BNDX vs VIITX
Vanguard Total International Bond ETF vs Vanguard Institutional Intermediate Term Bond Fund Institutional Plus Class
Which is better, BNDX or VIITX?
Long Term Mid Quality against Intermediate Term Bond.
VIITX has a lower expense ratio.
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 | BNDX | VIITX |
|---|---|---|
| Expense Ratio | 0.07% | 0.02%Best |
| AUM | $83.4B | - |
| Dividend Yield | 4.58% | 4.60% |
| Holdings | 6,827 | 2,710 |
| YTD Price Return | -3.15% | -4.34% |
| 1Y Price Return | -5.25% | -4.21% |
| 3Y Price Return (annualized) | -0.55% | +0.37% |
| 5Y Price Return (annualized) | -3.88% | -2.73% |
| Volatility (annualized) | 5.7% | 4.3%Best |
| Max Drawdown | -18.4% | -14.6%Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Fixed Income | Fixed Income |
| Style | Long Term Mid Quality | Intermediate Term Bond |
| Inception | May 31, 2013 | Dec 1, 1997 |
Not shown on this pair: $10,000 over 5 years, Top 10 Weight.
A price return is not the return of a fund that pays its income out. The coupon or distribution never appears in the price, so the return rows carry no winner here. BNDX currently yields 4.58% and VIITX 4.60%.
Volatility and max drawdown are measured over the window both funds cover: Oct 4, 2021 to Sep 30, 2026 (5 years).
BNDX vs VIITX Performance
Vanguard Total International Bond ETF (BNDX) is an ETF from Vanguard (US) and Vanguard Institutional Intermediate Term Bond Fund Institutional Plus Class (VIITX) is a mutual fund from Vanguard (US). Over the past year BNDX's price moved -5.25% and VIITX's -4.21%, before the income each one paid out.
Over three years, BNDX compounded at -0.55% per year against +0.37% for VIITX; over five years the annualized figures are -3.88% and -2.73% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
BNDX has been the more volatile fund, with annualized monthly volatility of 5.7% compared with 4.3% for VIITX. 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 -18.4% for BNDX and -14.6% for VIITX. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.78. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
BNDX charges 0.07% per year while VIITX charges 0.02%. On a $10,000 position that is $7 vs $2 annually, a gap of $5 per year that compounds over a long holding period. On income, BNDX currently yields 4.58% against 4.60% for VIITX.
Structure and taxes
VIITX is a mutual fund and BNDX is an ETF. A mutual fund prices once a day at net asset value and may carry a purchase minimum. An ETF trades through the day at whatever the market pays for it.
In a taxable account the difference that usually matters is distributions. An ETF can meet redemptions in kind, so it rarely has to sell holdings and rarely passes a capital gain to the people who held it; a mutual fund that sells holdings to meet redemptions can distribute a realised gain at year end to everyone still in the fund, whether or not they sold anything themselves. In a tax-deferred account that difference largely disappears. Both are descriptions of how the two wrappers work, not a recommendation.
Tax-loss harvesting works on either wrapper.
Holdings Overlap
We hold position weights for 556 holdings in BNDX and 691 in VIITX, totalling 4.3% and 32.7% 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 62 days apart, BNDX as of Aug 31, 2026 and VIITX 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 556 positions we hold weights for in BNDX and 691 in VIITX, against full books of 6,827 and 2,710.
You are not choosing between two funds in isolation.
Whichever of BNDX and VIITX 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, BNDX or VIITX?
BNDX has an expense ratio of 0.07% while VIITX charges 0.02%. VIITX is the cheaper option, by $5 a year on a $10,000 investment.
Which is riskier, BNDX or VIITX?
BNDX has been the more volatile fund at 5.7% annualized versus 4.3% for VIITX. Worst drawdown: BNDX -18.4% vs VIITX -14.6%.
Should I hold both BNDX and VIITX?
BNDX and VIITX have a monthly-return correlation of 0.78, 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, BNDX or VIITX?
BNDX yields 4.58% while VIITX yields 4.60%, so VIITX currently pays the higher dividend yield.
Is it better to hold VIITX or BNDX in a taxable account?
BNDX is an ETF and VIITX is a mutual fund. An ETF can meet redemptions in kind, so it rarely distributes a capital gain to the people holding it. A mutual fund that sells holdings to meet redemptions can pass a realised gain to every holder at year end. In a tax-deferred account that difference largely disappears. This is information, not a recommendation.
Is VIITX better than BNDX?
VIITX has a lower expense ratio. Which one suits a particular account depends on what it is for. This is information, not a recommendation.