AGG vs BNDX

AGG tracks the standard Bloomberg U.S. Aggregate Bond Index and held 13,486 lines in its holdings file on Nov 6, 2026.

BNDX tracks the Bloomberg Global Aggregate ex-USD Float Adjusted RIC Capped Index (USD Hedged): investment-grade bonds issued outside the United States, with currency moves hedged against the dollar. It owns 6,837 bonds from an index of 14,644, as of Sep 30, 2026. The two funds draw from different parts of the world bond market, so their holdings lists are different lists.

Holdings counts are not directly comparable: some are a count of bonds, others a count of lines in a holdings file, which can include cash and futures.

The largest bond line in AGG is 0.40% of the fund (Nov 6, 2026) and the largest in BNDX is 0.41% (Jul 31, 2026). The AGG top ten is all U.S. Treasury notes, while the BNDX top ten is not (see the table). The top ten total 3.93% of AGG and 3.47% of BNDX.

The two lists are dated differently on purpose, because each issuer publishes holdings on its own schedule: AGG Nov 6, 2026 (iShares holdings file); BNDX Jul 31, 2026 (SEC Form N-PORT, filed Sep 28, 2026 (fund-level, all share classes)). AGG’s largest single line is a money market fund holding cash (2.63%), left out of the list above.

No bond appears in both funds. I matched 13,484 distinct identifiers in AGG (Nov 6, 2026) against 6,821 in BNDX (Jul 31, 2026), using CUSIP codes and, for international bonds, ISIN codes, and found no match. That is what the index descriptions predict: BNDX holds bonds issued outside the United States, and the other fund holds U.S. issuers. Holding both would add a separate source of bond exposure rather than repeat the same bonds.

Corporate bonds split three ways

Each issuer uses its own labels (AGG: Sector (iShares label), Nov 6, 2026; BNDX: Distribution by issuer (Vanguard label), Sep 30, 2026). This page groups them into common categories: “Treasury and agency” adds Treasury, agency and government lines; corporate adds industrial, financial and utility bonds; “Other and cash” holds the remainder.

Vanguard’s BNDX fact sheet gives an average effective maturity (8.2 years) and duration (6.4 years) but no table of maturity bands, so a band-by-band comparison is not possible here and nothing has been estimated. Average maturity is 8.16 years for AGG and 8.2 years for BNDX, which is 0.0 years apart; duration is 5.73 and 6.4 years.

Average maturity: AGG Nov 6, 2026, BNDX Sep 30, 2026. Maturity bands are shown on other comparisons on this site where both funds publish them.

Duration estimates how much a bond fund’s price moves when yields change. A duration of 5.73 years means a rise of one percentage point in yields would lower the price by about 5.73%, and a fall of one point would raise it by about the same.

AGG reports effective duration of 5.73 years (Nov 6, 2026); BNDX reports average duration of 6.4 years (Sep 30, 2026). That is a difference of 0.67 years, which is large enough to matter: the fund with the higher duration will move more when yields change.

Estimate: price change ≈ −duration × change in yield, applied to $10,000. It ignores interest income, convexity, spread changes and trading costs, so real results will differ. AGG reports convexity of 0.48 and an option-adjusted spread of 30.89 basis points (Nov 6, 2026); the other fund’s fact sheet does not list either figure.

The 30-day SEC yield is the standard way to compare bond funds because every fund calculates it the same way, after expenses. AGG showed 4.98% and BNDX showed 3.90%, a gap of 1.08 points. The two figures are dated Nov 6, 2026 and Nov 5, 2026, and market yields can change in between, so the comparison is approximate. Yield to maturity is shown with its date where the issuer publishes it.

Trailing 12-month yield is a record of what was paid, not a forecast: 4.12% for AGG and 4.64% for BNDX. BNDX paid an unusually large distribution of $0.9686 on Dec 18, 2025, well above its usual monthly amount, which lifts its trailing 12-month yield. BNDX’s yield is after the cost of hedging currency, which is one reason it sits below the U.S. funds.

Monthly payouts per share, newest first

Third-party payout history (StockAnalysis, Nov 9, 2026), the 12 most recent payouts listed, which include two in December 2025 and none dated January 2026. Per-share amounts differ because the funds have different share prices (about $97 against $48), so compare yields, not dollars per share. Bond fund payouts change from month to month with the income the fund earns.

