3.92%	-3.18%	-0.74%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.71%	0.85%	+0.86%

Volatility

XGB.TO vs. VCIT - Volatility Comparison

The current volatility for iShares Core Canadian Government Bond Index ETF (XGB.TO) is 2.02%, while Vanguard Intermediate-Term Corporate Bond ETF (VCIT) has a volatility of 2.36%. This indicates that XGB.TO experiences smaller price fluctuations and is considered to be less risky than VCIT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XGB.TO	VCIT	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.02%	2.36%	-0.34%
Volatility (6M) Calculated over the trailing 6-month period	3.09%	4.34%	-1.25%
Volatility (1Y) Calculated over the trailing 1-year period	4.84%	6.58%	-1.74%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.90%	7.76%	-0.86%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.96%	8.11%	-2.15%