ETF Evaluator:
Vanguard Ultra-Short Treasury ETF (VGUS)
Follow This ETF
(as of Sep 02)
Best Performing in Ultrashort Bond Over the Last Year
| 6.2% | iShares Interest Rate Hdg L/T Corp BdETF (IGBH) |
| 5.8% | Simplify Treasury Option Income ETF (BUCK) |
| 5.7% | iShares Interest Rate Hedged Corp Bd ETF (LQDH) |
| 5.3% | iShares Interest Rt Hdg U.S. Aggt Bd ETF (AGRH) |
| 5.3% | NEOS Enhanced Inc 1-3 Month T-Bill ETF (CSHI) |
Risk
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Risk
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ETF Details
Vanguard Ultra-Short Treasury ETF Overview
Vanguard Ultra-Short Treasury ETF (VGUS) is a passively managed Taxable Bond Ultrashort Bond exchange-traded fund (ETF). Vanguard launched the ETF in 2025.
The investment seeks to track the Bloomberg Short Treasury Index.
The fund manager employs an indexing investment approach designed to track the performance of the target index, which includes fixed income securities issued by the U.S. Treasury (not including inflation-protected securities, floating rate securities, and certain other security types) that have maturities up to 12 months. Under normal circumstances, it invests at least 80% of its assets, plus the amount of any borrowings for investment purposes, in the bonds that make up the target index.
About Vanguard Ultra-Short Treasury ETF (VGUS)
There are 1 members of the management team with an average tenure of 1.47 years: Joshua Barrickman (2025). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 1 primary benchmark: Bloomberg Short Treasury TR USD index with a weighting of 100%. Vanguard Ultra-Short Treasury ETF has 91 securities in its portfolio. The top 10 holdings constitute 27.6% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
Vanguard Ultra-Short Treasury ETF is part of the Fixed Income global asset class and is within the Taxable Bond ETF group. Vanguard Ultra-Short Treasury ETF has 0.0% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0% There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 58.9% (58.9% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Vanguard Ultra-Short Treasury ETF has 41.1% of the portfolio in cash.
Assets Under Management
The fund has $1 billion in total assets, which is below the $5 billion average for the Ultrashort Bond category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
VGUS Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Vanguard Ultra-Short Treasury ETF expense ratio is low compared to funds in the Ultrashort Bond category. Vanguard Ultra-Short Treasury ETF has an expense ratio of 0.07%, which is 68% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Vanguard Ultra-Short Treasury ETF has a portfolio turnover rate of 0%, which indicates that it holds its assets around /years. By way of comparison, the average portfolio turnover is 57% for the Ultrashort Bond category.
Recently, in the month of July 2026, Vanguard Ultra-Short Treasury ETF returned 0.3%, which earned it a grade of A, as the Ultrashort Bond category had an average return of 0.3%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
Vanguard Ultra-Short Treasury ETF has a trailing yield of 3.60%, which is below the 4.07% category average.
The fund normally distributes its income monthly and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Vanguard Ultra-Short Treasury ETF Grades
Year to date, the ETF has returned 2.0%, 0.1 percentage points worse than the category, which translates into a grade of D. The fund has returned 3.9% over the past year (grade of D).
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VGUS Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| VGUS Return (NAV) | 0.3% | 0.9% | 3.9% | na | na | na |
| VGUS Return (Price) | 0.3% | 0.9% | 3.9% | na | na | na |
| NAV +/- Price Return | 0.027% | -0.007% | -0.041% | na | na | na |
| Ultrashort Bond Avg | 0.3% | 0.9% | 4.2% | 5.2% | 3.9% | 3.0% |
| VGUS Grade (NAV) | A | D | D | na | na | na |
| +/- Category (NAV) | 0.0% | -0.1% | -0.4% | na | na | na |
| VGUS Tax-Cost Ratio | na | na | 1.5% | na | na | na |
VGUS Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| VGUS Return (NAV) | 2.0% | na | na | na | na | na | na | na | na | na | na |
| VGUS Return (Price) | 2.0% | na | na | na | na | na | na | na | na | na | na |
| NAV +/- Price Ret | -0.003% | na | na | na | na | na | na | na | na | na | na |
| Ultrashort Bond Avg | 2.2% | 4.8% | 5.8% | 6.1% | 0.4% | 0.3% | 1.4% | 3.6% | 1.4% | 2.3% | 1.9% |
| VGUS Grade (NAV) | D | na | na | na | na | na | na | na | na | na | na |
| +/- Category | -0.1% | na | na | na | na | na | na | na | na | na | na |
| Risk Measures | |
| Beta: | na |
| R-Squared: | na |
| Standard Deviation: | na |
| Category Risk Index: | na |
| Category Risk Rating: | |
| Total Risk Index: | na |
| Total Risk Rating: | |
| Portfolio Characteristics | |
| Yield: | 3.6% |
| Total Assets: | $ 1,029 Mil |
| Share Class Assets: | $ 1,029 Mil |
| Turnover: | 0.0% |
| Expense Ratio: | 0.07% |
| Index Fund: | Yes |
| Index Tracked: | Bloomberg Short Treasury TR USD |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | Annually |
| Income Distribution Frequency: | Monthly |
Management Team
| Number of Managers: 1 | |||
| Longest Tenure: 1.5 years | |||
| Average Tenure: 1.5 years | |||
| Managers (Year): Barrickman Joshua (2025) | |||
Portfolio Composition (as of 6/30/26)
| # of Holdings: | 91 |
| % in Top 10 Holdings: | 27.6% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 0.0% |
Portfolio Allocation |
|
| Domestic Stock: | 0.0% |
| Foreign Stock: | 0.0% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 58.9% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 41.1% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | Vanguard |
| Phone Number: | 866-499-8473 |
| Website: | www.vanguard.com |
| Inception Date: | February 10, 2025 |
Expenses and Fees
| Expense Ratio (%): | 0.07% (Rating: Low) |
| Category Average Expense Ratio (%): | 0.22% |
