BND vs. VCIT: Which Vanguard Bond ETF Is the Better Buy for Income Investors?

The Vanguard Total Bond Market ETF (NASDAQ:BND) serves as a core bond holding covering government and corporate debt, whereas the Vanguard Intermediate-Term Corporate Bond ETF (NASDAQ:VCIT) specializes in mid-duration corporate credit.

Investors looking for stability often turn to these two funds. This comparison looks at how their different weightings in government and corporate debt affect yields -- and which one might make more sense for your portfolio.

Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-year return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.

Both ETFs are among the most affordable in their category, with each charging a rock-bottom expense ratio of 0.03%. For income seekers, VCIT's corporate focus results in a higher payout than the broader total bond fund -- BND yields 3.94% compared to VCIT's 4.75%.

Growth of $1,000 over 5 years (total return)

VCIT's tilt toward corporate credit has translated into a stronger one-year and five-year return than BND, though that extra return has come with a trade-off: a deeper maximum drawdown d

Fuente original: Yahoo Finance (https://finance.yahoo.com/markets/options/articles/bnd-vs-vcit-vanguard-bond-112241677.html)