BSV vs. VTES: Which Vanguard Short-Term Bond Fund Is the Better Buy?
Compare tax efficiency, fund size, and portfolio makeup as you weigh which short-term bond ETF aligns with your income and risk preferences.
BSV vs. VTES: Which Vanguard Short-Term Bond Fund Is the Better Buy?
Overview
Vanguard Short-Term Bond ETF (NYSEMKT:BSV) could appeal to investors seeking higher taxable yields and lower expenses, while the Vanguard Short-Term Tax-Exempt Bond ETF (NYSEMKT:VTES) focuses on tax-sensitive municipal income.
Both funds target the short end of the fixed-income spectrum, providing a haven for capital with lower interest-rate sensitivity than long-term bonds. While BSV casts a wider net across government and corporate debt, VTES focuses specifically on the municipal market to provide tax-efficient income.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.
