BNDX vs VTIP
Vanguard Total International Bond ETF vs Vanguard Short-Term Inflation-Protected Securities ETF
Which is better, BNDX or VTIP?
VTIP has been ahead.
VTIP has a lower expense ratio. VTIP 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 | BNDX | VTIP |
|---|---|---|
| Expense Ratio | 0.07% | 0.03%Best |
| AUM | $83.4B | $20.5B |
| Dividend Yield | 4.58% | 4.15% |
| Holdings | 6,827 | 26 |
| YTD Return | -0.68% | +1.31%Best |
| 1Y Return | -0.49% | +1.58%Best |
| 3Y Return (annualized) | +4.11% | +5.24%Best |
| 5Y Return (annualized) | +0.16% | +3.11%Best |
| Volatility (annualized) | 4.1% | 2.4%Best |
| Max Drawdown | -17.2% | -6.7%Best |
| $10,000 over 5 years | $10,080 | $11,655Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Fixed Income | Fixed Income |
| Style | Long Term Mid Quality | - |
| Inception | May 31, 2013 | Oct 12, 2012 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jun 4, 2013 to Oct 9, 2026 (13.3 years).
BNDX vs VTIP 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 13.3 years both funds cover.
BNDX vs VTIP Performance
Vanguard Total International Bond ETF (BNDX) is an ETF from Vanguard (US) and Vanguard Short-Term Inflation-Protected Securities ETF (VTIP) is an ETF from Vanguard (US). Over the past year BNDX returned -0.49% while VTIP returned +1.58%. Year to date, BNDX is down 0.68% versus a gain of 1.31% for VTIP.
Over three years, BNDX compounded at +4.11% per year against +5.24% for VTIP; over five years the annualized figures are +0.16% and +3.11% respectively. Across the full 13-year window we track, VTIP has the edge at +1.63% annualized vs +0.99%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
BNDX has been the more volatile fund, with annualized monthly volatility of 4.1% compared with 2.4% for VTIP. 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 -6.7% for VTIP. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.54. They move together some of the time, and apart the rest.
Fees and Cost Over Time
BNDX charges 0.07% per year while VTIP 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 4.58% against 4.15% for VTIP.
Holdings Overlap
We hold position weights for 556 holdings in BNDX and 24 in VTIP, totalling 4.3% and 89.6% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 1 positions appear in both.
1 positions in common, counted across the 556 positions we hold weights for in BNDX and 24 in VTIP, against full books of 6,827 and 26.
Top Shared Holdings
| Stock | Weight in BNDX | Weight in VTIP | Difference |
|---|---|---|---|
| CURVVanguard Market Liquidity Fund | 1.91% | 2.68% | 0.77% |
You are not choosing between two funds in isolation.
Whichever of BNDX and VTIP 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 VTIP?
BNDX has an expense ratio of 0.07% while VTIP charges 0.03%. VTIP is the cheaper option, by $4 a year on a $10,000 investment.
Which performed better, BNDX or VTIP?
Over the past year BNDX returned -0.49% vs +1.58% for VTIP, so VTIP leads on 1-year performance. Over the longest common window we track (13 years), BNDX annualized +0.99% vs +1.63% for VTIP. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, BNDX or VTIP?
BNDX has been the more volatile fund at 4.1% annualized versus 2.4% for VTIP. Worst drawdown: BNDX -17.2% vs VTIP -6.7%.
Should I hold both BNDX and VTIP?
BNDX and VTIP have a monthly-return correlation of 0.54, 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 VTIP?
BNDX yields 4.58% while VTIP yields 4.15%, so BNDX currently pays the higher dividend yield.
Is VTIP better than BNDX?
VTIP has a lower expense ratio. VTIP 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.