# How Vanguard Morningstar Small-Cap Value ETF (VBR) compares with the whole market and its popular alternatives

> Source: EasyCompare research, https://easycompare.io/research/vbr
> Data as of October 20, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on VBR alone. It places VBR (Vanguard Morningstar Small-Cap Value ETF) against 20+ popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where VBR stands in the market, and of the alternatives worth a closer look.

Period covered: VBR's full trading record, from January 2004 through September 2026. The crash tests reach back to 2000 using older funds and the S&P 500. All returns include reinvested dividends. Data as of October 20, 2026.

## Key findings

- **Right now:** VBR has trailed the market, rising 3.3% over the past 6 months against 9.1% for the S&P 500 and 11.2% for the Nasdaq 100. Its similar funds were far apart over the past 6 months, from CALF (Pacer US Small Cap Cash Cows ETF, up 19.7%) to SCHA (Schwab U.S. Small-Cap ETF, up 1.1%).
- **Fund or market?:** VBR fell 1.0% over the past 3 months, 4.5 points ahead of the small-cap stock ETF IWM (iShares Russell 2000 ETF), which fell 5.4%. The S&P 500 rose 3.9%. Its similar funds did not move as one over the past 3 months: CALF (Pacer US Small Cap Cash Cows ETF) rose 9.4%, while AVUV (Avantis U.S. Small Cap Value ETF) fell 2.6%.
- **Long term:** Over the past decade, VBR returned 10.4% a year against 15.5% a year for the S&P 500 (169% in total against 321%). Even so, over the past decade, only XSVM (Invesco S&P SmallCap Value with Momentum ETF) of its similar funds outpaced VBR.
- **In a crash:** VBR fell harder than the S&P 500 in five of six sell-offs. The 2022 bear market was the exception: VBR fell 20.4%, less than the S&P 500's 24.5%.
- **Diversification:** Against the S&P 500, VBR has a correlation of 0.82 over 5 years, more closely than 67% of ETFs with at least $100 million in assets. Next to an index fund it is more of the same, not a cushion.
- **Better options**
  - **Popular alternatives:** VTV (Vanguard Morningstar Value ETF) and VOE (Vanguard Morningstar Mid-Cap Value ETF) earned more than VBR with less volatility over the past 5 years. VTV returned 12.1% a year at 13.7% volatility, against 8.2% a year at 19.4%.
  - **Same exposure, lower fee:** A cheaper fund that has kept up over the past decade is VB (Vanguard Morningstar Small-Cap ETF, 0.03% a year against 0.05%).
  - **Nearby categories and themes:** RWL (Invesco S&P 500 Revenue ETF, US large-cap equity) and LVHI (Franklin International Low Volatility High Dividend Index ETF, international equity) earned more than VBR with less volatility over the past 5 years. RWL returned 13.7% a year at 14.4% volatility, against 8.2% a year at 19.4%.

## How much would $10,000 in VBR have grown?

This chart tracks a hypothetical $10,000 investment in VBR over the past 22 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of VBR over the same span and VBR's popular alternatives, among those that traded for the entire period.

- $10,000 invested in VBR at the end of September 2004 would have grown to $70,630 by September 2026, less than the $102,174 it would have become in SPY, an S&P 500 fund.
- Five of the eight other investments on the chart ended ahead of VBR, and VTI finished highest, at $103,071.

## VBR at a glance

This section summarizes the key facts about the fund, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout.

- VBR's deepest decline since it began trading in 2004 was 62.0%, from June 2007 to March 2009. It took 23 months from the low to climb back to its old high.
- Over 21 full calendar years, VBR's best was 2013, when it returned 36.6%, and its worst was 2008, when it lost 32.2%. It lost money in six of those years.
- VBR is 4.7% below its all-time high.

