VTBNX vs. BND
VTBNX (Vanguard Total Bond Market II Index Fund) and BND (Vanguard Total Bond Market ETF) are both Total Bond Market funds from Vanguard. Over the past 10 years, VTBNX returned 1.48%/yr vs 1.56%/yr for BND. Their correlation of 0.94 suggests significant overlap in exposure. VTBNX charges 0.02%/yr vs 0.03%/yr for BND.
Performance
VTBNX vs. BND - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, VTBNX achieves a 0.64% return, which is significantly lower than BND's 1.11% return. Over the past 10 years, VTBNX has underperformed BND with an annualized return of 1.48%, while BND has yielded a comparatively higher 1.56% annualized return.
VTBNX
- 1D
- 0.10%
- 1M
- 0.67%
- YTD
- 0.64%
- 6M
- 0.88%
- 1Y
- 4.33%
- 3Y*
- 4.08%
- 5Y*
- 0.18%
- 10Y*
- 1.48%
BND
- 1D
- 0.10%
- 1M
- 0.68%
- YTD
- 1.11%
- 6M
- 0.94%
- 1Y
- 4.47%
- 3Y*
- 4.20%
- 5Y*
- 0.21%
- 10Y*
- 1.56%
VTBNX vs. BND - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
VTBNX Vanguard Total Bond Market II Index Fund | 0.64% | 7.18% | 1.32% | 5.68% | -13.12% | -1.82% | 7.39% | 8.71% | -0.27% | 3.62% |
BND Vanguard Total Bond Market ETF | 1.11% | 7.08% | 1.38% | 5.65% | -13.11% | -1.86% | 7.71% | 8.84% | -0.12% | 3.57% |
Correlation
The correlation between VTBNX and BND 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 Jan 22, 2016 | 0.94 |
The correlation between VTBNX and BND has been stable across timeframes, ranging from 0.92 to 0.96 - a consistent structural relationship.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
VTBNX vs. BND — Risk / Return Rank
VTBNX
BND
VTBNX vs. BND - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Total Bond Market II Index Fund (VTBNX) 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.
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.
| VTBNX | BND | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.01 | ||
| Sortino ratioReturn per unit of downside risk | +0.05 | ||
| Omega ratioGain probability vs. loss probability | 1.20 | 1.20 | 0.00 |
| Calmar ratioReturn relative to maximum drawdown | 1.58 | 1.59 | -0.01 |
| Martin ratioReturn relative to average drawdown | 4.37 | 4.50 | -0.13 |
Loading charts...
Drawdowns
VTBNX vs. BND - Drawdown Comparison
The maximum VTBNX drawdown since its inception was -18.71%, roughly equal to the maximum BND drawdown of -18.58%. Use the drawdown chart below to compare losses from any high point for VTBNX and BND.
Loading charts...
Drawdown Indicators
| VTBNX | BND | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -18.71% | -18.58% | -0.13% |
Max Drawdown (1Y)Largest decline over 1 year | -2.83% | -2.68% | -0.15% |
Max Drawdown (3Y)Largest decline over 3 years | -5.97% | -5.92% | -0.05% |
Max Drawdown (5Y)Largest decline over 5 years | -18.05% | -17.91% | -0.14% |
Max Drawdown (10Y)Largest decline over 10 years | -18.71% | -18.58% | -0.13% |
Current DrawdownCurrent decline from peak | -1.90% | -1.55% | -0.35% |
Average DrawdownAverage peak-to-trough decline | -4.86% | -3.06% | -1.80% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 1.02% | 0.94% | +0.08% |
Volatility
VTBNX vs. BND - Volatility Comparison
Vanguard Total Bond Market II Index Fund (VTBNX) and Vanguard Total Bond Market ETF (BND) have volatilities of 1.16% and 1.13%, 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.
Loading charts...
Volatility by Period
| VTBNX | BND | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.16% | 1.13% | +0.03% |
Volatility (6M)Calculated over the trailing 6-month period | 2.89% | 2.80% | +0.09% |
Volatility (1Y)Calculated over the trailing 1-year period | 3.88% | 3.74% | +0.14% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 5.96% | 6.03% | -0.07% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 4.93% | 5.53% | -0.60% |
VTBNX vs. BND - Expense Ratio Comparison
VTBNX has a 0.02% expense ratio, which is lower than BND's 0.03% 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
VTBNX vs. BND - Dividend Comparison
VTBNX's dividend yield for the trailing twelve months is around 4.04%, more than BND's 3.93% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
BND Vanguard Total Bond Market ETF | 3.93% | 3.86% | 3.67% | 3.09% | 2.60% | 2.12% | 2.38% | 2.72% | 2.81% | 2.54% | 2.51% | 2.57% |
VTBNX Vanguard Total Bond Market II Index Fund | 4.04% | 3.95% | 3.77% | 3.13% | 2.54% | 1.82% | 3.12% | 2.79% | 2.56% | 2.52% | 2.55% | 0.00% |
Frequently Asked Questions
With a correlation of 0.92, VTBNX and BND 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.
VTBNX has higher volatility (1.16%) compared to BND (1.13%). In terms of maximum drawdown, VTBNX dropped -18.71% vs BND's -18.58%.
VTBNX currently has the higher Sharpe Ratio (1.15 vs 1.14), 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.
Find the right allocation for VTBNX and BND
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer