ETF Versus

BND vs SCHB

Vanguard Total Bond Market Index Fund vs Schwab U.S. Broad Market ETF

Last updated: 2026-04-02

BND Vanguard

Vanguard Total Bond Market Index Fund (BND) is an exchange-traded fund issued by Vanguard 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.

AUM: $384.1B ER: 0.03% Yield: 3.92% Since: 2007-04-10
SCHB Schwab

Schwab U.S. Broad Market ETF (SCHB) is an exchange-traded fund issued by Schwab that provides exposure to the total U.S. stock market across all capitalizations. It charges a very low expense ratio of 0.03%. The fund offers a moderate dividend yield of 1.17%. Launched in 2009, the fund has a 17-year track record.

AUM: N/A ER: 0.03% Yield: 1.17% Since: 2009-11-03

Quick Verdict

Over the past year, SCHB has significantly outperformed with a 16.2% return vs 0.3%. Income investors may prefer BND for its higher yield (3.9% vs 1.2%).

Key Metrics

Metric BND SCHB
Expense Ratio 0.03% 0.03%
Dividend Yield 3.9% 1.2%
Fund Family Vanguard Schwab
Category US Aggregate Bond US Total Market

Performance Chart

Indexed to 100 at start (5-year comparison)

80 97 114 131 148 165 2021-04 2022-06 2023-10 2024-12 2026-04
BND -13.1%
SCHB +53.2%

Performance Comparison

Period BND SCHB Difference
1 Month -1.30% -3.66% +2.36%
3 Months -0.61% -3.88% +3.27%
6 Months -0.74% -2.47% +1.73%
YTD -0.61% -3.88% +3.27%
1 Year +0.29% +16.22% -15.93%
3 Years -0.50% +58.06% -58.56%
5 Years -13.09% +53.21% -66.30%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period BND Fees SCHB Fees You Save
$10,000 10 years $60 $60 $0
$10,000 20 years $258 $258 $0
$10,000 30 years $835 $835 $0
$50,000 10 years $299 $299 $0
$50,000 30 years $4,176 $4,176 $0
$100,000 30 years $8,352 $8,352 $0

Risk Metrics

Based on 5 years of daily returns

Metric BND SCHB
Annualized Volatility 6.0% 17.3%
Max Drawdown -21.7% -26.2%
Sharpe Ratio -1.18 0.32

Dividend Comparison

Metric BND SCHB
Annual Dividend (per share) $2.89 $0.30
Dividend Yield 3.92% 1.17%
Distribution Frequency Monthly Quarterly

Top Holdings

BND Top Holdings

NameWeight
Vanguard Cmt Funds-Vanguard Market Liquidity Fund114.21%
United States Treasury Note/Bond37.98%

Which One Should You Choose?

Choose SCHB if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

Choose BND if...

you prioritize dividend income and want higher regular distributions from your portfolio.

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