VBF vs VTI
Invesco Bond Fund vs Vanguard Morningstar Total Stock Market ETF
Which is better, VBF or VTI?
Long Term Mid Quality against Large Cap Blend.
VTI has a lower expense ratio. VTI 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 | VBF | VTI |
|---|---|---|
| Expense Ratio | 0.54% | 0.03%Best |
| AUM | $4,400.74 | $666.9B |
| Dividend Yield | 5.15% | 1.07% |
| Holdings | 1,492 | 3,543 |
| YTD Return | -1.89% | +13.59%Best |
| 1Y Return | -0.88% | +20.00%Best |
| 3Y Return (annualized) | +5.38% | +20.95%Best |
| 5Y Return (annualized) | -1.72% | +11.81%Best |
| Volatility (annualized) | 10.2%Best | 15.3% |
| Max Drawdown | -37.7%Best | -56.6% |
| $10,000 over 5 years | $9,169 | $17,474Best |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Long Term Mid Quality | Large Cap Blend |
| Inception | Oct 28, 1970 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 31, 2001 to Sep 4, 2026 (25.3 years).
VBF vs VTI 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.
VBF vs VTI Performance
Invesco Bond Fund (VBF) is an ETF from Invesco (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year VBF returned -0.88% while VTI returned +20.00%. Year to date, VBF is down 1.89% versus a gain of 13.59% for VTI.
Over three years, VBF compounded at +5.38% per year against +20.95% for VTI; over five years the annualized figures are -1.72% and +11.81% respectively. Across the full 25-year window we track, VTI has the edge at +8.09% annualized vs +0.09%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 10.2% for VBF. 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 -37.7% for VBF and -56.6% for VTI. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.31. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VBF charges 0.54% per year while VTI charges 0.03%. On a $10,000 position that is $54 vs $3 annually, a gap of $51 per year that compounds over a long holding period. On income, VBF currently yields 5.15% against 1.07% for VTI.
Holdings Overlap
We hold position weights for 1,017 holdings in VBF and 2,788 in VTI, totalling 61.3% and 92.3% 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, 3 positions appear in both.
The two holdings books were reported 122 days apart, VBF as of Feb 28, 2026 and VTI as of Jun 30, 2026, so some of the difference between them is the time between the two reports rather than the funds.
3 positions in common, counted across the 1,017 positions we hold weights for in VBF and 2,788 in VTI, against full books of 1,492 and 3,543.
You are not choosing between two funds in isolation.
Whichever of VBF and VTI 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, VBF or VTI?
VBF has an expense ratio of 0.54% while VTI charges 0.03%. VTI is the cheaper option, by $51 a year on a $10,000 investment.
Which performed better, VBF or VTI?
Over the past year VBF returned -0.88% vs +20.00% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (25 years), VBF annualized +0.09% vs +8.09% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VBF or VTI?
VTI has been the more volatile fund at 15.3% annualized versus 10.2% for VBF. Worst drawdown: VBF -37.7% vs VTI -56.6%.
Should I hold both VBF and VTI?
VBF and VTI have a monthly-return correlation of 0.31, 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, VBF or VTI?
VBF yields 5.15% while VTI yields 1.07%, so VBF currently pays the higher dividend yield.
Is VTI better than VBF?
VTI has a lower expense ratio. VTI 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.