BNDX vs VEA

BNDX vs VEA
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Quick Verdict

VEA has a lower expense ratio. VEA delivered stronger 1-year returns. BNDX offers more diversification with 6,859 holdings.

Lower Fees: VEAHigher Returns: VEAMore Diversified: BNDX

Side-by-Side Comparison

MetricBNDXVEAWinner
Expense Ratio0.07%0.03%
AUM$82.7B$230.3B
Dividend Yield4.53%2.55%
Holdings6,8593,918
YTD Return+0.14%+16.41%
1Y Return+0.94%+27.39%
3Y Return (annualized)+3.87%+20.46%
5Y Return (annualized)-0.10%+10.23%
Volatility (annualized)4.1%17.8%
Max Drawdown-17.2%-62.9%
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionMay 31, 2013Jul 20, 2007

BNDX vs VEA Performance

Vanguard Total International Bond ETF (BNDX) is a ETF from Vanguard (US) and Vanguard FTSE Developed Markets ETF (VEA) is a ETF from Vanguard (US). Over the past year BNDX returned +0.94% while VEA returned +27.39%. Year to date, BNDX is up 0.14% versus a gain of 16.41% for VEA.

Over three years, BNDX compounded at +3.87% per year against +20.46% for VEA; over five years the annualized figures are -0.10% and +10.23% respectively. Across the full 13-year window we track, VEA has the edge at +3.14% annualized vs +1.06%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VEA has been the more volatile fund, with annualized monthly volatility of 17.8% compared with 4.1% for BNDX. 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 -17.2% for BNDX and -62.9% for VEA. 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 0.42. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

BNDX charges 0.07% per year while VEA charges 0.03%. On a $10,000 position that is $7 vs $3 annually, a gap of $4 per year that compounds over a long holding period. On income, BNDX currently yields 4.53% against 2.55% for VEA.

Holdings Overlap

0.0%overlap

BNDX and VEA share 0 holdings out of 3746 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, BNDX or VEA?

BNDX has an expense ratio of 0.07% while VEA charges 0.03%. VEA is the cheaper option. On a $10,000 investment, that is $4 per year of difference.

Which performed better, BNDX or VEA?

Over the past year BNDX returned +0.94% vs +27.39% for VEA, so VEA leads on 1-year performance. Over the longest common window we track (13 years), BNDX annualized +1.06% vs +3.14% for VEA. Past performance does not guarantee future results.

Which is riskier, BNDX or VEA?

VEA has been the more volatile fund at 17.8% annualized versus 4.1% for BNDX. Worst drawdown: BNDX -17.2% vs VEA -62.9%.

Should I hold both BNDX and VEA?

BNDX and VEA have a monthly-return correlation of 0.42, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between BNDX and VEA?

BNDX and VEA share 0 common holdings with a 0.0% weight overlap. Combined, they hold 3746 unique securities.

Which pays a higher dividend, BNDX or VEA?

BNDX yields 4.53% while VEA yields 2.55%, so BNDX currently pays the higher dividend yield.

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