Which Is the Better Core Bond ETF for Income Investors: Vanguard's BND or iShares' MUB?
Compare risk profiles, tax advantages, and performance trends to see how these two leading fixed income ETFs stack up for different investor needs.
Overview
The Vanguard Total Bond Market ETF (NASDAQ:BND) offers broad, low-cost exposure to the taxable bond market, while the iShares National Muni Bond ETF (NYSEMKT:MUB) focuses on high-quality, tax-exempt municipal securities for income-focused investors.
Investors often choose between these funds based on their tax situation and the role of fixed income in their portfolio. While BND serves as a benchmark for the entire U.S. investment-grade bond market, MUB tracks an index of municipal debt, offering potential federal tax advantages that could be attractive to those in higher tax brackets.
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.