VGVT vs. BND

Last updated Jun 4, 2026

VGVT (Vanguard Government Securities Active ETF) and BND (Vanguard Total Bond Market ETF) are both exchange-traded funds - VGVT is a Intermediate Core Bond fund actively managed by Vanguard, while BND is a Total Bond Market fund tracking the Bloomberg U.S. Aggregate Float Adjusted Index. VGVT is actively managed, while BND is passively managed. Their correlation of 0.90 suggests significant overlap in exposure. VGVT charges 0.10%/yr vs 0.03%/yr for BND.

Performance

VGVT vs. BND - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Government Securities Active ETF (VGVT) and Vanguard Total Bond Market ETF (BND). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VGVT achieves a 0.11% return, which is significantly lower than BND's 0.27% return.

VGVT

• 1D: -0.15%
• 1M: 0.17%
• YTD: 0.11%
• 6M: 0.10%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

BND

• 1D: -0.19%
• 1M: 0.27%
• YTD: 0.27%
• 6M: 0.12%
• 1Y: 5.11%
• 3Y*: 3.96%
• 5Y*: 0.09%
• 10Y*: 1.58%

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

VGVT vs. BND - Yearly Performance Comparison

	2026 (YTD)	2025
VGVT Vanguard Government Securities Active ETF	0.11%	3.28%
BND Vanguard Total Bond Market ETF	0.27%	3.35%

Correlation

The correlation between VGVT and BND is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jul 10, 2025	0.90

Return for Risk

VGVT vs. BND — Risk / Return Rank

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

BND

BND Risk / Return Rank: 37
BND Sharpe Ratio Rank: 37
BND Sortino Ratio Rank: 39
BND Omega Ratio Rank: 35
BND Calmar Ratio Rank: 38
BND Martin Ratio Rank: 36

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.

VGVT vs. BND - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Government Securities Active ETF (VGVT) and Vanguard Total Bond Market ETF (BND). 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

	VGVT	BND	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	1.36	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.01	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.29	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.17	0.59	+0.59

Drawdowns

VGVT vs. BND - Drawdown Comparison

The maximum VGVT drawdown since its inception was -2.77%, smaller than the maximum BND drawdown of -18.58%. Use the drawdown chart below to compare losses from any high point for VGVT and BND.

Drawdown Indicators

	VGVT	BND	Difference
Max Drawdown Largest peak-to-trough decline	-2.77%	-18.58%	+15.81%
Max Drawdown (1Y) Largest decline over 1 year	—	-2.68%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-5.92%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-17.91%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-18.58%	—
Current Drawdown Current decline from peak	-1.76%	-2.37%	+0.61%
Average Drawdown Average peak-to-trough decline	-0.67%	-3.06%	+2.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.88%	—

Volatility

Volatility by Period

	VGVT	BND	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	1.23%	—
Volatility (6M) Calculated over the trailing 6-month period	—	2.66%	—
Volatility (1Y) Calculated over the trailing 1-year period	3.22%	3.78%	-0.56%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.22%	6.02%	-2.80%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.22%	5.53%	-2.31%

VGVT vs. BND - Expense Ratio Comparison

VGVT has a 0.10% expense ratio, which is higher than BND's 0.03% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VGVT vs. BND - Dividend Comparison

VGVT's dividend yield for the trailing twelve months is around 3.99%, which matches BND's 3.97% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BND Vanguard Total Bond Market ETF	3.97%	3.86%	3.67%	3.09%	2.60%	2.12%	2.38%	2.72%	2.81%	2.54%	2.51%	2.57%
VGVT Vanguard Government Securities Active ETF	3.99%	2.29%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VGVT and BND in my portfolio?

VGVT and BND have a correlation of 0.90, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VGVT or BND?

On fees, BND is cheaper at 0.03% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VGVT or BND?

BND is cheaper with a 0.03% expense ratio, compared with 0.10% for VGVT.

Which ETF pays a higher dividend yield, VGVT or BND?

VGVT has the higher dividend yield at 3.99%, compared with 3.97% for BND.

What is the main difference between VGVT and BND?

VGVT is categorized as Intermediate Core Bond, while BND is Total Bond Market. Their fees differ too: 0.10% for VGVT and 0.03% for BND.