OVB vs. BNDW

Last updated Jun 4, 2026

OVB (Overlay Shares Core Bond ETF) and BNDW (Vanguard Total World Bond ETF) are both exchange-traded funds - OVB is a Intermediate Core Bond fund actively managed by Liquid Strategies, while BNDW is a Global Bonds fund tracking the Bloomberg Global Aggregate Float Adjusted Composite Index. OVB is actively managed, while BNDW is passively managed. Over the past 5 years, OVB returned 0.74%/yr vs 0.22%/yr for BNDW. A 0.77 correlation means they provide meaningful diversification when combined. OVB charges 0.79%/yr vs 0.05%/yr for BNDW.

Performance

OVB vs. BNDW - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Overlay Shares Core Bond ETF (OVB) and Vanguard Total World Bond ETF (BNDW). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, OVB achieves a 2.58% return, which is significantly higher than BNDW's 0.42% return.

OVB

• 1D: -0.33%
• 1M: 0.69%
• YTD: 2.58%
• 6M: 2.47%
• 1Y: 9.55%
• 3Y*: 5.95%
• 5Y*: 0.74%
• 10Y*: —

BNDW

• 1D: -0.26%
• 1M: 0.44%
• YTD: 0.42%
• 6M: 0.18%
• 1Y: 3.51%
• 3Y*: 3.99%
• 5Y*: 0.22%
• 10Y*: —

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

OVB vs. BNDW - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
OVB Overlay Shares Core Bond ETF	2.58%	7.72%	4.03%	6.89%	-16.96%	0.71%	9.40%	1.22%
BNDW Vanguard Total World Bond ETF	0.42%	5.02%	2.42%	7.18%	-12.88%	-2.10%	6.22%	-0.59%

Correlation

The correlation between OVB and BNDW is 0.83, 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	0.83
Correlation (3Y) Calculated over the trailing 3-year period	0.79
Correlation (5Y) Calculated over the trailing 5-year period	0.81
Correlation (All Time) Calculated using the full available price history since Oct 2, 2019	0.77

The correlation between OVB and BNDW has been stable across timeframes, ranging from 0.77 to 0.83 - a consistent structural relationship.

OVB vs. BNDW - Sectors Allocation Comparison

Sectors	OVB	BNDW
Technology	35.6%	100.0%
Financial Services	11.8%	-
Communication Services	11.2%	-
Consumer Cyclical	10.1%	-
Healthcare	8.5%	-
Industrials	8.3%	-
Consumer Defensive	4.9%	-
Energy	3.5%	-
Utilities	2.4%	-
Real Estate	1.9%	-
Basic Materials	1.8%	-

Return for Risk

OVB vs. BNDW — Risk / Return Rank

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

OVB

OVB Risk / Return Rank: 59
OVB Sharpe Ratio Rank: 48
OVB Sortino Ratio Rank: 50
OVB Omega Ratio Rank: 52
OVB Calmar Ratio Rank: 76
OVB Martin Ratio Rank: 68

BNDW

BNDW Risk / Return Rank: 27
BNDW Sharpe Ratio Rank: 28
BNDW Sortino Ratio Rank: 27
BNDW Omega Ratio Rank: 26
BNDW Calmar Ratio Rank: 27
BNDW Martin Ratio Rank: 26

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.

OVB vs. BNDW - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Overlay Shares Core Bond ETF (OVB) and Vanguard Total World Bond ETF (BNDW). 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.

