BNDC vs. IQDY

Last updated Jun 5, 2026

BNDC (FlexShares Core Select Bond Fund) and IQDY (FlexShares International Quality Dividend Dynamic Index Fund) are both exchange-traded funds - BNDC is a Intermediate Core Bond fund actively managed by Northern Trust, while IQDY is a Foreign Large Cap Equities fund tracking the Northern Trust International Quality Dividend Dynamic Index. BNDC is actively managed, while IQDY is passively managed. Over the past 5 years, BNDC returned -0.19%/yr vs 10.67%/yr for IQDY. At a 0.09 correlation, their price movements are largely independent. BNDC charges 0.35%/yr vs 0.47%/yr for IQDY.

Performance

BNDC vs. IQDY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares Core Select Bond Fund (BNDC) and FlexShares International Quality Dividend Dynamic Index Fund (IQDY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BNDC achieves a 0.07% return, which is significantly lower than IQDY's 13.88% return.

BNDC

• 1D: 0.13%
• 1M: 0.12%
• YTD: 0.07%
• 6M: 0.16%
• 1Y: 4.25%
• 3Y*: 3.76%
• 5Y*: -0.19%
• 10Y*: —

IQDY

• 1D: -4.01%
• 1M: -1.54%
• YTD: 13.88%
• 6M: 16.16%
• 1Y: 35.92%
• 3Y*: 22.73%
• 5Y*: 10.67%
• 10Y*: 11.22%

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

BNDC vs. IQDY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
BNDC FlexShares Core Select Bond Fund	0.07%	7.29%	0.86%	5.36%	-13.54%	-2.01%	8.66%	9.57%	-1.49%	3.97%
IQDY FlexShares International Quality Dividend Dynamic Index Fund	13.88%	37.44%	5.97%	23.45%	-15.78%	12.00%	9.54%	27.27%	-20.04%	24.06%

Correlation

The correlation between BNDC and IQDY is 0.37, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.37
Correlation (3Y) Calculated over the trailing 3-year period	0.29
Correlation (5Y) Calculated over the trailing 5-year period	0.21
Correlation (All Time) Calculated using the full available price history since Nov 22, 2016	0.09

Over the past year, BNDC and IQDY have become more correlated (0.37) than their long-term average of 0.09, meaning their price movements have been converging.

BNDC vs. IQDY - Sectors Allocation Comparison

Sectors	BNDC	IQDY
Financial Services	100.0%	26.3%
Basic Materials	-	7.8%
Communication Services	-	3.5%
Consumer Cyclical	-	8.8%
Consumer Defensive	-	3.5%
Energy	-	7.6%
Healthcare	-	5.4%
Industrials	-	14.5%
Real Estate	-	1.0%
Technology	-	18.2%
Utilities	-	3.4%

Return for Risk

BNDC vs. IQDY — Risk / Return Rank

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

BNDC

BNDC Risk / Return Rank: 30
BNDC Sharpe Ratio Rank: 31
BNDC Sortino Ratio Rank: 31
BNDC Omega Ratio Rank: 28
BNDC Calmar Ratio Rank: 31
BNDC Martin Ratio Rank: 30

IQDY

IQDY Risk / Return Rank: 71
IQDY Sharpe Ratio Rank: 71
IQDY Sortino Ratio Rank: 67
IQDY Omega Ratio Rank: 70
IQDY Calmar Ratio Rank: 72
IQDY Martin Ratio Rank: 74

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.

BNDC vs. IQDY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares Core Select Bond Fund (BNDC) and FlexShares International Quality Dividend Dynamic Index Fund (IQDY). 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.

