BND vs VTILX
Vanguard Total Bond Market ETF vs Vanguard Total International Bond II Index Fund Class Institutional
Quick Verdict
BND has a lower expense ratio. BND delivered stronger 1-year returns. BND offers more diversification with 10790 holdings.
Side-by-Side Comparison
| Metric | BND | VTILX | Winner |
|---|---|---|---|
| Expense Ratio | 0.03% | 0.07% | |
| AUM | $159.8B | $142.6B | |
| Dividend Yield | 3.94% | 4.12% | |
| Holdings | 17,528 | 7,391 | |
| YTD Return | -0.53% | -1.15% | |
| 1Y Return | +1.89% | -3.20% | |
| 3Y Return (annualized) | +4.22% | -0.40% | |
| 5Y Return (annualized) | -0.29% | - | |
| Volatility (annualized) | 4.6% | 6.0% | |
| Max Drawdown | -19.6% | -15.3% | |
| Fund Family | Vanguard (US) | Vanguard (US) | |
| Category | Fixed Income | Fixed Income | |
| Inception | Apr 3, 2007 | Feb 17, 2021 |
BND vs VTILX Performance
Vanguard Total Bond Market ETF (BND) is a ETF from Vanguard (US) and Vanguard Total International Bond II Index Fund Class Institutional (VTILX) is a mutual fund from Vanguard (US). Over the past year BND returned +1.89% while VTILX returned -3.20%. Year to date, BND is down 0.53% versus a loss of 1.15% for VTILX.
Over three years, BND compounded at +4.22% per year against -0.40% for VTILX. Across the full 5-year window we track, BND has the edge at +0.67% annualized vs -2.86%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTILX has been the more volatile fund, with annualized monthly volatility of 6.0% compared with 4.6% for BND. 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 -15.3% for VTILX. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.
The two funds' monthly returns correlate at 0.82. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
BND charges 0.03% per year while VTILX charges 0.07%. On a $10,000 position that is $3 vs $7 annually, a gap of $4 per year that compounds over a long holding period. On income, BND currently yields 3.94% against 4.12% for VTILX.
Holdings Overlap
BND and VTILX share 10 holdings out of 12239 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in BND | Weight in VTILX | Difference |
|---|---|---|---|
| RY 5 05/02/33 GMTN | 0.00% | 0.02% | 0.02% |
| SEK 4.125 06/14/28 | 0.00% | 0.01% | 0.01% |
| WSTP 2.15 06/03/31 | 0.01% | 0.00% | 0.01% |
| MUFG V5.406 04/19/34 | Pro | Pro | Pro |
| MEX 3.25 04/16/30 | Pro | Pro | Pro |
| ISRAEL 4.125 01/17/4 | Pro | Pro | Pro |
| ORIX 2.25 03/09/31 | Pro | Pro | Pro |
| AMT 3.55 07/15/27 | Pro | Pro | Pro |
| TOYOTA 3.669 07/20/2 | Pro | Pro | Pro |
| EIBKOR 1.25 09/21/30 | Pro | Pro | Pro |
Frequently Asked Questions
Which is cheaper, BND or VTILX?
BND has an expense ratio of 0.03% while VTILX charges 0.07%. BND is the cheaper option. On a $10,000 investment, that is $4 per year of difference.
Which performed better, BND or VTILX?
Over the past year BND returned +1.89% vs -3.20% for VTILX, so BND leads on 1-year performance. Over the longest common window we track (5 years), BND annualized +0.67% vs -2.86% for VTILX. Past performance does not guarantee future results.
Which is riskier, BND or VTILX?
VTILX has been the more volatile fund at 6.0% annualized versus 4.6% for BND. Worst drawdown: BND -19.6% vs VTILX -15.3%.
Should I hold both BND and VTILX?
BND and VTILX have a monthly-return correlation of 0.82, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between BND and VTILX?
BND and VTILX share 10 common holdings with a 0.0% weight overlap. Combined, they hold 12239 unique securities.
Which pays a higher dividend, BND or VTILX?
BND yields 3.94% while VTILX yields 4.12%, so VTILX currently pays the higher dividend yield.
Popular Fund Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.