- Type: ETF, Broad Market (Asset Management)
- Trading since: January 30, 2004
- Assets: $64B
- Expense ratio: 0.05%
- Volatility (5 years): 19.4%; Sharpe ratio: 0.51
- Worst decline ever: −62.0%, from June 4, 2007 to March 9, 2009; back at its high by February 14, 2011

| Period | VBR total return |
| --- | --- |
| 1 month | +0.6% |
| 3 months | −1.0% |
| 6 months | +3.3% |
| year to date | +13.0% |
| 1 year | +16.8% |
| 3 years | +66.7% |
| 5 years | +48.6% |
| 10 years | +169% |

## VBR against the whole market

Where VBR ranks among every stock and fund, and what across the market has done better.

### How does VBR rank among all ETFs?

This section ranks VBR on return, volatility, risk-adjusted return and worst decline against every ETF worth at least $100 million with enough history.

- VBR lands in the broad middle of the market on every measure here. VBR's 1-year return ranks in the top 26% of the 2,485 ETFs with at least $100 million in assets with 1 year of history.

| Measure | VBR | Rank |
| --- | --- | --- |
| 1-year return | +16.8% | 637 of 2,485 (top 26%) |
| 3-year return | +66.7% | 846 of 1,949 (top 44%) |
| 5-year return | +48.6% | 704 of 1,560 (top 46%) |
| 10-year return | +169% | 388 of 958 (top 41%) |
| Volatility, 5 years | 19.4% | 1,075 of 1,560 (top 69%) |
| Sharpe ratio, 5 years | 0.51 | 908 of 1,560 (top 59%) |
| Worst decline, past 10 years | −45.3% | 712 of 951 (top 75%) |

### What has beaten VBR on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer).

- Seven stocks and 249 ETFs worth at least $500 million sit in the green region: each earned more than VBR over the past 5 years with smaller price swings. That is 7% of the 3,633 screened.
- Among those with at least half VBR's swings, LVHI has the best return for its risk: 17.0% a year at 11.1% volatility, 43% less than VBR's 19.4%, and a Sharpe ratio (return above cash per unit of volatility) of 1.48 against 0.51 for VBR. SDCI earned the most, 20.6% a year, while still swinging less than VBR (18.4% against 19.4%).
- Among VBR's popular alternatives, VTV and VOE are in the region. VTV earned 12.1% a year against 8.2% a year for VBR, at 13.7% volatility, 29% less than VBR's 19.4%.

### Is there a better investment than VBR?

The table below lists investments that beat VBR over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes, and, for funds, the same exposure at a lower expense ratio.

- Among VBR's popular alternatives, VTV and VOE earned more than VBR with less volatility over the past 5 years. VTV returned 12.1% a year at 13.7% volatility, against 8.2% a year at 19.4%.
- A cheaper fund that has kept up over the past decade is VB (0.03% a year against 0.05%).
- Looking beyond its popular alternatives, RWL (US large-cap equity) and LVHI (international equity) earned more than VBR with less volatility over the past 5 years. RWL returned 13.7% a year at 14.4% volatility, against 8.2% a year at 19.4%.

