VCSH: Vanguard Short-Term Corporate Bond ETF returns, drawdowns and risk
Funds on bonds issued by companies (investment grade and high yield), emerging market governments and US municipalities.
Data updated October 2026
VCSH · US exchange · USDCategory: Corporate, high yield and municipal bond ETFsData from November 2009
From November 2009 to October 2026 VCSH returned 2.8% a year on average with dividends reinvested, in US dollars: $10,000 invested at the start grew to $16,008.
Its deepest fall was 12.9%, from March 2020 to March 2020, and it took about 3 months to get back to the previous high. Annual volatility was 2.9%; at the last close it was 1.0% below its high.
Against AGG (iShares Core U.S. Aggregate Bond ETF), over the 203 months both have data, the correlation of monthly returns was 0.81: they usually moved together. Beta was 0.47. In months when AGG rose, VCSH moved 61% as much on average; in months when AGG fell, 32% as much.
Key figures
- Annual return (CAGR)
- +2.8%
- 1-year return
- +1.0%
- 5 years, a year
- +2.4%
- 10 years, a year
- +2.6%
- Annual volatility
- 2.9%
- Maximum drawdown
- −12.9%
- Sharpe ratio
- 0.51
- Worst year
- 2022: −5.6%
Trailing returns
| Period | VCSH | AGG |
|---|---|---|
| 1 year | +1.0% | −1.9% |
| 3 years, a year | +5.5% | +5.2% |
| 5 years, a year | +2.4% | −0.3% |
| 10 years, a year | +2.6% | +1.2% |
To the last close of October 2026. Periods longer than a year are annualised.
Growth of $10,000: VCSH vs AGG
Month-end values from December 2009, the first month both funds have data.
VCSH drawdowns
Percentage below the previous high, weekly.
Returns by calendar year
| Year | VCSH | AGG |
|---|---|---|
| 2026(partial) | +0.4% | −1.8% |
| 2025 | +6.8% | +7.2% |
| 2024 | +4.9% | +1.3% |
| 2023 | +6.2% | +5.7% |
| 2022 | −5.6% | −13.0% |
| 2021 | −0.6% | −1.8% |
| 2020 | +5.1% | +7.5% |
| 2019 | +7.0% | +8.5% |
| 2018 | +0.9% | +0.1% |
| 2017 | +2.2% | +3.5% |
| 2016 | +2.6% | +2.4% |
| 2015 | +1.3% | +0.5% |
| 2014 | +1.8% | +6.0% |
| 2013 | +1.4% | −2.0% |
| 2012 | +5.6% | +3.8% |
| 2011 | +3.0% | +7.7% |
| 2010 | +5.3% | +6.4% |
| 2009(partial) | +0.3% | — |
How the figures are calculated
Total return in the fund’s trading currency, from end-of-day prices with dividends reinvested on the ex-date. The fund’s own ongoing charges are already reflected in its price; trading costs, taxes and currency conversion are not included. Past returns do not predict future returns.
Sharpe ratio uses the return of short-term government bills in the same currency as the risk-free rate. The growth chart uses month-end values; drawdowns and volatility use daily closes.
Questions
What is the average annual return of VCSH?
From November 2009 to October 2026 VCSH returned 2.8% a year on average (CAGR) with dividends reinvested, in USD. Over the last 5 years: +2.4% a year. Over the last 12 months: +1.0%.
What was the worst drawdown of VCSH?
12.9%, from March 2020 to March 2020; it took about 3 months from the previous high to get back to it.
How volatile is VCSH?
Annual volatility was 2.9% over the period. Its worst month was −3.5% and 64% of months were positive. Worst calendar year: 2022 (−5.6%).
How closely does VCSH follow AGG?
Over 203 months the correlation of monthly returns was 0.81, so they usually moved together, with a beta of 0.47.
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Other Corporate, high yield and municipal bond ETFs
- All Corporate, high yield and municipal bond ETFsReturns and risk side by side
- LQD — iShares iBoxx $ Investment Grade Corporate Bond ETFCAGR +3.9%
- HYG — iShares iBoxx $ High Yield Corporate Bond ETFCAGR +4.8%
- JNK — SPDR Bloomberg High Yield Bond ETFCAGR +15.1%
- VCIT — Vanguard Intermediate-Term Corporate Bond ETFCAGR +4.1%
- EMB — iShares J.P. Morgan USD Emerging Markets Bond ETFCAGR +4.4%
- MUB — iShares National Muni Bond ETFCAGR +2.9%
- IEAC — iShares Core € Corp Bond UCITS ETF (Dist)CAGR +0.2%
- IHYG — iShares € High Yield Corp Bond UCITS ETF (Dist)CAGR −0.6%
Source: MarketStack end-of-day prices, total return with dividends reinvested. Figures are historical and descriptive; they are not forecasts and not investment advice. MEDGE Capital does not recommend buying or selling any instrument. Risk disclaimer.