ETF Versus

BND vs VEA

Vanguard Total Bond Market Index Fund vs Vanguard FTSE Developed Markets Index Fund ETF Shares

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 3.93%. Launched in 2007, the fund has a 19-year track record.

AUM: $150.4B ER: 0.03% Yield: 3.93% Since: Apr 3, 2007
VEA Vanguard

Vanguard FTSE Developed Markets Index Fund ETF Shares (VEA) is an exchange-traded fund issued by Vanguard that provides exposure to equities in developed international markets outside the U.S.. It charges a very low expense ratio of 0.03%. The fund offers an attractive dividend yield of 2.88%. Launched in 2007, the fund has a 19-year track record.

AUM: $198.8B ER: 0.03% Yield: 2.88% Since: Jul 20, 2007

Quick Verdict

Over the past year, VEA has significantly outperformed with a 27.7% return vs -0.0%. Income investors may prefer BND for its higher yield (3.9% vs 2.9%).

Key Metrics

Metric BND VEA
Expense Ratio 0.03% 0.03%
Dividend Yield 3.9% 2.9%
Fund Family Vanguard Vanguard
Category US Aggregate Bond International Developed

Performance Chart

Indexed to 100 at start (5-year comparison)

70 84 98 112 126 140 2021-04 2022-06 2023-09 2024-12 2026-04
BND -13.3%
VEA +29.0%

Performance Comparison

Period BND VEA Difference
1 Month -1.63% -5.61% +3.98%
3 Months -0.84% +3.07% -3.91%
6 Months -1.20% +6.68% -7.88%
YTD -0.84% +3.07% -3.91%
1 Year -0.03% +27.70% -27.73%
3 Years -0.73% +43.04% -43.77%
5 Years -13.29% +28.99% -42.28%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period BND Fees VEA 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 VEA
Annualized Volatility 6.0% 16.4%
Max Drawdown -21.7% -32.3%
Sharpe Ratio -1.19 0.12

Dividend Comparison

Metric BND VEA
Annual Dividend (per share) $2.88 $1.88
Dividend Yield 3.92% 2.88%
Distribution Frequency Monthly Quarterly

Top Holdings

VEA Top Holdings

NameWeight
Samsung Electronics Co., Ltd.!krx/0059302.18%
ASML Holding N.V.!ams/ASML1.77%
SK hynix Inc.!krx/0006601.24%
Roche Holding AGROC1.L1.03%
Novartis AG!swx/NOVN1.00%
HSBC Holdings plc!lon/HSBA0.99%
AstraZeneca PLC!lon/AZN0.98%
Nestlé S.A.!swx/NESN0.86%
Toyota Motor Corporation!tyo/72030.80%

Which One Should You Choose?

Choose VEA 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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