EDV vs VB

Quick Verdict

VB has a lower expense ratio. VB delivered stronger 1-year returns. VB offers more diversification with 1112 holdings.

Lower Fees: VBHigher Returns: VBMore Diversified: VB

Side-by-Side Comparison

MetricEDVVBWinner
Expense Ratio0.05%0.03%
AUM$3.5B$81.5B
Dividend Yield4.83%1.48%
Holdings831,324
YTD Return-4.55%+17.82%
1Y Return-4.35%+29.09%
3Y Return (annualized)-4.75%+16.24%
5Y Return (annualized)-12.33%+8.18%
Volatility (annualized)21.8%18.9%
Max Drawdown-62.0%-61.0%
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionDec 6, 2007Jan 26, 2004

EDV vs VB Performance

Vanguard Extended Duration Treasury ETF (EDV) is a ETF from Vanguard (US) and Vanguard Small Cap ETF (VB) is a ETF from Vanguard (US). Over the past year EDV returned -4.35% while VB returned +29.09%. Year to date, EDV is down 4.55% versus a gain of 17.82% for VB.

Over three years, EDV compounded at -4.75% per year against +16.24% for VB; over five years the annualized figures are -12.33% and +8.18% respectively. Across the full 19-year window we track, VB has the edge at +8.86% annualized vs -1.42%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

EDV has been the more volatile fund, with annualized monthly volatility of 21.8% compared with 18.9% for VB. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -62.0% for EDV and -61.0% for VB. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at -0.15. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

EDV charges 0.05% per year while VB charges 0.03%. On a $10,000 position that is $5 vs $3 annually, a gap of $2 per year that compounds over a long holding period. On income, EDV currently yields 4.83% against 1.48% for VB.

Holdings Overlap

0.0%overlap

EDV and VB share 0 holdings out of 1188 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, EDV or VB?

EDV has an expense ratio of 0.05% while VB charges 0.03%. VB is the cheaper option. On a $10,000 investment, that is $2 per year of difference.

Which performed better, EDV or VB?

Over the past year EDV returned -4.35% vs +29.09% for VB, so VB leads on 1-year performance. Over the longest common window we track (19 years), EDV annualized -1.42% vs +8.86% for VB. Past performance does not guarantee future results.

Which is riskier, EDV or VB?

EDV has been the more volatile fund at 21.8% annualized versus 18.9% for VB. Worst drawdown: EDV -62.0% vs VB -61.0%.

Should I hold both EDV and VB?

EDV and VB have a monthly-return correlation of -0.15, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between EDV and VB?

EDV and VB share 0 common holdings with a 0.0% weight overlap. Combined, they hold 1188 unique securities.

Which pays a higher dividend, EDV or VB?

EDV yields 4.83% while VB yields 1.48%, so EDV currently pays the higher dividend yield.

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