VGSH vs VIPIX
Vanguard Short Term Treasury ETF vs Vanguard Inflation Protected Securities Fund Insti Shs
Quick Verdict
VGSH has a lower expense ratio. VGSH delivered stronger 1-year returns. VGSH offers more diversification with 94 holdings.
Side-by-Side Comparison
| Metric | VGSH | VIPIX | Winner |
|---|---|---|---|
| Expense Ratio | 0.03% | 0.07% | |
| AUM | $34.7B | $12.4B | |
| Dividend Yield | 3.85% | 5.21% | |
| Holdings | 94 | 63 | |
| YTD Return | +1.13% | -0.96% | |
| 1Y Return | +2.95% | -3.04% | |
| 3Y Return (annualized) | +4.38% | -0.29% | |
| 5Y Return (annualized) | +1.95% | -4.77% | |
| Volatility (annualized) | 1.4% | 6.7% | |
| Max Drawdown | -6.7% | -24.5% | |
| Fund Family | Vanguard (US) | Vanguard (US) | |
| Category | Fixed Income | Fixed Income | |
| Inception | Nov 19, 2009 | Dec 12, 2003 |
VGSH vs VIPIX Performance
Vanguard Short Term Treasury ETF (VGSH) is a ETF from Vanguard (US) and Vanguard Inflation Protected Securities Fund Insti Shs (VIPIX) is a mutual fund from Vanguard (US). Over the past year VGSH returned +2.95% while VIPIX returned -3.04%. Year to date, VGSH is up 1.13% versus a loss of 0.96% for VIPIX.
Over three years, VGSH compounded at +4.38% per year against -0.29% for VIPIX; over five years the annualized figures are +1.95% and -4.77% respectively. Across the full 5-year window we track, VGSH has the edge at +0.73% annualized vs -4.77%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VIPIX has been the more volatile fund, with annualized monthly volatility of 6.7% compared with 1.4% for VGSH. 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 -6.7% for VGSH and -24.5% for VIPIX. 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 0.67. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
VGSH charges 0.03% per year while VIPIX charges 0.07%. On a $10,000 position that is $3 vs $7 annually, a gap of $4 per year that compounds over a long holding period. On income, VGSH currently yields 3.85% against 5.21% for VIPIX.
Holdings Overlap
VGSH and VIPIX share 0 holdings out of 71 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, VGSH or VIPIX?
VGSH has an expense ratio of 0.03% while VIPIX charges 0.07%. VGSH is the cheaper option. On a $10,000 investment, that is $4 per year of difference.
Which performed better, VGSH or VIPIX?
Over the past year VGSH returned +2.95% vs -3.04% for VIPIX, so VGSH leads on 1-year performance. Over the longest common window we track (5 years), VGSH annualized +0.73% vs -4.77% for VIPIX. Past performance does not guarantee future results.
Which is riskier, VGSH or VIPIX?
VIPIX has been the more volatile fund at 6.7% annualized versus 1.4% for VGSH. Worst drawdown: VGSH -6.7% vs VIPIX -24.5%.
Should I hold both VGSH and VIPIX?
VGSH and VIPIX have a monthly-return correlation of 0.67, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between VGSH and VIPIX?
VGSH and VIPIX share 0 common holdings with a 0.0% weight overlap. Combined, they hold 71 unique securities.
Which pays a higher dividend, VGSH or VIPIX?
VGSH yields 3.85% while VIPIX yields 5.21%, so VIPIX currently pays the higher dividend yield.
Popular Fund Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.