The 15 strongest of 256 investments that beat VBR over the past 5 years, out of 3,633 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with VBR | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| VBR: Vanguard Morningstar Small-Cap Value ETF (this page) |  | +8.2% | 19.4% | 0.51 | −45.3% | +169% |  |  |
| [JNJ](https://easycompare.io/research/jnj): Johnson & Johnson | Pharmaceuticals | +12.7% | 17.9% | 0.76 | −27.4% | +196% | 0.35 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [KO](https://easycompare.io/research/ko): The Coca-Cola Company | Food & Beverages | +14.7% | 16.8% | 0.91 | −37.0% | +204% | 0.35 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [VYM](https://easycompare.io/research/vym): Vanguard High Dividend Yield ETF | US Dividend Equity | +11.3% | 13.8% | 0.85 | −35.2% | +208% | 0.91 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [SCHD](https://easycompare.io/research/schd): Schwab U.S. Dividend Equity ETF | US Dividend Equity | +9.7% | 14.3% | 0.72 | −33.4% | +252% | 0.86 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [RY](https://easycompare.io/research/ry): Royal Bank of Canada | Banks | +17.3% | 18.2% | 0.97 | −40.0% | +352% | 0.70 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| HDV: iShares Core High Dividend ETF | US Dividend Equity | +12.9% | 13.0% | 1.00 | −37.0% | +172% | 0.75 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| DGRW: WisdomTree U.S. Quality Dividend Growth Fund | US Dividend Equity | +11.8% | 14.0% | 0.87 | −32.0% | +276% | 0.86 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [BRK-B](https://easycompare.io/research/brk-b): Berkshire Hathaway Inc. | Insurance | +13.4% | 17.1% | 0.82 | −29.6% | +274% | 0.56 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VTV](https://easycompare.io/research/vtv): Vanguard Morningstar Value ETF | US Large-Cap Value | +12.1% | 13.7% | 0.90 | −36.8% | +235% | 0.92 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| IWX: iShares Russell Top 200 Value ETF | Broad Market | +12.7% | 13.8% | 0.94 | −35.8% | +221% | 0.90 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| RWL: Invesco S&P 500 Revenue ETF | US Large-Cap Equity | +13.7% | 14.4% | 0.97 | −36.1% | +287% | 0.93 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| PTLC: Pacer Trendpilot US Large Cap ETF | Broad Market | +9.5% | 11.8% | 0.83 | −26.6% | +188% | 0.57 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| PWV: Invesco Large Cap Value ETF | Broad Market | +13.5% | 14.2% | 0.97 | −37.6% | +223% | 0.89 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | International Equity | +17.0% | 11.1% | 1.48 | −32.4% | +194% | 0.70 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| PTNQ: Pacer Trendpilot 100 ETF | Technology | +9.7% | 14.1% | 0.73 | −28.1% | +305% | 0.44 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |

## VBR against its popular alternatives

The investments people most often weigh against VBR, compared period by period and year by year.

### How do VBR's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings.

- Only VTV and VOE were both more rewarding and calmer than VBR over the past 5 years, earning a higher annual return with lower volatility.
- 11 of the 18 popular alternatives earned less than VBR over the past 5 years while swinging more, the weaker corner of the map.
- Over the past 5 years, VBR returned 8.2% a year, less than the S&P 500's 12.7%, with higher volatility (19.4% against 17.1%).

### Has VBR consistently beaten its popular alternatives?

This section compares VBR with the investments people most often weigh against it, checking each one over eight periods from one month to ten years.

