BND vs VOO

Quick Verdict

VOO delivered stronger 1-year returns. BND offers more diversification with 10790 holdings.

Lower Fees: TiedHigher Returns: VOOMore Diversified: BND

Side-by-Side Comparison

MetricBNDVOOWinner
Expense Ratio0.03%0.03%
AUM$159.8B$979.0B
Dividend Yield3.94%1.09%
Holdings17,528509
YTD Return-0.21%+13.53%
1Y Return+1.98%+23.65%
3Y Return (annualized)+4.12%+21.27%
5Y Return (annualized)-0.42%+13.52%
Volatility (annualized)4.6%14.1%
Max Drawdown-19.6%-34.3%
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionApr 3, 2007Sep 7, 2010

BND vs VOO Performance

Vanguard Total Bond Market ETF (BND) is a ETF from Vanguard (US) and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year BND returned +1.98% while VOO returned +23.65%. Year to date, BND is down 0.21% versus a gain of 13.53% for VOO.

Over three years, BND compounded at +4.12% per year against +21.27% for VOO; over five years the annualized figures are -0.42% and +13.52% respectively. Across the full 16-year window we track, VOO has the edge at +13.57% annualized vs +0.69%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 4.6% for BND. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -19.6% for BND and -34.3% for VOO. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.29. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

BND charges 0.03% per year while VOO charges 0.03%. On a $10,000 position that is $3 vs $3 annually. On income, BND currently yields 3.94% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

BND and VOO share 7 holdings out of 11288 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in BNDWeight in VOODifference
LRCX0.00%0.84%0.84%
DUK0.00%0.15%0.15%
MMC 4.75 03/15/390.01%0.12%0.11%
AONProProPro
KDPProProPro
CNPProProPro
HUBBProProPro
See all 7 holdings BND shares with VOO
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, BND or VOO?

BND has an expense ratio of 0.03% while VOO charges 0.03%. They cost the same. On a $10,000 investment, that is $0 per year of difference.

Which performed better, BND or VOO?

Over the past year BND returned +1.98% vs +23.65% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), BND annualized +0.69% vs +13.57% for VOO. Past performance does not guarantee future results.

Which is riskier, BND or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 4.6% for BND. Worst drawdown: BND -19.6% vs VOO -34.3%.

Should I hold both BND and VOO?

BND and VOO have a monthly-return correlation of 0.29, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between BND and VOO?

BND and VOO share 7 common holdings with a 0.0% weight overlap. Combined, they hold 11288 unique securities.

Which pays a higher dividend, BND or VOO?

BND yields 3.94% while VOO yields 1.09%, so BND currently pays the higher dividend yield.

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