BNDW vs SPY
Vanguard Total World Bond ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, BNDW or SPY?
Long Term Mid Quality against Large Cap Blend.
BNDW has a lower expense ratio. SPY led over 1Y, 3Y, 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 | BNDW | SPY |
|---|---|---|
| Expense Ratio | 0.05%Best | 0.09% |
| AUM | $1.9B | $814.4B |
| Dividend Yield | 4.25% | 1.01% |
| Holdings | 4 | 505 |
| YTD Return | -0.05% | +13.34%Best |
| 1Y Return | +1.05% | +19.97%Best |
| 3Y Return (annualized) | +4.24% | +21.20%Best |
| 5Y Return (annualized) | -0.10% | +12.81%Best |
| Volatility (annualized) | 5.0%Best | 16.8% |
| Max Drawdown | -17.7%Best | -34.1% |
| $10,000 over 5 years | $9,950 | $18,270Best |
| Fund Family | Vanguard (US) | State Street Investment Management |
| Category | Fixed Income | Equity |
| Style | Long Term Mid Quality | Large Cap Blend |
| Inception | Sep 4, 2018 | Jan 22, 1993 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 6, 2018 to Sep 4, 2026 (8 years).
BNDW vs SPY 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.
BNDW vs SPY Performance
Vanguard Total World Bond ETF (BNDW) is an ETF from Vanguard (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year BNDW returned +1.05% while SPY returned +19.97%. Year to date, BNDW is down 0.05% versus a gain of 13.34% for SPY.
Over three years, BNDW compounded at +4.24% per year against +21.20% for SPY; over five years the annualized figures are -0.10% and +12.81% respectively. Across the full 8-year window we track, SPY has the edge at +14.14% annualized vs +0.88%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 16.8% compared with 5.0% for BNDW. 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 -17.7% for BNDW and -34.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.50. They move together some of the time, and apart the rest.
Fees and Cost Over Time
BNDW charges 0.05% per year while SPY charges 0.09%. On a $10,000 position that is $5 vs $9 annually, a gap of $4 per year that compounds over a long holding period. On income, BNDW currently yields 4.25% against 1.01% for SPY.
Holdings Overlap
We hold position weights for 3 holdings in BNDW and 504 in SPY, totalling 100.0% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 3 positions we hold weights for in BNDW and 504 in SPY, against full books of 4 and 505.
You are not choosing between two funds in isolation.
Whichever of BNDW and SPY 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, BNDW or SPY?
BNDW has an expense ratio of 0.05% while SPY charges 0.09%. BNDW is the cheaper option, by $4 a year on a $10,000 investment.
Which performed better, BNDW or SPY?
Over the past year BNDW returned +1.05% vs +19.97% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (8 years), BNDW annualized +0.88% vs +14.14% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, BNDW or SPY?
SPY has been the more volatile fund at 16.8% annualized versus 5.0% for BNDW. Worst drawdown: BNDW -17.7% vs SPY -34.1%.
Should I hold both BNDW and SPY?
BNDW and SPY have a monthly-return correlation of 0.50, 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, BNDW or SPY?
BNDW yields 4.25% while SPY yields 1.01%, so BNDW currently pays the higher dividend yield.
Is SPY better than BNDW?
BNDW has a lower expense ratio. SPY 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.