- Three of the 20 popular alternatives, VTV, VOE and RZV, outperformed VBR in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- VTV and VOE outperformed VBR in every long-term period and in all but one short-term period, the most consistent record in the group.
- VTV, VOE and DFAT earned more for the risk they took than VBR (a higher Sharpe ratio) and fell less in their worst decline of the past 10 years.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of VBR | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| VBR: Vanguard Morningstar Small-Cap Value ETF (this page) | +16.8% | +66.7% | +48.6% | +169% |  |  | 0.51 |
| [VTV](https://easycompare.io/research/vtv): Vanguard Morningstar Value ETF | +22.5% | +77.9% | +76.6% | +235% | 5/5 short-term, 3/3 long-term | all-weather | 0.90 |
| VOE: Vanguard Morningstar Mid-Cap Value ETF | +21.7% | +75.4% | +56.6% | +182% | 5/5 short-term, 3/3 long-term | all-weather | 0.65 |
| RZV: Invesco S&P SmallCap 600 Pure Value ETF | +22.2% | +73.4% | +54.9% | +156% | 3/5 short-term, 2/3 long-term | consistent | 0.49 |
| AVUV: Avantis U.S. Small Cap Value ETF | +24.4% | +70.2% | +64.9% | — | 2/5 short-term, 2/3 long-term |  | 0.56 |
| XSVM: Invesco S&P SmallCap Value with Momentum ETF | +21.4% | +54.6% | +38.7% | +209% | 2/5 short-term, 1/3 long-term |  | 0.41 |
| VTWV: Vanguard Russell 2000 Value ETF | +19.3% | +74.6% | +40.1% | +151% | 2/5 short-term, 1/3 long-term |  | 0.42 |
| IWN: iShares Russell 2000 Value ETF | +19.1% | +73.2% | +38.6% | +147% | 2/5 short-term, 1/3 long-term |  | 0.42 |
| DFAT: Dimensional - US Targeted Value ETF | +20.5% | +64.5% | +57.8% | — | 2/5 short-term, 1/3 long-term |  | 0.54 |
| SCHA: Schwab U.S. Small-Cap ETF | +16.5% | +73.1% | +33.9% | +165% | 1/5 short-term, 1/3 long-term |  | 0.38 |
| DLS: WisdomTree International SmallCap Dividend Fund | +13.1% | +76.6% | +39.1% | +102% | 1/5 short-term, 1/3 long-term |  | 0.50 |
| [VB](https://easycompare.io/research/vb): Vanguard Morningstar Small-Cap ETF | +13.7% | +66.8% | +35.2% | +179% | 0/5 short-term, 1/3 long-term |  | 0.40 |
| [VBK](https://easycompare.io/research/vbk): Vanguard Morningstar Small-Cap Growth ETF | +9.7% | +66.3% | +17.3% | +177% | 0/5 short-term, 1/3 long-term |  | 0.25 |
| [IWM](https://easycompare.io/research/iwm): iShares Russell 2000 ETF | +12.3% | +71.3% | +29.0% | +158% | 0/5 short-term, 1/3 long-term |  | 0.34 |
| CALF: Pacer US Small Cap Cash Cows ETF | +35.3% | +48.8% | +41.6% | — | 5/5 short-term, 0/3 long-term |  | 0.42 |
| DFSV: U.S. Small Cap Value Portfolio ETF Class Shares | +23.1% | +66.4% | — | — | 3/5 short-term, 0/3 long-term |  | — |
| VIOV: Vanguard S&P Small-Cap 600 Value ETF | +18.9% | +62.6% | +35.9% | +154% | 2/5 short-term, 0/3 long-term |  | 0.39 |
| SLYV: State Street SPDR S&P 600 Small Cap Value ETF | +19.0% | +61.7% | +35.4% | +153% | 2/5 short-term, 0/3 long-term |  | 0.39 |
| IJS: iShares S&P Small-Cap 600 Value ETF | +18.9% | +61.6% | +34.7% | +150% | 2/5 short-term, 0/3 long-term |  | 0.39 |
| ISCV: iShares Morningstar Small Cap Value ETF | +17.4% | +66.8% | +43.6% | +124% | 2/5 short-term, 0/3 long-term |  | 0.46 |
| DES: WisdomTree U.S. SmallCap Dividend Fund | +18.1% | +54.4% | +38.2% | +105% | 2/5 short-term, 0/3 long-term |  | 0.43 |

### How did VBR do year by year?

This table shows each investment's total return in every full calendar year since 2005, along with where VBR ranked among its popular alternatives each year.

- VBR finished ahead of the S&P 500 in nine of its 21 full calendar years, and behind it in each of the last three.
- Ranked against its popular alternatives each year, VBR finished in the top quarter in three of 21 years and in the bottom quarter in no. In 2025, it ranked 9 of 20.
- Among its popular alternatives, AVUV came out ahead of VBR most often, in four of the six years both traded.

| Year | VBR | SPY |
| --- | --- | --- |
| 2025 | +9.1% | +17.7% |
| 2024 | +12.4% | +24.9% |
| 2023 | +16.0% | +26.2% |
| 2022 | −9.4% | −18.2% |
| 2021 | +28.1% | +28.7% |
| 2020 | +5.9% | +18.3% |
| 2019 | +22.8% | +31.2% |
| 2018 | −12.3% | −4.6% |
| 2017 | +11.8% | +21.7% |
| 2016 | +24.9% | +12.0% |