	OVB	BNDW	Difference
Sharpe ratio Return per unit of total volatility	1.65	1.05	+0.60
Sortino ratio Return per unit of downside risk	2.44	1.50	+0.95
Omega ratio Gain probability vs. loss probability	1.33	1.18	+0.14
Calmar ratio Return relative to maximum drawdown	3.85	1.31	+2.54
Martin ratio Return relative to average drawdown	12.52	3.70	+8.83
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

OVB vs. BNDW - Sharpe Ratio Comparison

The current OVB Sharpe Ratio is 1.65, which is higher than the BNDW Sharpe Ratio of 1.05. The chart below compares the historical Sharpe Ratios of OVB and BNDW, 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

	OVB	BNDW	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.65	1.05	+0.60
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.10	0.04	+0.06
Sharpe Ratio (All Time) Calculated using the full available price history	0.26	0.37	-0.11

Drawdowns

OVB vs. BNDW - Drawdown Comparison

The maximum OVB drawdown since its inception was -21.69%, which is greater than BNDW's maximum drawdown of -17.22%. Use the drawdown chart below to compare losses from any high point for OVB and BNDW.

Drawdown Indicators

	OVB	BNDW	Difference
Max Drawdown Largest peak-to-trough decline	-21.69%	-17.22%	-4.47%
Max Drawdown (1Y) Largest decline over 1 year	-2.49%	-2.70%	+0.21%
Max Drawdown (3Y) Largest decline over 3 years	-8.18%	-4.27%	-3.91%
Max Drawdown (5Y) Largest decline over 5 years	-21.69%	-16.93%	-4.76%
Current Drawdown Current decline from peak	-0.37%	-1.53%	+1.16%
Average Drawdown Average peak-to-trough decline	-7.04%	-4.98%	-2.06%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.76%	0.95%	-0.19%

Volatility

OVB vs. BNDW - Volatility Comparison

Overlay Shares Core Bond ETF (OVB) has a higher volatility of 1.49% compared to Vanguard Total World Bond ETF (BNDW) at 1.31%. This indicates that OVB's price experiences larger fluctuations and is considered to be riskier than BNDW based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	OVB	BNDW	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.49%	1.31%	+0.18%
Volatility (6M) Calculated over the trailing 6-month period	4.69%	2.62%	+2.07%
Volatility (1Y) Calculated over the trailing 1-year period	5.80%	3.36%	+2.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.31%	5.21%	+2.10%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	7.58%	4.90%	+2.68%

OVB vs. BNDW - Expense Ratio Comparison

OVB has a 0.79% expense ratio, which is higher than BNDW's 0.05% expense ratio.

Dividends

OVB vs. BNDW - Dividend Comparison

OVB's dividend yield for the trailing twelve months is around 6.96%, more than BNDW's 4.21% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
BNDW Vanguard Total World Bond ETF	4.21%	4.12%	3.90%	3.73%	2.02%	2.58%	1.56%	3.05%	1.66%
OVB Overlay Shares Core Bond ETF	6.96%	6.00%	5.81%	5.20%	4.67%	4.59%	3.88%	0.58%	0.00%

Frequently Asked Questions

Can I hold both OVB and BNDW in my portfolio?

OVB and BNDW have a correlation of 0.83, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, OVB or BNDW?

OVB has higher volatility (1.49%) compared to BNDW (1.31%). In terms of maximum drawdown, OVB dropped -21.69% vs BNDW's -17.22%.

Which ETF is better, OVB or BNDW?

On 5-year performance, OVB leads with 0.74% vs 0.22% for BNDW. On fees, BNDW is cheaper at 0.05% per year. On volatility, BNDW has been the lower-risk option at 1.31%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, OVB or BNDW?

Over the 5-year period, OVB has performed better with a 0.74% return vs 0.22%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, OVB or BNDW?

BNDW is cheaper with a 0.05% expense ratio, compared with 0.79% for OVB.

Which ETF pays a higher dividend yield, OVB or BNDW?

OVB has the higher dividend yield at 6.96%, compared with 4.21% for BNDW.

What is the main difference between OVB and BNDW?

OVB is categorized as Intermediate Core Bond, while BNDW is Global Bonds. They also come from different issuers: Liquid Strategies and Vanguard. Their fees differ too: 0.79% for OVB and 0.05% for BNDW.

Which has better risk-adjusted returns?

OVB currently has the higher Sharpe Ratio (1.65 vs 1.05), 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.