Vanguard Total Information Ratio
| VT ETF | | | USD 153.80 -1.26 -0.81% |
The Information Ratio measures excess return (alpha) per unit of tracking error relative to a benchmark. Unlike the Sharpe Ratio, which uses total volatility, the Information Ratio isolates only the variability of the alpha component — the return attributable to active decisions rather than passive market exposure. Below is Vanguard Total's current Information Ratio with peer comparisons and related risk metrics.
Current Information Ratio Value
At 0.0771, Vanguard Total's Information Ratio indicates positive but modest excess return per unit of tracking risk. Vanguard Total has outperformed its benchmark, though the margin is limited relative to the tracking error incurred.
INFOR | = | ER[a] - ER[b]STD[a] |
| = | 0.0771 | |
Information Ratio Peers Comparison
Relative to peers, Vanguard Total's Information Ratio is below the group average of 0.08. Peer readings range from 0.0327 (Invesco SAMPP 500) to 0.1224 (Vanguard Large Cap Index), reflecting wide dispersion across the sector. Vanguard Total's risk-adjusted return trails the peer average, indicating less efficient compensation for the risk incurred.
Information Ratio Relative To Other Indicators
The chart below plots Information Ratio against Maximum Drawdown for Vanguard Total and its peers. Each point represents one equity — position along the horizontal axis shows Information Ratio while the vertical axis shows Maximum Drawdown. Equities that cluster in different quadrants carry distinct risk-return profiles. Use the dropdowns to swap in other indicators for either axis.
Comparing Information Ratio (
0.08 ) to Maximum Drawdown (
4.32 ) for Vanguard Total yields a
56.01 multiple. This indicates Maximum Drawdown substantially exceeds Information Ratio for Vanguard Total.
Methodology, Assumptions & Data Sources
The current Information Ratio for Vanguard Total is 0.0771. The Information Ratio for Vanguard Total is produced by transforming raw price history into a standardized measure according to the indicator's defined methodology. Price data is sourced from standardized end-of-day feeds across supported exchanges, normalized for corporate actions. Results are based on historical returns and do not predict future performance. This indicator is provided for informational purposes.
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