BND vs VOO: Head-to-Head Comparison
BND vs VOO: Vanguard Total Bond Market ETF has an expense ratio of 0.03% while Vanguard S&P 500 ETF charges 0.03%. BND holds 11,286 securities vs VOO's 503. 5-year returns: -0.50% vs 15.80%.
Last updated: April 2026
Bonds vs Stocks
Quick Verdict
BND edges out VOO with a stronger Beginner Suitability Score (10 vs 9.5). It offers better overall characteristics for new investors.
Side-by-Side Comparison
| Metric | BND | VOO |
|---|---|---|
| Expense Ratio | 0.03% | 0.03% |
| AUM | $116.0B | $560.0B |
| Dividend Yield | 4.30% | 1.30% |
| Holdings | 11,286 | 503 |
| 1-Year Return | 3.20% | 26.70% |
| 5-Year Return (Ann.) | -0.50% | 15.80% |
| 10-Year Return (Ann.) | 1.40% | 13.30% |
| Beta | 0.03 | 1.00 |
| P/E Ratio | N/A | 25.8 |
BND 5-year annualized return is -0.50% compared to VOO's 15.80%. Over 10 years, BND returned 1.40% vs VOO's 13.30%.
View data table
| Period | BND Return | VOO Return |
|---|---|---|
| YTD | 0.50% | 3.20% |
| 1 Year | 3.20% | 26.70% |
| 3 Year | -1.80% | 11.20% |
| 5 Year | -0.50% | 15.80% |
| 10 Year | 1.40% | 13.30% |
Key Differences Between BND and VOO
BND (Vanguard Total Bond Market ETF) is a u.s. intermediate-term bond fund managed by Vanguard. BND provides exposure to the entire U.S. investment-grade bond market, including government, corporate, and mortgage-backed bonds. Bonds generally provide stability and income to a portfolio, acting as a cushion when stocks decline. Beginners often add BND to their portfolio to reduce overall volatility and provide steady income, with the typical rule of thumb being to hold your age in bonds as a percentage of your portfolio.
VOO (Vanguard S&P 500 ETF) is a u.s. large-cap blend fund managed by Vanguard. VOO tracks the S&P 500 index, giving you ownership in 500 of the largest U.S. companies in a single investment. It is one of the most popular ETFs in the world thanks to its ultra-low expense ratio and broad market exposure. For beginners, VOO is often recommended as a core portfolio holding because it provides instant diversification across America's leading businesses.
The most notable differences are in fees (0.03% vs 0.03%), number of holdings (11,286 vs 503), and 5-year returns (-0.50% vs 15.80%).
BND vs VOO multi-factor comparison: BND has a 0.03% expense ratio, -0.50% 5-year return, 11,286 holdings, 0.03 beta, and 4.30% yield. VOO has 0.03% expense ratio, 15.80% 5-year return, 503 holdings, 1.00 beta, and 1.30% yield.
View data table
| Metric | BND | VOO |
|---|---|---|
| Expense Ratio | 0.03% | 0.03% |
| 5-Year Return | -0.50% | 15.80% |
| Holdings | 11,286 | 503 |
| Beta | 0.03 | 1.00 |
| Dividend Yield | 4.30% | 1.30% |
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Holdings Overlap Analysis
0%
Holdings Overlap
BND and VOO share only 0% of their top holdings. These funds are quite different, making them complementary choices if you want broader market coverage.
BND and VOO share 0% of their top holdings (low overlap). BND has 11,286 total holdings and VOO has 503.
View data table
| Metric | BND | VOO |
|---|---|---|
| Overlap | 0% | 0% |
| Unique Holdings | 100% | 100% |
| Total Holdings | 11,286 | 503 |
Cost Comparison Over Time
If you invest $10,000 and hold for 20 years (assuming 8% annual returns):
BND
Fee cost: $258
VOO
Fee cost: $258
Over 20 years, the fee difference amounts to $0 on a $10,000 investment. The cost difference is negligible — choose based on other factors.
On a $10,000 investment over 20 years at 8% return, BND (0.03% fee) grows to $46,351 while VOO (0.03% fee) grows to $46,351. The fee difference costs $0.
View data table
| Year | BND Value | VOO Value |
|---|---|---|
| 0 | $10,000 | $10,000 |
| 5 | $14,673 | $14,673 |
| 10 | $21,529 | $21,529 |
| 15 | $31,590 | $31,590 |
| 20 | $46,351 | $46,351 |
Which One Should a Beginner Choose?
Choose BND if: You want conservative investors who want portfolio stability and predictable income, investors approaching or in retirement who need to reduce portfolio volatility, anyone building a balanced stock-and-bond portfolio. It's managed by Vanguard with an expense ratio of 0.03%.
Choose VOO if: You want beginning investors looking for a simple core portfolio holding, long-term buy-and-hold investors seeking broad u.s. market exposure, cost-conscious investors who want minimal fees. It's managed by Vanguard with an expense ratio of 0.03%.
Can You Own Both BND and VOO?
Absolutely! With only 0% overlap, BND and VOO complement each other well. A simple portfolio might allocate 60% to one and 40% to the other, or you could pair them with a bond ETF like BND for a complete three-fund portfolio.
Frequently Asked Questions
Should I buy BND or VOO?▾
BND edges out VOO with a stronger Beginner Suitability Score (10 vs 9.5). It offers better overall characteristics for new investors. However, both are solid options. BND is best for investors who want conservative investors who want portfolio stability and predictable income, while VOO is better suited for beginning investors looking for a simple core portfolio holding.
What is the difference between BND and VOO?▾
BND (Vanguard Total Bond Market ETF) tracks u.s. intermediate-term bond investments with 11,286 holdings and a 0.03% expense ratio. VOO (Vanguard S&P 500 ETF) focuses on u.s. large-cap blend with 503 holdings at 0.03%. Their top holdings overlap by 0%.
Can I own both BND and VOO?▾
Yes! With only 0% holdings overlap, BND and VOO complement each other well. Owning both gives you broader diversification.