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BND vs. XLK

Vanguard Total Bond Market ETF

BND
$--
vs

Technology Select Sector SPDR Fund

XLK
$--

Correlation

0.26
BNDVanguard Total Bond Market ETF
XLKTechnology Select Sector SPDR Fund

What is BND?

BND Invests in more than 3000 bonds representative of the broad U.S. investment-grade market. Goal is to keep pace with U.S. bond market returns. Offers relatively high potential for investment income; share value tends to rise and fall modestly. More appropriate for medium- or long-term goals where you re looking for a reliable income stream. Appropriate for diversifying the risks of stocks in a portfolio.

Snapshot
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BND Vanguard Total Bond Market ETF
XLK Technology Select Sector SPDR Fund
Inception date
Apr 03 2007
Dec 16 1998
Expense ratio
0.03%
0.10%
BND has a lower expense ratio than XLK by 0.07%. This can indicate that it’s cheaper to invest in BND than XLK.
Type
US Bonds
US Equities
BND targets investing in US Bonds, while XLK targets investing in US Equities.
Fund owner
Vanguard
State Street (SPDR)
BND is managed by Vanguard, while XLK is managed by State Street (SPDR).
Volume (1m avg. daily)
$433,296,798
$989,437,675
Both BND and XLK are considered high-volume assets. They’re less likely to be affected by issues like slippage and failed orders on Composer than low-volume assets.
AUM
$94,675,540,467
$47,537,945,579
BND has more assets under management than XLK by $47,137,594,888. Higher AUM can be associated with better liquidity and lower slippage in trading.
Associated index
Bloomberg U.S. Aggregate Float Adjusted Index
S&P Technology Select Sector Index
BND is based off of the Bloomberg U.S. Aggregate Float Adjusted Index, while XLK is based off of the S&P Technology Select Sector Index
Inverse/Leveraged
No
No
BND and XLK use the same leverage ratio. Inverse and leveraged ETFs can be used to either take an opposite position or amplify returns of a given index.
Passive/Active
Passive
Passive
BND and XLK both use a Passive investing strategy. In an actively managed fund, the fund manager makes decisions about how funds are invested. A passively managed fund typically tries to track or follow a market index.
Dividend
No
No
BND and XLK may offer dividends. The frequency and yield of the dividend may not be the same.
Prospectus
Neither BND nor XLK require a K1.
When ETFs are uncorrelated, it’s common for them to be used as complements in a trading strategy. This means it makes sense to be holding both of them at the same time, or to use one as a hedge for the other.

Automated Strategies
Related toBND

#PTAC

Pick the Trending Asset Class

Category

Momentum, Tactical Asset Allocation, Be Risk Aware, Ride the Momentum

Risk Rating

Moderate

Automated Strategies
Related toXLK

#BTD

Buy the Dips: Nasdaq 100

Category

Featured, Technology Focus

Risk Rating

Aggressive

Create your own algorithmic
trading strategy

Disclaimers

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We show information directly obtained from our data provider, Xignite. Data shown here is provided by Xignite, an unaffiliated third party. Composer believes the information shown here is reliable, but has not been verified and there is no guarantee that the information is accurate.

**

We show information based on calculations performed by Composer using data from our provider. Information provided here is based on calculations performed by Composer using data sourced from Xignite, an unaffiliated third party. Composer believes this information is reliable, but has not verified the data and there is no guarantee that the calculations are accurate.