BND vs IAU
Vanguard Total Bond Market Index Fund vs iShares Gold Trust
Last updated: 2026-04-09
Vanguard Total Bond Market Index Fund (BND) is an exchange-traded fund that provides exposure to the broad U.S. investment-grade bond market. It charges a very low expense ratio of 0.03%. The fund offers an attractive dividend yield of 3.92%. Launched in 2007, the fund has a 19-year track record.
iShares Gold Trust (IAU) is an exchange-traded fund that provides exposure to gold securities. It charges a moderate expense ratio of 0.25%. Launched in 2005, the fund has a 21-year track record.
Quick Verdict
BND is significantly cheaper at 0.03% vs 0.25% expense ratio, saving you approximately $435 per $10,000 invested over 10 years. Over the past year, IAU has significantly outperformed with a 51.5% return vs 1.2%.
Key Metrics
Performance Chart
Indexed to 100 at start (5-year comparison)
Performance Comparison
Fee Impact Over Time
Estimated fee cost difference assuming 8% annual returns
Risk Metrics
Based on 5 years of daily returns
Dividend Comparison
Which One Should You Choose?
Choose BND if...
you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.
Choose IAU if...
recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.