BND vs VGIT
Vanguard Total Bond Market ETF vs Vanguard Intermediate Term Treasury ETF
Which is better, BND or VGIT?
Each has led over a different period.
BND led over 1Y and 3Y, VGIT over 5Y and the full window.
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 | BND | VGIT |
|---|---|---|
| Expense Ratio | 0.03%Tie | 0.03%Tie |
| AUM | $160.9B | $50.8B |
| Dividend Yield | 4.04% | 3.90% |
| Holdings | 17,437 | 106 |
| YTD Return | -1.27%Best | -1.88% |
| 1Y Return | -0.88%Best | -1.30% |
| 3Y Return (annualized) | +4.04%Best | +3.59% |
| 5Y Return (annualized) | -0.61% | -0.44%Best |
| Volatility (annualized) | 4.5% | 4.3%Best |
| Max Drawdown | -19.6% | -17.2%Best |
| $10,000 over 5 years | $9,699 | $9,782Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Fixed Income | Fixed Income |
| Style | Intermediate Term Bond | - |
| Inception | Apr 3, 2007 | Nov 19, 2009 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Nov 23, 2009 to Sep 14, 2026 (16.8 years).
BND vs VGIT 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 16.8 years both funds cover.
BND vs VGIT Performance
Vanguard Total Bond Market ETF (BND) is an ETF from Vanguard (US) and Vanguard Intermediate Term Treasury ETF (VGIT) is an ETF from Vanguard (US). Over the past year BND returned -0.88% while VGIT returned -1.30%. Year to date, BND is down 1.27% versus a loss of 1.88% for VGIT.
Over three years, BND compounded at +4.04% per year against +3.59% for VGIT; over five years the annualized figures are -0.61% and -0.44% respectively. Across the full 17-year window we track, VGIT has the edge at +0.67% annualized vs +0.38%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
BND has been the more volatile fund, with annualized monthly volatility of 4.5% compared with 4.3% for VGIT. 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 -19.6% for BND and -17.2% for VGIT. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.89. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
BND charges 0.03% per year while VGIT charges 0.03%. On a $10,000 position that is $3 vs $3 annually. On income, BND currently yields 4.04% against 3.90% for VGIT.
You are not choosing between two funds in isolation.
Whichever of BND and VGIT 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, BND or VGIT?
BND has an expense ratio of 0.03% while VGIT charges 0.03%. At the precision these are quoted to, they cost the same.
Which performed better, BND or VGIT?
Over the past year BND returned -0.88% vs -1.30% for VGIT, so BND leads on 1-year performance. Over the longest common window we track (17 years), BND annualized +0.38% vs +0.67% for VGIT. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, BND or VGIT?
BND has been the more volatile fund at 4.5% annualized versus 4.3% for VGIT. Worst drawdown: BND -19.6% vs VGIT -17.2%.
Should I hold both BND and VGIT?
BND and VGIT have a monthly-return correlation of 0.89, 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, BND or VGIT?
BND yields 4.04% while VGIT yields 3.90%, so BND currently pays the higher dividend yield.
Is VGIT better than BND?
BND led over 1Y and 3Y, VGIT over 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.