IBND vs VXUS

IBND vs VXUS

Which is better, IBND or VXUS?

VXUS has been ahead.

VXUS has a lower expense ratio. VXUS led over 1Y, 3Y, 5Y and the full window.

Lower Fees: VXUSHigher Returns: VXUS

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

MetricIBNDVXUS
Expense Ratio0.50%0.05%Best
AUM$458M$158.1B
Dividend Yield2.79%2.51%
Holdings9488,747
YTD Return-3.11%+12.82%Best
1Y Return-3.54%+19.86%Best
3Y Return (annualized)+5.86%+19.33%Best
5Y Return (annualized)-1.37%+9.46%Best
Volatility (annualized)9.4%Best15.0%
Max Drawdown-35.6%Best-39.9%
$10,000 over 5 years$9,334$15,714Best
Fund FamilySPDR State Street Global AdvisorsVanguard (US)
CategoryFixed IncomeEquity
Style-Large Cap Blend
InceptionMay 19, 2010Jan 26, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Jan 28, 2011 to Sep 18, 2026 (15.6 years).

IBND vs VXUS 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 15.6 years both funds cover.

IBND vs VXUS Performance

State Street SPDR Bloomberg International Corporate Bond ETF (IBND) is an ETF from SPDR State Street Global Advisors and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year IBND returned -3.54% while VXUS returned +19.86%. Year to date, IBND is down 3.11% versus a gain of 12.82% for VXUS.

Over three years, IBND compounded at +5.86% per year against +19.33% for VXUS; over five years the annualized figures are -1.37% and +9.46% respectively. Across the full 16-year window we track, VXUS has the edge at +4.72% annualized vs +0.24%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.0% compared with 9.4% for IBND. 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 -35.6% for IBND and -39.9% for VXUS. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.75. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

IBND charges 0.50% per year while VXUS charges 0.05%. On a $10,000 position that is $50 vs $5 annually, a gap of $45 per year that compounds over a long holding period. On income, IBND currently yields 2.79% against 2.51% for VXUS.

Holdings Overlap

We hold position weights for 48 holdings in IBND and 8,082 in VXUS, totalling 4.8% and 88.8% 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 48 positions we hold weights for in IBND and 8,082 in VXUS, against full books of 948 and 8,747.

You are not choosing between two funds in isolation.

Whichever of IBND and VXUS you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

IBNDVXUS

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IBND or VXUS?

IBND has an expense ratio of 0.50% while VXUS charges 0.05%. VXUS is the cheaper option, by $45 a year on a $10,000 investment.

Which performed better, IBND or VXUS?

Over the past year IBND returned -3.54% vs +19.86% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (16 years), IBND annualized +0.24% vs +4.72% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IBND or VXUS?

VXUS has been the more volatile fund at 15.0% annualized versus 9.4% for IBND. Worst drawdown: IBND -35.6% vs VXUS -39.9%.

Should I hold both IBND and VXUS?

IBND and VXUS have a monthly-return correlation of 0.75, 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, IBND or VXUS?

IBND yields 2.79% while VXUS yields 2.51%, so IBND currently pays the higher dividend yield.

Is VXUS better than IBND?

VXUS has a lower expense ratio. VXUS 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.