XSHD vs. VBR

Last updated Jun 9, 2026

XSHD (Invesco S&P SmallCap High Dividend Low Volatility ETF) and VBR (Vanguard Small-Cap Value ETF) are both exchange-traded funds - XSHD is a Volatility Hedged Equity fund tracking the S&P SmallCap 600 Low Volatility High Dividend Index, while VBR is a Small Cap Value Equities fund tracking the CRSP US Small Cap Value Index. Both are passively managed. Over the past 5 years, XSHD returned -5.48%/yr vs 7.78%/yr for VBR. Their correlation of 0.86 suggests significant overlap in exposure. XSHD charges 0.30%/yr vs 0.05%/yr for VBR.

Performance

XSHD vs. VBR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD) and Vanguard Small-Cap Value ETF (VBR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XSHD achieves a 8.35% return, which is significantly lower than VBR's 11.45% return.

XSHD

• 1D: -0.07%
• 1M: -0.38%
• YTD: 8.35%
• 6M: 9.38%
• 1Y: 7.68%
• 3Y*: 1.27%
• 5Y*: -5.48%
• 10Y*: —

VBR

• 1D: 0.16%
• 1M: 0.48%
• YTD: 11.45%
• 6M: 12.14%
• 1Y: 24.85%
• 3Y*: 15.60%
• 5Y*: 7.78%
• 10Y*: 10.50%

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

XSHD vs. VBR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XSHD Invesco S&P SmallCap High Dividend Low Volatility ETF	8.35%	-6.41%	-5.25%	3.00%	-19.48%	18.31%	-13.55%	17.91%	-7.86%	1.52%
VBR Vanguard Small-Cap Value ETF	11.45%	9.09%	12.40%	16.00%	-9.38%	28.08%	5.90%	22.78%	-12.28%	11.81%

Correlation

The correlation between XSHD and VBR is 0.79, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.79
Correlation (3Y) Calculated over the trailing 3-year period	0.87
Correlation (5Y) Calculated over the trailing 5-year period	0.88
Correlation (All Time) Calculated using the full available price history since Dec 2, 2016	0.86

The correlation between XSHD and VBR has been stable across timeframes, ranging from 0.79 to 0.88 - a consistent structural relationship.

XSHD vs. VBR - Sectors Allocation Comparison

Sectors	XSHD	VBR
Real Estate	45.1%	10.1%
Utilities	10.7%	4.8%
Industrials	10.4%	18.1%
Consumer Defensive	9.6%	4.0%
Energy	7.6%	5.2%
Consumer Cyclical	6.8%	12.4%
Basic Materials	5.4%	6.3%
Healthcare	2.7%	7.9%
Financial Services	2.2%	17.6%
Communication Services	1.9%	2.5%
Technology	-	10.6%

Return for Risk

XSHD vs. VBR — Risk / Return Rank

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

XSHD

XSHD Risk / Return Rank: 19
XSHD Sharpe Ratio Rank: 18
XSHD Sortino Ratio Rank: 19
XSHD Omega Ratio Rank: 17
XSHD Calmar Ratio Rank: 19
XSHD Martin Ratio Rank: 19

VBR

VBR Risk / Return Rank: 57
VBR Sharpe Ratio Rank: 53
VBR Sortino Ratio Rank: 56
VBR Omega Ratio Rank: 51
VBR Calmar Ratio Rank: 62
VBR Martin Ratio Rank: 61

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.

XSHD vs. VBR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD) and Vanguard Small-Cap Value ETF (VBR). 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.

	XSHD	VBR	Difference
Sharpe ratio: Return per unit of total volatility	0.52	1.65	-1.13
Sortino ratio: Return per unit of downside risk	0.87	2.43	-1.57
Omega ratio: Gain probability vs. loss probability	1.10	1.29	-0.19
Calmar ratio: Return relative to maximum drawdown	0.73	2.82	-2.09
Martin ratio: Return relative to average drawdown	1.98	9.94	-7.96
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XSHD vs. VBR - Sharpe Ratio Comparison

The current XSHD Sharpe Ratio is 0.52, which is lower than the VBR Sharpe Ratio of 1.65. The chart below compares the historical Sharpe Ratios of XSHD and VBR, 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

	XSHD	VBR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.52	1.65	-1.13
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.29	0.40	-0.69
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.49	—
Sharpe Ratio (All Time) Calculated using the full available price history	-0.03	0.42	-0.44

Drawdowns

XSHD vs. VBR - Drawdown Comparison

The maximum XSHD drawdown since its inception was -49.53%, smaller than the maximum VBR drawdown of -61.98%. Use the drawdown chart below to compare losses from any high point for XSHD and VBR.

