Data as of Oct 28, 2026.
LQD vs VCIT: Differences, Returns & Fees
LQD's duration was 7.7 years on Aug 31, 2026 and VCIT's 6.0 on May 31, 2026; VCIT charges 0.03% to LQD's 0.14%.
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Net assets: $30.6bn on Oct 27, 2026 for iShares iBoxx $ Investment Grade Corporate Bond ETF, and $66.6bn on Sep 30, 2026 for Vanguard Intermediate-Term Corporate Bond ETF.
Pair scorecard
VCIT costs 0.11 points a year less; their one-year returns differ by 1.6 points; VCIT is 2.4 times larger.
| Measure | LQD | VCIT |
|---|---|---|
| Return | ||
| Total return, 1 year | −3.4% | −1.8% |
| Drawdown | ||
| Below its high | 6.3%, high on Sep 22, 2021 | 3.2%, high on Feb 27, 2026 |
| Benchmark | ||
| What it tracks | Markit iBoxx USD Liquid Investment Grade Index | Bloomberg U.S. 5-10 Year Corporate Bond Index |
| Cost and size | ||
| Expense ratio | 0.14% | 0.03% |
| Net assets, as of Sep 30, 2026 | $28.3bn | $66.6bn |
| Holdings | ||
| Holdings in common | 32% | |
Holdings in common uses holdings dated May 31, 2026 and Aug 31, 2026. Method
Risk and return
Dec 4, 2009 to Oct 23, 2026 · 881 weekly returnsEach against its own benchmark: LQD against IUSB, Jun 20, 2014 to Oct 23, 2026; VCIT against SCHI, Oct 18, 2019 to Oct 23, 2026.
VCIT returned more: +96.4% to +83.2%. VCIT swung less: 6.4% to 8.5%. VCIT fell less at its worst: −20.0% to −24.7%.
Full scorecard
19 measures, with how each is measured Open ↓
| Measure | LQD | VCIT | Edge | How it is measured |
|---|---|---|---|---|
| Return | ||||
| Total return | +83.2% | +96.4% | VCIT | Price change plus distributions, reinvested. |
| Annualized | +3.6% | +4.1% | VCIT | Total return as a yearly rate. |
| Price return | −1.9% | +5.1% | VCIT | Price change alone, distributions left out. |
| Risk | ||||
| Volatility | 8.5% | 6.4% | VCIT | Spread of weekly returns, annualized. Lower is steadier. |
| Downside deviation | 6.0% | 4.7% | VCIT | Like volatility, counting only weeks below the Treasury bill rate. |
| Max drawdown | −24.7% | −20.0% | VCIT | Deepest fall from a high to the low after it. |
| Upside capture | 157.4% | 99.2% | Share of its benchmark's rise caught in the weeks it rose. | |
| Downside capture | 143.3% | 99.6% | Share of its benchmark's fall taken in the weeks it fell. Lower is better. | |
| Beta | 1.70 | 1.00 | Not an edge | How far it moves for each 1% its benchmark moves. |
| R squared | 0.84 | 1.00 | Not an edge | Share of its weekly moves its benchmark explains. |
| Risk-adjusted | ||||
| Sharpe | 0.28 | 0.42 | VCIT | Return above Treasury bills per unit of volatility. |
| Sortino | 0.40 | 0.57 | VCIT | Return above Treasury bills per unit of downside deviation. |
| Treynor | 0.005 | −0.008 | Return above Treasury bills per unit of beta. | |
| Calmar | 0.15 | 0.20 | VCIT | Annualized return divided by the max drawdown. |
| Against the benchmark | ||||
| Benchmark | IUSB | SCHI | The ETF each fund is measured against. | |
| Alpha | +0.7% a year | 0.0% a year | Not significant | Yearly return beyond what its beta to the benchmark predicts. |
| Alpha t-stat | 0.64 | −0.22 | Not an edge | How sure the alpha is. Below 2, it could be chance. |
| Alpha range | −1.4% to +2.8% | −0.4% to +0.3% | Includes zero | The 95% range for the yearly alpha. |
| Information ratio | 0.14 | −0.08 | Return against its benchmark per unit of tracking error. | |
| Tracking error | 5.2% | 0.5% | Not an edge | How far weekly returns stray from the benchmark, annualized. |
Computed by ETFIQ from Tiingo daily prices and ETFIQ's distribution records, 881 weekly returns. Cash rate: the 13-week Treasury bill.
What they share
By the books each fund has filed, LQD and VCIT hold 32% of their money in the same securities at the same weight. Holdings dated May 31, 2026 and Aug 31, 2026.
half
32% in common
Only in one fund ↓
Side by side
LQD and VCIT on the fields both publish, as of Oct 28, 2026. Source: ETFIQ.
LQD and VCIT are built for the same job. How do they differ in cost, holdings and results?
- What each follows. LQD follows Markit iBoxx USD Liquid Investment Grade Index and VCIT follows Bloomberg U.S. 5-10 Year Corporate Bond Index.
- Holdings in common. 32% of the weight is in the same securities (holdings dated Aug 31, 2026 and May 31, 2026).
- Cost. LQD charges 0.14% of assets a year and VCIT 0.03%, a gap of 0.11 points.
Data as of Oct 28, 2026.
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LQD
LQD tracks an index of US investment grade bonds. Over the year to Oct 28, 2026 it returned −3.4% with distributions reinvested, against −1.2% for its benchmark, the Bloomberg U.S. Universal Index. The prospectus expense ratio is 0.14% a year. It sat 6.3% below its high of Sep 22, 2021 on Oct 28, 2026.
VCIT
VCIT tracks an index of Intermediate-Term Corporate Bond. Over the year to Oct 28, 2026 it returned −1.8% with distributions reinvested, against −1.8% for its benchmark, the Bloomberg U.S. 5-10 Year Corporate Bond Index. The prospectus expense ratio is 0.03% a year. It sat 3.2% below its high of Feb 27, 2026 on Oct 28, 2026.
Questions people ask
- Which returned more over the last year, LQD or VCIT?
- In the year to Oct 28, 2026, with distributions reinvested, LQD returned −3.4% and VCIT −1.8%.
- Which is cheaper, LQD or VCIT?
- VCIT is cheaper, by 0.11 percentage points a year. That is about $11 on $10,000 held for a year. Fees come from each fund's prospectus.
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How this is computed
Overlap adds up the smaller of the two weights for each security both funds hold.
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ETFIQ, LQD against VCIT, data as of Oct 28, 2026. https://etfiq.com/compare/any/lqd-vs-vcit
ETFIQ. (Oct 28, 2026). LQD against VCIT. Retrieved from https://etfiq.com/compare/any/lqd-vs-vcit
[LQD against VCIT (ETFIQ, Oct 28, 2026)](https://etfiq.com/compare/any/lqd-vs-vcit)
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