XHLF vs. VGUS

Last updated Jun 23, 2026

XHLF (BondBloxx Bloomberg Six Month Target Duration US Treasury ETF) and VGUS (Vanguard Ultra-Short Treasury ETF) are both exchange-traded funds - XHLF is a Government Bonds fund tracking the Bloomberg US Treasury 6 Month Duration Index, while VGUS is a Ultrashort Bond fund tracking the Bloomberg Short Treasury Index. Both are passively managed. Over the past year, XHLF returned 3.81% vs 3.86% for VGUS. At a 0.31 correlation, their price movements are largely independent. XHLF charges 0.03%/yr vs 0.07%/yr for VGUS.

Performance

XHLF vs. VGUS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in BondBloxx Bloomberg Six Month Target Duration US Treasury ETF (XHLF) and Vanguard Ultra-Short Treasury ETF (VGUS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XHLF achieves a 1.51% return, which is significantly lower than VGUS's 1.59% return.

XHLF

• 1D: 0.00%
• 1M: 0.20%
• YTD: 1.51%
• 6M: 1.61%
• 1Y: 3.81%
• 3Y*: 4.57%
• 5Y*: —
• 10Y*: —

VGUS

• 1D: 0.01%
• 1M: 0.18%
• YTD: 1.59%
• 6M: 1.69%
• 1Y: 3.86%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

XHLF vs. VGUS - Yearly Performance Comparison

	2026 (YTD)	2025
XHLF BondBloxx Bloomberg Six Month Target Duration US Treasury ETF	1.51%	3.80%
VGUS Vanguard Ultra-Short Treasury ETF	1.59%	3.78%

Correlation

The correlation between XHLF and VGUS is 0.27, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.27
Correlation (All Time) Calculated using the full available price history since Feb 11, 2025	0.31

Return for Risk

XHLF vs. VGUS — Risk / Return Rank

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

XHLF

XHLF Risk / Return Rank: 100
XHLF Sharpe Ratio Rank: 100
XHLF Sortino Ratio Rank: 100
XHLF Omega Ratio Rank: 99
XHLF Calmar Ratio Rank: 100
XHLF Martin Ratio Rank: 100

VGUS

VGUS Risk / Return Rank: 99
VGUS Sharpe Ratio Rank: 100
VGUS Sortino Ratio Rank: 99
VGUS Omega Ratio Rank: 99
VGUS Calmar Ratio Rank: 99
VGUS Martin Ratio Rank: 100

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.

XHLF vs. VGUS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BondBloxx Bloomberg Six Month Target Duration US Treasury ETF (XHLF) and Vanguard Ultra-Short Treasury ETF (VGUS). 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.

	XHLF	VGUS	Difference
Sharpe ratio: Return per unit of total volatility	12.03	11.86	+0.17
Sortino ratio: Return per unit of downside risk	43.46	34.14	+9.32
Omega ratio: Gain probability vs. loss probability	10.92	10.51	+0.41
Calmar ratio: Return relative to maximum drawdown	96.20	53.22	+42.98
Martin ratio: Return relative to average drawdown	638.15	402.91	+235.24

XHLF vs. VGUS - Sharpe Ratio Comparison

The current XHLF Sharpe Ratio is 12.03, which is comparable to the VGUS Sharpe Ratio of 11.86. The chart below compares the historical Sharpe Ratios of XHLF and VGUS, 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

XHLF vs. VGUS - Drawdown Comparison

The maximum XHLF drawdown since its inception was -0.11%, which is greater than VGUS's maximum drawdown of -0.07%. Use the drawdown chart below to compare losses from any high point for XHLF and VGUS.

Drawdown Indicators

	XHLF	VGUS	Difference
Max Drawdown Largest peak-to-trough decline	-0.11%	-0.07%	-0.04%
Max Drawdown (1Y) Largest decline over 1 year	-0.04%	-0.07%	+0.03%
Max Drawdown (3Y) Largest decline over 3 years	-0.06%	—	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-0.01%	-0.00%	-0.01%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.01%	0.01%	0.00%

Volatility

XHLF vs. VGUS - Volatility Comparison

The current volatility for BondBloxx Bloomberg Six Month Target Duration US Treasury ETF (XHLF) is 0.09%, while Vanguard Ultra-Short Treasury ETF (VGUS) has a volatility of 0.12%. This indicates that XHLF experiences smaller price fluctuations and is considered to be less risky than VGUS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XHLF	VGUS	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.09%	0.12%	-0.03%
Volatility (6M) Calculated over the trailing 6-month period	0.22%	0.18%	+0.04%
Volatility (1Y) Calculated over the trailing 1-year period	0.32%	0.33%	-0.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	0.42%	0.34%	+0.08%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	0.42%	0.34%	+0.08%

XHLF vs. VGUS - Expense Ratio Comparison

XHLF has a 0.03% expense ratio, which is lower than VGUS's 0.07% 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

XHLF vs. VGUS - Dividend Comparison

XHLF's dividend yield for the trailing twelve months is around 3.84%, more than VGUS's 3.60% yield.

Position	TTM	2025	2024	2023	2022
VGUS Vanguard Ultra-Short Treasury ETF	3.60%	3.12%	0.00%	0.00%	0.00%
XHLF BondBloxx Bloomberg Six Month Target Duration US Treasury ETF	3.84%	3.98%	4.96%	4.50%	0.86%

Frequently Asked Questions

Can I hold both XHLF and VGUS in my portfolio?

XHLF and VGUS have a correlation of 0.27, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XHLF or VGUS?

VGUS has higher volatility (0.12%) compared to XHLF (0.09%). In terms of maximum drawdown, XHLF dropped -0.11% vs VGUS's -0.07%.

Which ETF is better, XHLF or VGUS?

On 1-year performance, VGUS leads with 3.86% vs 3.81% for XHLF. On fees, XHLF is cheaper at 0.03% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XHLF or VGUS?

Over the 1-year period, VGUS has performed better with a 3.86% return vs 3.81%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XHLF or VGUS?

XHLF is cheaper with a 0.03% expense ratio, compared with 0.07% for VGUS.

Which ETF pays a higher dividend yield, XHLF or VGUS?

XHLF has the higher dividend yield at 3.84%, compared with 3.60% for VGUS.

What is the main difference between XHLF and VGUS?

XHLF is categorized as Government Bonds, while VGUS is Ultrashort Bond. XHLF tracks Bloomberg US Treasury 6 Month Duration Index, while VGUS tracks Bloomberg Short Treasury Index. They also come from different issuers: BondBloxx and Vanguard. Their fees differ too: 0.03% for XHLF and 0.07% for VGUS.

Which has better risk-adjusted returns?

XHLF currently has the higher Sharpe Ratio (12.03 vs 11.86), 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.