Drawdown Indicators

	XSHD	VBR	Difference
Max Drawdown Largest peak-to-trough decline	-49.53%	-61.98%	+12.45%
Max Drawdown (1Y) Largest decline over 1 year	-10.51%	-8.85%	-1.66%
Max Drawdown (3Y) Largest decline over 3 years	-20.77%	-24.19%	+3.42%
Max Drawdown (5Y) Largest decline over 5 years	-36.48%	-24.19%	-12.29%
Max Drawdown (10Y) Largest decline over 10 years	—	-45.28%	—
Current Drawdown Current decline from peak	-24.54%	-0.95%	-23.59%
Average Drawdown Average peak-to-trough decline	-16.37%	-8.26%	-8.11%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.89%	2.51%	+1.38%

Volatility

XSHD vs. VBR - Volatility Comparison

The current volatility for Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD) is 3.44%, while Vanguard Small-Cap Value ETF (VBR) has a volatility of 3.67%. This indicates that XSHD experiences smaller price fluctuations and is considered to be less risky than VBR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XSHD	VBR	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.44%	3.67%	-0.23%
Volatility (6M) Calculated over the trailing 6-month period	9.70%	10.49%	-0.79%
Volatility (1Y) Calculated over the trailing 1-year period	14.77%	15.16%	-0.39%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.88%	19.77%	-0.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.23%	21.74%	+0.49%

XSHD vs. VBR - Expense Ratio Comparison

XSHD has a 0.30% expense ratio, which is higher than VBR's 0.05% expense ratio.

Dividends

XSHD vs. VBR - Dividend Comparison

XSHD's dividend yield for the trailing twelve months is around 5.34%, more than VBR's 1.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VBR Vanguard Small-Cap Value ETF	1.76%	1.95%	1.98%	2.12%	2.03%	1.75%	1.68%	2.06%	2.35%	1.79%	1.77%	1.99%
XSHD Invesco S&P SmallCap High Dividend Low Volatility ETF	5.34%	6.45%	7.25%	7.62%	6.77%	3.86%	5.55%	4.88%	5.49%	4.11%	0.41%	0.00%

Frequently Asked Questions

Can I hold both XSHD and VBR in my portfolio?

XSHD and VBR have a correlation of 0.79, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, XSHD or VBR?

VBR has higher volatility (3.67%) compared to XSHD (3.44%). In terms of maximum drawdown, XSHD dropped -49.53% vs VBR's -61.98%.

Which ETF is better, XSHD or VBR?

On 5-year performance, VBR leads with 7.78% vs -5.48% for XSHD. On fees, VBR is cheaper at 0.05% per year. On volatility, XSHD has been the lower-risk option at 3.44%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XSHD or VBR?

Over the 5-year period, VBR has performed better with a 7.78% return vs -5.48%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XSHD or VBR?

VBR is cheaper with a 0.05% expense ratio, compared with 0.30% for XSHD.

Which ETF pays a higher dividend yield, XSHD or VBR?

XSHD has the higher dividend yield at 5.34%, compared with 1.76% for VBR.

What is the main difference between XSHD and VBR?

XSHD is categorized as Volatility Hedged Equity, while VBR is Small Cap Value Equities. XSHD tracks S&P SmallCap 600 Low Volatility High Dividend Index, while VBR tracks CRSP US Small Cap Value Index. They also come from different issuers: Invesco and Vanguard. Their fees differ too: 0.30% for XSHD and 0.05% for VBR.

Which has better risk-adjusted returns?

VBR currently has the higher Sharpe Ratio (1.65 vs 0.52), 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.