## Risk and diversification

How VBR has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

### What were VBR's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high.

- In all five of VBR's worst declines, the S&P 500 held up better over the same dates.
- The longest climb back to a previous high took 23 months, after VBR fell 62.0% from June 2007 to March 2009.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −62.0% | June 4, 2007 | March 9, 2009 | February 14, 2011 | −54.1% | 2008 financial crisis |
| −45.3% | January 16, 2020 | March 23, 2020 | November 24, 2020 | −32.2% | Covid crash |
| −27.9% | April 29, 2011 | October 3, 2011 | September 6, 2012 | −18.6% | 2011 euro debt crisis |
| −24.2% | November 25, 2024 | April 8, 2025 | December 5, 2025 | −16.4% |  |
| −23.5% | August 29, 2018 | December 24, 2018 | January 16, 2020 | −18.8% | late-2018 sell-off |

### How did VBR do in stock market crashes?

This section measures how far VBR, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000.

- VBR fell further than the S&P 500 in seven of the nine crashes it has traded through. The clearest case was the Covid crash, when VBR fell 44.8% and the S&P 500 fell 33.7%.
- Among its popular alternatives, VTV held up best, falling less than VBR in eight of the nine crashes they both traded through.

| Crash | Dates | VBR fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | not trading | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −60.2% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | −2.6% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −25.9% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −17.3% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −5.5% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −23.0% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −44.8% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −20.4% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | −8.1% | −3.4% |

### How closely does VBR move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell.

- VTV took just 91% of the S&P 500's losses, against 119% for VBR, while still keeping 86% of its gains.
- Over the past 10 years, VBR captured 94% of the S&P 500's gains in rising months and 119% of its losses in falling months, with a beta of 1.11. Its share of the market's losses was larger than its share of the gains.
- Five of the 15 popular alternatives had a higher capture ratio (upside capture divided by downside capture) than VBR's 0.78, led by VTV, XSVM and VOE.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| VBR: Vanguard Morningstar Small-Cap Value ETF (this page) | 94.0% | 119% | 1.11 |
| [VTV](https://easycompare.io/research/vtv): Vanguard Morningstar Value ETF | 86.0% | 91.0% | 0.86 |
| VOE: Vanguard Morningstar Mid-Cap Value ETF | 87.0% | 106% | 0.99 |
| RZV: Invesco S&P SmallCap 600 Pure Value ETF | 109% | 151% | 1.39 |
| XSVM: Invesco S&P SmallCap Value with Momentum ETF | 96.0% | 114% | 1.16 |
| VTWV: Vanguard Russell 2000 Value ETF | 95.0% | 126% | 1.14 |
| IWN: iShares Russell 2000 Value ETF | 95.0% | 126% | 1.14 |
| SCHA: Schwab U.S. Small-Cap ETF | 97.0% | 124% | 1.18 |
| DLS: WisdomTree International SmallCap Dividend Fund | 74.0% | 99.0% | 0.83 |
| [VB](https://easycompare.io/research/vb): Vanguard Morningstar Small-Cap ETF | 96.0% | 120% | 1.13 |
| [VBK](https://easycompare.io/research/vbk): Vanguard Morningstar Small-Cap Growth ETF | 99.0% | 125% | 1.17 |
| [IWM](https://easycompare.io/research/iwm): iShares Russell 2000 ETF | 98.0% | 129% | 1.17 |
| VIOV: Vanguard S&P Small-Cap 600 Value ETF | 97.0% | 129% | 1.16 |
| IJS: iShares S&P Small-Cap 600 Value ETF | 96.0% | 128% | 1.16 |
| ISCV: iShares Morningstar Small Cap Value ETF | 95.0% | 134% | 1.20 |
| DES: WisdomTree U.S. SmallCap Dividend Fund | 84.0% | 119% | 1.05 |

