AGG vs MGOV
iShares Core US Aggregate Bond ETF vs First Trust Intermediate Government Opportunities ETF
Which is better, AGG or MGOV?
Nearly the same fund. AGG costs less.
AGG has a lower expense ratio. AGG led over 1Y, MGOV over 3Y and the full window. The two have moved almost in lockstep, correlation 0.99.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | AGG | MGOV |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.50% |
| AUM | $137.2B | $92M |
| Dividend Yield | 4.12% | 4.80% |
| Holdings | 26,818 | 439 |
| YTD Return | -1.84%Best | -1.86% |
| 1Y Return | -1.46%Best | -2.00% |
| 3Y Return (annualized) | +3.80% | +4.19%Best |
| 5Y Return (annualized) | -0.34% | - |
| Volatility (annualized) | 5.8%Best | 6.8% |
| Max Drawdown | -5.0%Best | -6.3% |
| $10,000 over 3.3 years | $11,195 | $11,256Best |
| Fund Family | iShares by BlackRock (US) | First Trust Portfolios (US) |
| Category | Fixed Income | Fixed Income |
| Inception | Sep 22, 2003 | Aug 2, 2023 |
Not shown on this pair: Top 10 Weight, Style.
Volatility and max drawdown, and the $10,000 over 3.3 years row, are measured over the window both funds cover: Aug 3, 2023 to Nov 13, 2026 (3.3 years).
AGG vs MGOV growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 3.3 years both funds cover.
AGG vs MGOV Performance
iShares Core US Aggregate Bond ETF (AGG) is an ETF from iShares by BlackRock (US) and First Trust Intermediate Government Opportunities ETF (MGOV) is an ETF from First Trust Portfolios (US). Over the past year AGG returned -1.46% while MGOV returned -2.00%. Year to date, AGG is down 1.84% versus a loss of 1.86% for MGOV.
Over three years, AGG compounded at +3.80% per year against +4.19% for MGOV.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
MGOV has been the more volatile fund, with annualized monthly volatility of 6.8% compared with 5.8% for AGG. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -5.0% for AGG and -6.3% for MGOV. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.99. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
AGG charges 0.03% per year while MGOV charges 0.50%. On a $10,000 position that is $3 vs $50 annually, a gap of $47 per year that compounds over a long holding period. On income, AGG currently yields 4.12% against 4.80% for MGOV.
Holdings Overlap
We hold position weights for 11,065 holdings in AGG and 57 in MGOV, totalling 64.0% and 41.6% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 4 positions appear in both.
4 positions in common, counted across the 11,065 positions we hold weights for in AGG and 57 in MGOV, against full books of 26,818 and 439.
Top Shared Holdings
| Stock | Weight in AGG | Weight in MGOV | Difference |
|---|---|---|---|
| G2 MA7366Ginnie Mae Ii Pool 2 | 0.00% | 4.17% | 4.17% |
| T 1.875 02/15/51United States Treasury Note/Bond 1.88 02/15/2051 | 0.14% | 0.56% | 0.42% |
| T 2.25 02/15/52United States Treasury Note/Bond 2.25 02/15/2052 | 0.14% | 0.36% | 0.22% |
| T 4.75 11/15/43United States Treasury Note/Bond 4.75 11/15/2043 | 0.14% | 0.03% | 0.11% |
You are not choosing between two funds in isolation.
Whichever of AGG and MGOV you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, AGG or MGOV?
AGG has an expense ratio of 0.03% while MGOV charges 0.50%. AGG is the cheaper option, by $47 a year on a $10,000 investment.
Which performed better, AGG or MGOV?
Over the past year AGG returned -1.46% vs -2.00% for MGOV, so AGG leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, AGG or MGOV?
MGOV has been the more volatile fund at 6.8% annualized versus 5.8% for AGG. Worst drawdown: AGG -5.0% vs MGOV -6.3%.
Should I hold both AGG and MGOV?
AGG and MGOV have a monthly-return correlation of 0.99, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
Which pays a higher dividend, AGG or MGOV?
AGG yields 4.12% while MGOV yields 4.80%, so MGOV currently pays the higher dividend yield.
Is MGOV better than AGG?
AGG has a lower expense ratio. AGG led over 1Y, MGOV over 3Y and the full window. The two have moved almost in lockstep, correlation 0.99. Which one suits a particular account depends on what it is for. This is information, not a recommendation.