VTBNX vs VTCIX
Vanguard Total Bond Market II Index Fund Institutional Shares vs Vanguard Tax-Managed Capital Appreciation Fund Institutional Shares
Which is better, VTBNX or VTCIX?
Long Term High Quality against Large Cap Blend.
VTBNX 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 | VTBNX | VTCIX |
|---|---|---|
| Expense Ratio | 0.02%Best | 0.03% |
| AUM | $207.3B | $5.2B |
| Dividend Yield | 3.80% | 0.90% |
| Holdings | 14,920 | 836 |
| YTD Price Return | -3.95% | +11.60% |
| 1Y Price Return | -4.74% | +15.87% |
| 3Y Price Return (annualized) | +0.00% | +19.44% |
| 5Y Price Return (annualized) | -3.90% | +11.04% |
| Volatility (annualized) | 6.3%Best | 15.9% |
| Max Drawdown | -21.5%Best | -26.0% |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Long Term High Quality | Large Cap Blend |
| Inception | Feb 17, 2009 | Feb 24, 1999 |
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. VTBNX currently yields 3.80% and VTCIX 0.90%.
Volatility and max drawdown are measured over the window both funds cover: Sep 14, 2021 to Sep 11, 2026 (5 years).
VTBNX vs VTCIX Performance
Vanguard Total Bond Market II Index Fund Institutional Shares (VTBNX) is a mutual fund from Vanguard (US) and Vanguard Tax-Managed Capital Appreciation Fund Institutional Shares (VTCIX) is a mutual fund from Vanguard (US). Over the past year VTBNX's price moved -4.74% and VTCIX's +15.87%, before the income each one paid out.
Over three years, VTBNX compounded at +0.00% per year against +19.44% for VTCIX; over five years the annualized figures are -3.90% and +11.04% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTCIX has been the more volatile fund, with annualized monthly volatility of 15.9% compared with 6.3% for VTBNX. 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 -21.5% for VTBNX and -26.0% for VTCIX. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.63. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VTBNX charges 0.02% per year while VTCIX charges 0.03%. On a $10,000 position that is $2 vs $3 annually, a gap of $1 per year that compounds over a long holding period. On income, VTBNX currently yields 3.80% against 0.90% for VTCIX.
Holdings Overlap
At least 1.6% of VTCIX's money is in holdings VTBNX also owns.
Stated as a floor: for VTBNX, our book for it covers 61.9% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
VTCIX and VTBNX share little of their money.
9 positions in common, counted across the 12,623 positions we hold weights for in VTBNX and 884 in VTCIX, against full books of 14,920 and 836.
Top Shared Holdings
| Stock | Weight in VTBNX | Weight in VTCIX | Difference |
|---|---|---|---|
| LRCXLam Research Corpcommon Stock | 0.00% | 0.79% | 0.79% |
| TMUST-Mobile Usa Inc Esrw Usd Npv Ref Sm#585558 | 0.04% | 0.19% | 0.15% |
| DUKDuke Energy Corp. | 0.01% | 0.13% | 0.12% |
| AONAon Plc-Class A | 0.00% | 0.13% | 0.13% |
| TRVTravelers Cos., Inc. | 0.00% | 0.11% | 0.11% |
| CNPCenterpoint Energy Inc. | 0.00% | 0.09% | 0.09% |
| TAt&t, Inc. | 0.00% | 0.08% | 0.08% |
| HUBBHubbell Inc. Class B | 0.00% | 0.04% | 0.04% |
| KDPKeurig Dr Pepper Inc. | 0.00% | 0.04% | 0.04% |
You are not choosing between two funds in isolation.
Whichever of VTBNX and VTCIX 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, VTBNX or VTCIX?
VTBNX has an expense ratio of 0.02% while VTCIX charges 0.03%. VTBNX is the cheaper option, by $1 a year on a $10,000 investment.
Which is riskier, VTBNX or VTCIX?
VTCIX has been the more volatile fund at 15.9% annualized versus 6.3% for VTBNX. Worst drawdown: VTBNX -21.5% vs VTCIX -26.0%.
Should I hold both VTBNX and VTCIX?
VTBNX and VTCIX have a monthly-return correlation of 0.63, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between VTBNX and VTCIX?
At least 1.6% of VTCIX's money is in holdings VTBNX also owns. Our book for VTBNX is partial, so the real figure is this or higher. They hold 9 positions in common, counted across the 12,623 positions we hold weights for in VTBNX and 884 in VTCIX.
Which pays a higher dividend, VTBNX or VTCIX?
VTBNX yields 3.80% while VTCIX yields 0.90%, so VTBNX currently pays the higher dividend yield.
Is VTCIX better than VTBNX?
VTBNX has a lower expense ratio. Which one suits a particular account depends on what it is for. This is information, not a recommendation.