BND vs. VBTLX

Last updated Jun 12, 2026

BND (Vanguard Total Bond Market ETF) and VBTLX (Vanguard Total Bond Market Index Fund Admiral Shares) are both Total Bond Market funds from Vanguard tracking the Bloomberg U.S. Aggregate Float Adjusted Index. Both are passively managed. Over the past 10 years, BND returned 1.60%/yr vs 1.50%/yr for VBTLX. Their correlation of 0.89 suggests significant overlap in exposure. BND charges 0.03%/yr vs 0.04%/yr for VBTLX.

Performance

BND vs. VBTLX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Total Bond Market ETF (BND) and Vanguard Total Bond Market Index Fund Admiral Shares (VBTLX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BND achieves a 0.64% return, which is significantly higher than VBTLX's -0.10% return. Over the past 10 years, BND has outperformed VBTLX with an annualized return of 1.60%, while VBTLX has yielded a comparatively lower 1.50% annualized return.

BND

• 1D: 0.58%
• 1M: 0.58%
• YTD: 0.64%
• 6M: 0.72%
• 1Y: 4.91%
• 3Y*: 4.06%
• 5Y*: 0.06%
• 10Y*: 1.60%

VBTLX

• 1D: -0.10%
• 1M: 0.03%
• YTD: -0.10%
• 6M: 0.13%
• 1Y: 4.36%
• 3Y*: 3.94%
• 5Y*: -0.05%
• 10Y*: 1.50%

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

BND vs. VBTLX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
BND Vanguard Total Bond Market ETF	0.64%	7.08%	1.38%	5.65%	-13.11%	-1.86%	7.71%	8.84%	-0.12%	3.57%
VBTLX Vanguard Total Bond Market Index Fund Admiral Shares	-0.10%	7.17%	1.26%	5.74%	-13.16%	-1.81%	7.72%	8.73%	-0.25%	3.56%

Correlation

The correlation between BND and VBTLX is 0.92, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.92
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (10Y) Calculated over the trailing 10-year period	0.94
Correlation (All Time) Calculated using the full available price history since Apr 10, 2007	0.89

The correlation between BND and VBTLX has been stable across timeframes, ranging from 0.89 to 0.96 - a consistent structural relationship.

Return for Risk

BND vs. VBTLX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

BND

BND Risk / Return Rank: 44
BND Sharpe Ratio Rank: 46
BND Sortino Ratio Rank: 48
BND Omega Ratio Rank: 43
BND Calmar Ratio Rank: 45
BND Martin Ratio Rank: 40

VBTLX

VBTLX Risk / Return Rank: 24
VBTLX Sharpe Ratio Rank: 24
VBTLX Sortino Ratio Rank: 25
VBTLX Omega Ratio Rank: 22
VBTLX Calmar Ratio Rank: 25
VBTLX Martin Ratio Rank: 22

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

BND vs. VBTLX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Total Bond Market ETF (BND) and Vanguard Total Bond Market Index Fund Admiral Shares (VBTLX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	BND	VBTLX	Difference
Sharpe ratio: Return per unit of total volatility	1.32	1.21	+0.11
Sortino ratio: Return per unit of downside risk	1.98	1.81	+0.17
Omega ratio: Gain probability vs. loss probability	1.23	1.21	+0.02
Calmar ratio: Return relative to maximum drawdown	1.84	1.63	+0.22
Martin ratio: Return relative to average drawdown	5.38	4.73	+0.66

BND vs. VBTLX - Sharpe Ratio Comparison

The current BND Sharpe Ratio is 1.32, which is comparable to the VBTLX Sharpe Ratio of 1.21. The chart below compares the historical Sharpe Ratios of BND and VBTLX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

BND vs. VBTLX - Drawdown Comparison

The maximum BND drawdown since its inception was -18.58%, roughly equal to the maximum VBTLX drawdown of -18.81%. Use the drawdown chart below to compare losses from any high point for BND and VBTLX.

Drawdown Indicators

	BND	VBTLX	Difference
Max Drawdown Largest peak-to-trough decline	-18.58%	-18.81%	+0.23%
Max Drawdown (1Y) Largest decline over 1 year	-2.68%	-2.89%	+0.21%
Max Drawdown (3Y) Largest decline over 3 years	-5.92%	-6.00%	+0.08%
Max Drawdown (5Y) Largest decline over 5 years	-17.91%	-18.14%	+0.23%
Max Drawdown (10Y) Largest decline over 10 years	-18.58%	-18.81%	+0.23%
Current Drawdown Current decline from peak	-2.00%	-2.68%	+0.68%
Average Drawdown Average peak-to-trough decline	-3.06%	-2.67%	-0.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.91%	0.99%	-0.08%

Volatility

BND vs. VBTLX - Volatility Comparison

Vanguard Total Bond Market ETF (BND) and Vanguard Total Bond Market Index Fund Admiral Shares (VBTLX) have volatilities of 1.27% and 1.27%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BND	VBTLX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.27%	1.27%	0.00%
Volatility (6M) Calculated over the trailing 6-month period	2.75%	2.80%	-0.05%
Volatility (1Y) Calculated over the trailing 1-year period	3.75%	3.90%	-0.15%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.03%	6.01%	+0.02%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.53%	4.98%	+0.55%

BND vs. VBTLX - Expense Ratio Comparison

BND has a 0.03% expense ratio, which is lower than VBTLX's 0.04% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

BND vs. VBTLX - Dividend Comparison

BND's dividend yield for the trailing twelve months is around 3.95%, less than VBTLX's 4.00% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BND Vanguard Total Bond Market ETF	3.95%	3.86%	3.67%	3.09%	2.60%	2.12%	2.38%	2.72%	2.81%	2.54%	2.51%	2.57%
VBTLX Vanguard Total Bond Market Index Fund Admiral Shares	4.00%	3.87%	3.69%	3.10%	2.59%	1.96%	2.39%	2.74%	2.57%	2.56%	2.53%	2.82%

Frequently Asked Questions

Can I hold both BND and VBTLX in my portfolio?

With a correlation of 0.92, BND and VBTLX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, BND or VBTLX?

VBTLX has higher volatility (1.27%) compared to BND (1.27%). In terms of maximum drawdown, BND dropped -18.58% vs VBTLX's -18.81%.

Which has better risk-adjusted returns?

BND currently has the higher Sharpe Ratio (1.32 vs 1.21), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.