	BNDC	IQDY	Difference
Sharpe ratio: Return per unit of total volatility	1.09	2.19	-1.11
Sortino ratio: Return per unit of downside risk	1.62	2.91	-1.29
Omega ratio: Gain probability vs. loss probability	1.19	1.40	-0.21
Calmar ratio: Return relative to maximum drawdown	1.49	3.46	-1.98
Martin ratio: Return relative to average drawdown	4.39	13.53	-9.15
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BNDC vs. IQDY - Sharpe Ratio Comparison

The current BNDC Sharpe Ratio is 1.09, which is lower than the IQDY Sharpe Ratio of 2.19. The chart below compares the historical Sharpe Ratios of BNDC and IQDY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	BNDC	IQDY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.09	2.19	-1.11
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.03	0.60	-0.63
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.61	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.21	0.48	-0.27

Drawdowns

BNDC vs. IQDY - Drawdown Comparison

The maximum BNDC drawdown since its inception was -18.80%, smaller than the maximum IQDY drawdown of -39.60%. Use the drawdown chart below to compare losses from any high point for BNDC and IQDY.

Drawdown Indicators

	BNDC	IQDY	Difference
Max Drawdown Largest peak-to-trough decline	-18.80%	-39.60%	+20.80%
Max Drawdown (1Y) Largest decline over 1 year	-2.87%	-10.42%	+7.55%
Max Drawdown (3Y) Largest decline over 3 years	-6.30%	-14.76%	+8.46%
Max Drawdown (5Y) Largest decline over 5 years	-18.60%	-33.03%	+14.43%
Max Drawdown (10Y) Largest decline over 10 years	—	-39.60%	—
Current Drawdown Current decline from peak	-3.34%	-4.30%	+0.96%
Average Drawdown Average peak-to-trough decline	-7.35%	-9.10%	+1.75%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.97%	2.66%	-1.69%

Volatility

BNDC vs. IQDY - Volatility Comparison

The current volatility for FlexShares Core Select Bond Fund (BNDC) is 1.23%, while FlexShares International Quality Dividend Dynamic Index Fund (IQDY) has a volatility of 6.59%. This indicates that BNDC experiences smaller price fluctuations and is considered to be less risky than IQDY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BNDC	IQDY	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.23%	6.59%	-5.36%
Volatility (6M) Calculated over the trailing 6-month period	2.78%	14.04%	-11.26%
Volatility (1Y) Calculated over the trailing 1-year period	3.99%	16.44%	-12.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.07%	17.89%	-11.82%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	8.05%	18.47%	-10.42%

BNDC vs. IQDY - Expense Ratio Comparison

BNDC has a 0.35% expense ratio, which is lower than IQDY's 0.47% expense ratio.

Dividends

BNDC vs. IQDY - Dividend Comparison

BNDC's dividend yield for the trailing twelve months is around 4.15%, more than IQDY's 2.86% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BNDC FlexShares Core Select Bond Fund	4.15%	4.16%	3.81%	3.19%	2.64%	1.72%	2.61%	2.89%	2.86%	2.50%	0.64%	0.00%
IQDY FlexShares International Quality Dividend Dynamic Index Fund	2.86%	3.26%	6.95%	6.45%	5.52%	3.89%	2.62%	3.85%	5.97%	3.57%	3.77%	4.08%

Frequently Asked Questions

Can I hold both BNDC and IQDY in my portfolio?

BNDC and IQDY have a correlation of 0.37, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BNDC or IQDY?

IQDY has higher volatility (6.59%) compared to BNDC (1.23%). In terms of maximum drawdown, BNDC dropped -18.80% vs IQDY's -39.60%.

Which ETF is better, BNDC or IQDY?

On 5-year performance, IQDY leads with 10.67% vs -0.19% for BNDC. On fees, BNDC is cheaper at 0.35% per year. On volatility, BNDC has been the lower-risk option at 1.23%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BNDC or IQDY?

Over the 5-year period, IQDY has performed better with a 10.67% return vs -0.19%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BNDC or IQDY?

BNDC is cheaper with a 0.35% expense ratio, compared with 0.47% for IQDY.

Which ETF pays a higher dividend yield, BNDC or IQDY?

BNDC has the higher dividend yield at 4.15%, compared with 2.86% for IQDY.

What is the main difference between BNDC and IQDY?

BNDC is categorized as Intermediate Core Bond, while IQDY is Foreign Large Cap Equities. Their fees differ too: 0.35% for BNDC and 0.47% for IQDY.

Which has better risk-adjusted returns?

IQDY currently has the higher Sharpe Ratio (2.19 vs 1.09), 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.