### What diversifies VBR?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions).

- Moving a fifth of the money in VBR into DBMF would have cut the portfolio's volatility by 21% over the past 5 years and raised its annual return (+8.7% for VBR alone, +9.5% for the mix).
- Among large ETFs, DXJ, GLD and FLTW have moved largely independently of VBR over the past 5 years, with correlations of 0.49 or lower, and each still earned a positive 5-year return.
- Among large stocks, CAH, CLS and MCK have moved largely independently of VBR over the past 5 years, with correlations of 0.40 or lower, and each still earned a positive 5-year return.

| Investment | Correlation with VBR | 5Y return | Volatility | Sharpe | Rose in VBR's 6 down years |
| --- | --- | --- | --- | --- | --- |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.46 | +225% | 19.1% | 1.34 | 2 of 6 |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | 0.16 | +126% | 18.9% | 0.96 | 3 of 6 |
| FLTW: Franklin FTSE Taiwan ETF | 0.49 | +168% | 24.3% | 0.94 | 0 of 6 |
| IXC: iShares Global Energy ETF | 0.48 | +156% | 23.2% | 0.93 | 3 of 6 |
| DBMF: iMGP DBi Managed Futures Strategy ETF | -0.19 | +59.7% | 12.4% | 0.82 | 1 of 6 |
| DBA: Invesco DB Agriculture Fund | 0.25 | +66.4% | 13.8% | 0.81 | 1 of 6 |
| GDX: VanEck Gold Miners ETF | 0.30 | +181% | 38.2% | 0.73 | 1 of 6 |
| USO: United States Oil Fund, LP | 0.04 | +176% | 37.7% | 0.73 | 2 of 6 |

## Common questions

### What was VBR's worst drawdown?

VBR's deepest decline since it began trading in 2004 was 62.0%, from June 2007 to March 2009. It took 23 months from the low to climb back to its old high. Because VBR launched in January 2004, that record does not include the dot-com bust.

### What were VBR's best and worst years?

Over 21 full calendar years, VBR's best year was 2013, when it returned 36.6%. Its worst was 2008, with a return of -32.2%.

### Is there a better investment than VBR?

Among VBR's popular alternatives, VTV and VOE earned more than VBR with less volatility over the past 5 years. VTV returned 12.1% a year at 13.7% volatility, against 8.2% a year at 19.4%. A cheaper fund that has kept up over the past decade is VB (0.03% a year against 0.05%).

### Is VBR more volatile than the S&P 500?

Yes. VBR's volatility over the past 5 years was 19.4%, 1.1 times the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, VBR's return lands within 19.4% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

### What is VBR's Sharpe ratio?

VBR's Sharpe ratio over the past 5 years was 0.51, against 0.79 for the S&P 500, so VBR earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

### How correlated is VBR with the S&P 500?

Over the past 5 years, VBR's monthly returns had a correlation of 0.82 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They move almost in lockstep, so holding both adds little diversification. In the table, the correlation column measures each option against VBR instead: the lower it is, the more that option would diversify a VBR holding.

### What are the best alternatives to VBR?

Of the 20 popular alternatives we compared, three outperformed VBR in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: VTV, VOE and RZV.

### Did VBR outperform the S&P 500?

VBR finished ahead of the S&P 500 (SPY) in nine of 21 full calendar years. In 2025, it returned +9.1%, against +17.7% for the index.

### How did VBR do in stock market crashes?

VBR fell less than the S&P 500 (SPY) in two of the nine major crashes it has traded through, and further in seven. The clearest case was the Covid crash, when VBR fell 44.8% and the S&P 500 fell 33.7%.

### What diversifies VBR?

These had a low correlation with VBR over the past 5 years and still earned a positive 5-year return: among large ETFs, DXJ (correlation 0.46), GLD (correlation 0.16) and FLTW (correlation 0.49); among large stocks, CAH (correlation 0.36), CLS (correlation 0.40) and MCK (correlation 0.29). A correlation near zero means the two have moved largely independently.

## More research

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## Explore further

- Full page with charts: https://easycompare.io/research/vbr
- All research pages: https://easycompare.io/llms.txt
- Compare the entire market against VBR live: https://betterthanspy.com/?b=VBR&utm_source=easycompare&utm_medium=research