Dividend comparison
BND vs AGG: Which Is Better for Income?
Fees, yield, total returns, drawdowns, holdings overlap and dividend history for Vanguard Total Bond Market ETF and iShares Core U.S. Aggregate Bond ETF, side by side. Updated October 21, 2026.
BND vs AGG: key differences
The short answer, from the latest data on this page.
- Fees. Both charge about 0.03% a year, so cost is not what separates them.
- Income. Their trailing yields are almost the same: 4.15% for BND and 4.16% for AGG. Both pay monthly.
- Performance. Over the last 5 years, BND returned -2.4% versus -4.8% for AGG, with dividends reinvested. $10,000 would have grown to $9,760 in BND and $9,524 in AGG.
- Risk. Their worst declines over the last 5 years were similar: -17.4% for BND and -17.3% for AGG from peak to trough.
- Diversification. AGG holds 13,433 positions and BND holds 346.
- Dividend growth. AGG grew its yearly payout 17.8% a year over the last 4 years, versus 12.3% for BND.
- Size. BND is the larger fund with $389.3 billion in assets, against $138.4 billion for AGG.
Bottom line: BND fits better if you care most about stronger 5-year returns. AGG fits better if you care most about faster dividend growth and broader diversification.
Side-by-side snapshot
Trailing twelve-month figures where available. Higher yield is highlighted — not a buy recommendation.
| Metric | BND Vanguard Total Bond Market ETF | AGG iShares Core U.S. Aggregate Bond ETF |
|---|---|---|
| Dividend yield (TTM) | 4.15% | 4.16% |
| Dividend / share (TTM) | $2.94 | $3.97 |
| Payout frequency | Monthly | Monthly |
| Last dividend | $0.2485 on Oct 5, 2026 | $0.3341 on Oct 6, 2026 |
| Ex-dividend date | Oct 1, 2026 | Oct 1, 2026 |
| Dividend growth (CAGR) | 12.3% over 4 yrs | 17.8% over 4 yrs |
| Price | $70.75 | $95.27 |
| Dividend growth streak | 4 years | 4 years |
| Beta | 0.99 | 0.99 |
| Max drawdown (5Y) | -17.4% | -17.3% |
| Market cap | $389.35B | $138.48B |
| Exchange | NASDAQ | AMEX |
| Expense ratio | 0.03% | 0.03% |
| Assets under management | $389.30B | $138.40B |
| Number of holdings | 346 | 13433 |
Income on a $10,000 investment
Illustrative only — assumes current TTM yield stays constant. Actual distributions change.
BND
$34.61/mo
$415 /yr at 4.15% yield
AGG
$34.69/mo
$416 /yr at 4.16% yield
Dividend history
Total dividends paid per share in each calendar year. BND pays monthly; AGG pays monthly.
| Year | BND | AGG |
|---|---|---|
| 2025 | $2.8575 | $3.8850 |
| 2024 | $2.6381 | $3.6283 |
| 2023 | $2.2692 | $3.1076 |
| 2022 | $1.8669 | $2.3187 |
| 2021 | $1.7987 | $2.0204 |
Strategy: Bonds
Funds that hold government, corporate or municipal debt and pay out the interest as monthly income. The two numbers that explain most of their behavior are duration, which sets how much the price moves when interest rates change, and credit quality, which sets how much extra yield is earned for default risk. Long-term Treasury funds move a lot with rates, while short-term funds behave closer to cash.
Bond prices fall when interest rates rise, and long-duration funds can lose as much as stocks in a fast rate-hiking cycle.
Performance
Total returns with dividends reinvested, from the adjusted closing price series. $10,000 invested on Oct 20, 2021 would now be worth $9,760 in BND and $9,524 in AGG.
| Period | BND | AGG |
|---|---|---|
| 1 month | -0.28% | -0.72% |
| 3 months | -1.97% | -2.98% |
| Year to date | -1.89% | -4.62% |
| 1 year | -2.13% | -5.19% |
| 3 years | 14.95% | 12.36% |
| 5 years | -2.40% | -4.76% |
- BND
- AGG
Both series indexed to 100 on 2021-10-20 using the adjusted closing price series. Past performance does not guarantee future results.
Sector allocation
Weight of each sector within the fund. Sectors are aligned on the same row so the two funds can be read against each other directly.
- BND
- AGG
Quick verdict
BND fits better if you care most about stronger 5-year returns. AGG fits better if you care most about faster dividend growth and broader diversification. Model the holding inside your real portfolio before deciding.
Still deciding? Compare them in your portfolio
Forecast dividend income, track payouts, and see how BND vs AGG fits with the rest of your holdings. Free to start — no credit card required for the trial.
Frequently asked questions
Is BND or AGG better for dividend income?
It depends on your goals. BND currently yields 4.15% Trailing Twelve Months (TTM) while AGG yields 4.16%. Higher yield means more current income per dollar invested, but may come with different risk, growth, or NAV characteristics. Compare total return and payout sustainability — not just the headline yield.
What is the difference between BND and AGG?
Vanguard Total Bond Market ETF (BND) is an ETF listed on NASDAQ. iShares Core U.S. Aggregate Bond ETF (AGG) is an ETF listed on AMEX. Side-by-side metrics on this page cover yield, fees, returns, drawdowns, holdings overlap and dividend history when available.
Which is cheaper, BND or AGG?
They cost about the same: BND charges 0.03% a year and AGG charges 0.03%.
Which has performed better, BND or AGG?
Over the last 5 years, BND has the higher total return with dividends reinvested: BND returned -2.4% and AGG returned -4.8%. Past performance does not predict future returns.
Which is riskier, BND or AGG?
Measured by the worst peak-to-trough decline over the last five years, BND has been riskier: BND fell as much as 17.4% and AGG as much as 17.3%. Their betas are 0.99 and 0.99.
How often do BND and AGG pay dividends?
Both pay monthly. The most recent payments were $0.2485 for BND and $0.3341 for AGG.
How much income does $10,000 in BND vs AGG generate?
At current TTM yields, $10,000 in BND would generate roughly $34.61 per month ($415 annually). The same amount in AGG would produce about $34.69 per month ($416 annually). Actual payouts vary with distribution changes and reinvestment.
Can I hold both BND and AGG?
Yes. Many income investors hold both to diversify strategy or index exposure. Whether the combination actually diversifies depends on overlapping holdings and factor exposure. Model both inside Dividend Wealth to see combined income, sector mix, and forecast impact.
Where can I compare BND vs AGG with my full portfolio?
Create a free Dividend Wealth account to import or enter holdings, forecast dividend income, and see how BND and AGG fit alongside the rest of your portfolio. A 14-day free trial of Standard is available with no credit card required; a limited Free plan is also available.
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For informational and educational purposes only. Not investment advice. Past performance and current yields do not guarantee future results. Verify figures independently before making investment decisions.