BNDS vs VYM
Infrastructure Capital Bond Income ETF vs Vanguard High Dividend Yield ETF
Which is better, BNDS or VYM?
Long Term Bond against Large Cap Value.
VYM has a lower expense ratio. VYM led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.92.
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 | BNDS | VYM |
|---|---|---|
| Expense Ratio | 0.88% | 0.04%Best |
| AUM | $98M | $81.6B |
| Dividend Yield | 8.76% | 2.22% |
| Holdings | 83 | 613 |
| YTD Return | +4.70% | +13.91%Best |
| 1Y Return | +6.57% | +17.57%Best |
| 3Y Return (annualized) | - | +18.12% |
| 5Y Return (annualized) | - | +12.17% |
| Volatility (annualized) | 5.2%Best | 9.6% |
| Max Drawdown | -7.0%Best | -14.5% |
| $10,000 over 1.7 years | $11,405 | $13,124Best |
| Fund Family | InfraCap | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Long Term Bond | Large Cap Value |
| Inception | Jan 15, 2025 | Nov 10, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 1.7 years row, are measured over the window both funds cover: Jan 15, 2025 to Sep 11, 2026 (1.7 years).
BNDS vs VYM 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 1.7 years both funds cover.
BNDS vs VYM Performance
Infrastructure Capital Bond Income ETF (BNDS) is an ETF from InfraCap and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year BNDS returned +6.57% while VYM returned +17.57%. Year to date, BNDS is up 4.70% versus a gain of 13.91% for VYM.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 9.6% compared with 5.2% for BNDS. 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 -7.0% for BNDS and -14.5% for VYM. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
BNDS charges 0.88% per year while VYM charges 0.04%. On a $10,000 position that is $88 vs $4 annually, a gap of $84 per year that compounds over a long holding period. On income, BNDS currently yields 8.76% against 2.22% for VYM.
Holdings Overlap
We hold position weights for 72 holdings in BNDS and 603 in VYM, totalling 77.3% and 99.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
The two holdings books were reported 57 days apart, BNDS as of Aug 26, 2026 and VYM as of Jun 30, 2026, so some of the difference between them is the time between the two reports rather than the funds.
0 positions in common, counted across the 72 positions we hold weights for in BNDS and 603 in VYM, against full books of 83 and 613.
You are not choosing between two funds in isolation.
Whichever of BNDS and VYM 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, BNDS or VYM?
BNDS has an expense ratio of 0.88% while VYM charges 0.04%. VYM is the cheaper option, by $84 a year on a $10,000 investment.
Which performed better, BNDS or VYM?
Over the past year BNDS returned +6.57% vs +17.57% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (2 years), BNDS annualized +8.04% vs +17.34% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, BNDS or VYM?
VYM has been the more volatile fund at 9.6% annualized versus 5.2% for BNDS. Worst drawdown: BNDS -7.0% vs VYM -14.5%.
Should I hold both BNDS and VYM?
BNDS and VYM have a monthly-return correlation of 0.92, 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, BNDS or VYM?
BNDS yields 8.76% while VYM yields 2.22%, so BNDS currently pays the higher dividend yield.
Is VYM better than BNDS?
VYM has a lower expense ratio. VYM led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.92. Which one suits a particular account depends on what it is for. This is information, not a recommendation.