BLUI vs. VGMS

Last updated Jun 5, 2026

BLUI (Bluemonte Diversified Income ETF) and VGMS (Vanguard Multi-Sector Income Bond ETF) are both Multisector Bonds funds. A 0.74 correlation means they provide meaningful diversification when combined. BLUI charges 0.75%/yr vs 0.30%/yr for VGMS.

Performance

BLUI vs. VGMS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Bluemonte Diversified Income ETF (BLUI) and Vanguard Multi-Sector Income Bond ETF (VGMS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BLUI achieves a 3.69% return, which is significantly higher than VGMS's 1.29% return.

BLUI

• 1D: 0.41%
• 1M: 0.31%
• YTD: 3.69%
• 6M: 3.59%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

VGMS

• 1D: 0.23%
• 1M: 0.38%
• YTD: 1.29%
• 6M: 1.72%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

BLUI vs. VGMS - Yearly Performance Comparison

	2026 (YTD)	2025
BLUI Bluemonte Diversified Income ETF	3.69%	3.80%
VGMS Vanguard Multi-Sector Income Bond ETF	1.29%	4.97%

Correlation

The correlation between BLUI and VGMS is 0.74, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jun 24, 2025	0.74

Return for Risk

BLUI vs. VGMS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Bluemonte Diversified Income ETF (BLUI) and Vanguard Multi-Sector Income Bond ETF (VGMS). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	BLUI	VGMS	Difference
Sharpe Ratio (All Time) Calculated using the full available price history	2.07	2.18	-0.10

Drawdowns

BLUI vs. VGMS - Drawdown Comparison

The maximum BLUI drawdown since its inception was -2.43%, roughly equal to the maximum VGMS drawdown of -2.46%. Use the drawdown chart below to compare losses from any high point for BLUI and VGMS.

Drawdown Indicators

	BLUI	VGMS	Difference
Max Drawdown Largest peak-to-trough decline	-2.43%	-2.46%	+0.03%
Current Drawdown Current decline from peak	-0.02%	-0.16%	+0.14%
Average Drawdown Average peak-to-trough decline	-0.36%	-0.31%	-0.05%

Volatility

Volatility by Period

	BLUI	VGMS	Difference
Volatility (1Y) Calculated over the trailing 1-year period	3.90%	3.21%	+0.69%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.90%	3.21%	+0.69%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.90%	3.21%	+0.69%

BLUI vs. VGMS - Expense Ratio Comparison

BLUI has a 0.75% expense ratio, which is higher than VGMS's 0.30% expense ratio.

Dividends

BLUI vs. VGMS - Dividend Comparison

BLUI's dividend yield for the trailing twelve months is around 4.70%, less than VGMS's 5.15% yield.

Position	TTM	2025
BLUI Bluemonte Diversified Income ETF	4.70%	2.91%
VGMS Vanguard Multi-Sector Income Bond ETF	5.15%	2.94%

Frequently Asked Questions

Can I hold both BLUI and VGMS in my portfolio?

BLUI and VGMS have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, BLUI or VGMS?

On fees, VGMS is cheaper at 0.30% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, BLUI or VGMS?

VGMS is cheaper with a 0.30% expense ratio, compared with 0.75% for BLUI.

Which ETF pays a higher dividend yield, BLUI or VGMS?

VGMS has the higher dividend yield at 5.15%, compared with 4.70% for BLUI.

What is the main difference between BLUI and VGMS?

They also come from different issuers: Bluemonte and Vanguard. Their fees differ too: 0.75% for BLUI and 0.30% for VGMS.