ETF Versus

BND vs SGOV

Vanguard Total Bond Market Index Fund vs iShares 0-3 Month Treasury Bond ETF

Last updated: 2026-04-10

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: $152.0B ER: 0.03% Yield: 3.92% Since: Apr 3, 2007
SGOV iShares

iShares 0-3 Month Treasury Bond ETF (SGOV) is an exchange-traded fund issued by iShares that provides exposure to short-duration U.S. Treasury bonds with low interest rate risk. It charges a low expense ratio of 0.09%. The fund offers an attractive dividend yield of 3.95%. Launched in 2020, the fund has a 6-year track record.

AUM: $85.9B ER: 0.09% Yield: 3.95% Since: May 26, 2020

Quick Verdict

BND has a slightly lower expense ratio (0.03% vs 0.09%), saving about $119 per $10,000 over 10 years. BND has edged ahead over the past year (2.2% vs 0.1%).

Key Metrics

Metric BND SGOV
Expense Ratio 0.03% 0.09%
Dividend Yield 3.9% 4.0%
Fund Family Vanguard iShares
Category US Aggregate Bond US Short-Term Treasury

Performance Chart

Indexed to 100 at start (5-year comparison)

80 85 90 95 100 105 2021-04 2022-07 2023-10 2025-01 2026-04
BND -13.3%
SGOV +0.5%

Performance Comparison

Period BND SGOV Difference
1 Month -0.29% +0.02% -0.31%
3 Months -0.73% +0.01% -0.74%
6 Months -1.29% +0.00% -1.29%
YTD -0.49% +0.09% -0.58%
1 Year +2.18% +0.06% +2.12%
3 Years -0.40% +0.17% -0.57%
5 Years -13.25% +0.48% -13.73%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period BND Fees SGOV Fees You Save
$10,000 10 years $60 $179 $119
$10,000 20 years $258 $771 $512
$10,000 30 years $835 $2,486 $1,650
$50,000 10 years $299 $896 $597
$50,000 30 years $4,176 $12,428 $8,252
$100,000 30 years $8,352 $24,855 $16,503

Risk Metrics

Based on 5 years of daily returns

Metric BND SGOV
Annualized Volatility 6.0% 1.1%
Max Drawdown -21.7% -0.7%
Sharpe Ratio -1.19 -4.11

Dividend Comparison

Metric BND SGOV
Annual Dividend (per share) $2.89 $3.97
Dividend Yield 3.92% 3.95%
Distribution Frequency Monthly Monthly

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 BND if...

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

Related Comparisons