BIV vs VIG

BIV vs VIG

Which is better, BIV or VIG?

VIG has been ahead.

BIV has a lower expense ratio. VIG led over 1Y, 3Y, 5Y and the full window.

Lower Fees: BIVHigher Returns: VIG

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

MetricBIVVIG
Expense Ratio0.03%Best0.04%
AUM$28.8B$111.4B
Dividend Yield4.32%1.48%
Holdings2,336335
YTD Return-2.22%+8.31%Best
1Y Return-1.41%+11.70%Best
3Y Return (annualized)+4.30%+15.76%Best
5Y Return (annualized)-0.54%+10.72%Best
Volatility (annualized)5.7%Best13.5%
Max Drawdown-20.3%Best-48.2%
$10,000 over 5 years$9,733$16,639Best
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
Style-Large Cap Blend
InceptionApr 3, 2007Apr 21, 2006

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Apr 10, 2007 to Sep 18, 2026 (19.4 years).

BIV vs VIG 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

BIV vs VIG Performance

Vanguard Intermediate-Term Bond ETF (BIV) is an ETF from Vanguard (US) and Vanguard Dividend Appreciation ETF (VIG) is an ETF from Vanguard (US). Over the past year BIV returned -1.41% while VIG returned +11.70%. Year to date, BIV is down 2.22% versus a gain of 8.31% for VIG.

Over three years, BIV compounded at +4.30% per year against +15.76% for VIG; over five years the annualized figures are -0.54% and +10.72% respectively. Across the full 19-year window we track, VIG has the edge at +8.42% annualized vs +0.90%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VIG has been the more volatile fund, with annualized monthly volatility of 13.5% compared with 5.7% for BIV. 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 -20.3% for BIV and -48.2% for VIG. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.27. They move largely independently of each other.

Fees and Cost Over Time

BIV charges 0.03% per year while VIG charges 0.04%. On a $10,000 position that is $3 vs $4 annually, a gap of $1 per year that compounds over a long holding period. On income, BIV currently yields 4.32% against 1.48% for VIG.

Holdings Overlap

VIG already in BIV0.3%

At least 0.3% of VIG's money is in holdings BIV also owns.

Stated as a floor: for BIV, our book for it covers 60.9% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

We cannot see either book well enough to say how much of this pair is duplicated.

1 positions in common, counted across the 798 positions we hold weights for in BIV and 322 in VIG, against full books of 2,336 and 335.

Top Shared Holdings

StockWeight in BIVWeight in VIGDifference
CURVVanguard Market Liquidity Fund0.32%0.30%0.02%

You are not choosing between two funds in isolation.

Whichever of BIV and VIG you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

BIVVIG

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, BIV or VIG?

BIV has an expense ratio of 0.03% while VIG charges 0.04%. BIV is the cheaper option, by $1 a year on a $10,000 investment.

Which performed better, BIV or VIG?

Over the past year BIV returned -1.41% vs +11.70% for VIG, so VIG leads on 1-year performance. Over the longest common window we track (19 years), BIV annualized +0.90% vs +8.42% for VIG. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, BIV or VIG?

VIG has been the more volatile fund at 13.5% annualized versus 5.7% for BIV. Worst drawdown: BIV -20.3% vs VIG -48.2%.

Should I hold both BIV and VIG?

BIV and VIG have a monthly-return correlation of 0.27, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, BIV or VIG?

BIV yields 4.32% while VIG yields 1.48%, so BIV currently pays the higher dividend yield.

Is VIG better than BIV?

BIV has a lower expense ratio. VIG led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.