Average annual returns to September 30, 2026

Calendar-year returns

Net asset value (NAV) total returns, with distributions reinvested, from iShares fund page and holdings file (Nov 6, 2026) for AGG and Vanguard fact sheet (Sep 30, 2026) and fund page for BNDX. Past performance does not guarantee future results. The funds launched in different years (AGG Sep 22, 2003, BNDX May 31, 2013), so since-inception figures (2.95% and 2.20%) cover different periods and are not compared here.

BNDX charges 0.04 percentage points more, which is $4 a year more on $10,000. Both funds are large ($139.20B and $85.43B), and large funds usually trade with tight spreads. BNDX’s assets above are the ETF share class only; Vanguard reports $121.7B (Sep 30, 2026) across all share classes of the fund.

Neither fund’s fee is likely to be the largest cost of owning it: the choice of how much to hold in bonds, and for how long, matters far more than a few hundredths of a percent.

Interest from bond funds is generally taxed as ordinary income rather than at the lower rates that apply to qualified dividends, and the monthly distributions of these funds are mostly interest. For that reason many investors hold taxable bond funds in tax-advantaged accounts, such as retirement accounts, when they have the choice.

Some interest from U.S. Treasuries can be exempt from state income tax; how much of each fund’s income qualifies is reported by the issuer after year-end and varies by fund and year. BNDX holds foreign bonds, so part of its income can come with foreign tax considerations that differ from the U.S. funds; check the issuer’s tax reporting.

Canadian and other non-U.S. investors face their own rules, including currency conversion and withholding considerations, and should check them before buying a U.S.-listed fund.

Every figure on this page, with its source, date and evidence grade. Open the issuer documents before relying on any number.

Third-party sources

StockAnalysis, AGG · StockAnalysis, BNDX.

Methodology and limits

• Issuer figures are shown with their own dates. Where the two funds report on different dates the page says so and does not mix them silently.
• Sector and maturity overlap are this page’s sums of the smaller weight in each common category, and are approximate because issuers use different labels.
• Holdings overlap matches bonds by CUSIP or ISIN between the two holdings files named above; bonds without an identifier cannot be matched.
• Figures that were unavailable are marked as such, and nothing was filled from memory or from another fund.
• Rate-sensitivity figures are estimates from reported duration only.

AGG vs BNDX, which is better?

Neither is better in general, because they do different jobs. AGG holds the U.S. investment-grade bond market through the Bloomberg U.S. Aggregate index, while BNDX holds investment-grade bonds issued outside the United States, with currency moves hedged back to the dollar. The right one depends on the role bonds play in a portfolio, the investor’s tolerance for interest-rate and credit risk, and the account used.

AGG vs BNDX, what is the difference in fees?

AGG charges 0.03% and BNDX charges 0.07%, a difference of 0.04 percentage points, or $4 a year on $10,000.

AGG vs BNDX, which has the higher yield?

AGG showed a 30-day SEC yield of 4.98% on Nov 6, 2026 and BNDX showed 3.90% on Nov 5, 2026. The gap is 1.08 points; the dates differ, so the comparison is approximate.

AGG vs BNDX, how much do they fall if rates rise?

By duration, about 5.73% for AGG and 6.4% for BNDX for each one-point rise in yields, before counting the interest each fund earns. This is an estimate, not a forecast.

AGG vs BNDX, do they hold the same bonds?

No. The holdings files compared here share no bonds at all, because the funds draw from different parts of the bond market. The sector overlap on this page is about 20%.

BNDX vs AGG, does the order change the comparison?

No. BNDX vs AGG and AGG vs BNDX describe the same pair of funds, and every figure on this page applies either way. The order only decides which fund is listed first.

AGG vs BNDX, can I own both?

You can. The two funds hold different exposures, with an overlap of 0%, so owning both gives a different mix from owning either alone.

AGG vs BNDX, are they suitable for Canadian investors?

Both are U.S.-listed and trade in U.S. dollars, so Canadians face currency conversion costs and should check how interest income is taxed in their account type before buying.

Pathways, not rankings or recommendations.