VGSH vs VXF

VGSH vs VXF

Which is better, VGSH or VXF?

Short Term Government Bond against Mid Cap Blend.

VGSH has a lower expense ratio. VXF led over 1Y, 3Y, 5Y and the full window.

Lower Fees: VGSHHigher Returns: VXF

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricVGSHVXF
Expense Ratio0.03%Best0.05%
AUM$34.7B$30.5B
Dividend Yield3.82%1.01%
Holdings943,385
YTD Return+0.70%+12.21%Best
1Y Return+1.92%+15.03%Best
3Y Return (annualized)+4.16%+17.90%Best
5Y Return (annualized)+1.86%+6.02%Best
Volatility (annualized)1.4%Best18.6%
Max Drawdown-6.7%Best-41.7%
$10,000 over 5 years$10,965$13,395Best
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
StyleShort Term Government BondMid Cap Blend
InceptionNov 19, 2009Dec 27, 2001

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Nov 23, 2009 to Sep 10, 2026 (16.8 years).

VGSH vs VXF growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

Compare VGSH against instead:VGSH vs SPYVGSH vs QQQVGSH vs VOOVGSH vs VTIVXF against:VXF vs VXUS

VGSH vs VXF Performance

Vanguard Short Term Treasury ETF (VGSH) is an ETF from Vanguard (US) and Vanguard Extended Market ETF (VXF) is an ETF from Vanguard (US). Over the past year VGSH returned +1.92% while VXF returned +15.03%. Year to date, VGSH is up 0.70% versus a gain of 12.21% for VXF.

Over three years, VGSH compounded at +4.16% per year against +17.90% for VXF; over five years the annualized figures are +1.86% and +6.02% respectively. Across the full 17-year window we track, VXF has the edge at +11.38% annualized vs +0.71%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXF has been the more volatile fund, with annualized monthly volatility of 18.6% 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 -41.7% for VXF. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at -0.04. They move largely independently of each other.

Fees and Cost Over Time

VGSH charges 0.03% per year while VXF charges 0.05%. On a $10,000 position that is $3 vs $5 annually, a gap of $2 per year that compounds over a long holding period. On income, VGSH currently yields 3.82% against 1.01% for VXF.

Holdings Overlap

We hold position weights for 16 holdings in VGSH and 3,295 in VXF, totalling 15.5% and 94.2% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 16 positions we hold weights for in VGSH and 3,295 in VXF, against full books of 94 and 3,385.

You are not choosing between two funds in isolation.

Whichever of VGSH and VXF you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

VGSHVXF

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Frequently Asked Questions

Which is cheaper, VGSH or VXF?

VGSH has an expense ratio of 0.03% while VXF charges 0.05%. VGSH is the cheaper option, by $2 a year on a $10,000 investment.

Which performed better, VGSH or VXF?

Over the past year VGSH returned +1.92% vs +15.03% for VXF, so VXF leads on 1-year performance. Over the longest common window we track (17 years), VGSH annualized +0.71% vs +11.38% for VXF. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, VGSH or VXF?

VXF has been the more volatile fund at 18.6% annualized versus 1.4% for VGSH. Worst drawdown: VGSH -6.7% vs VXF -41.7%.

Should I hold both VGSH and VXF?

VGSH and VXF have a monthly-return correlation of -0.04, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, VGSH or VXF?

VGSH yields 3.82% while VXF yields 1.01%, so VGSH currently pays the higher dividend yield.

Is VXF better than VGSH?

VGSH has a lower expense ratio. VXF led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.