Vanguard Core-Plus Bond Index ETF

Frequently Asked Questions About BNDP

What does BNDP invest in?

This Vanguard Core-Plus Bond Index ETF (BNDP) aims to mirror the investment performance of the Bloomberg U.S. Universal Float Adjusted Index. This particular index broadly measures the returns of a diverse array of U.S. dollar-denominated, taxable bonds, encompassing both investment-grade and high-yield credit qualities as determined by the index provider. Its constituents include U.S. government and agency debt, corporate bonds, mortgage-backed securities, asset-backed securities, and emerging market bonds, all of which are denominated in U.S. dollars and have minimum maturities of one year. It is important to note that BNDP is a distinct, standalone product and should not be confused with other Vanguard offerings such as the Vanguard Core-Plus Bond ETF (VPLS) or the Vanguard Core-Plus Bond Fund (VCPIX and VCPAX). These separate products, despite their similar names, differ in their operational scale, specific investment strategies, and portfolio compositions, which are expected to result in varied investment returns among them.

What is the expense ratio of BNDP?

Vanguard Core-Plus Bond Index ETF (BNDP) charges an expense ratio of 0.05%. This is the annual fee deducted from fund assets to cover management and operations.

What is BNDP's dividend yield?

BNDP's trailing-twelve-month yield is 2.85%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of BNDP?

Effective duration measures BNDP's sensitivity to interest-rate changes — a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. BNDP's current duration is published on the fund's factsheet on the issuer's website.

What is the credit quality of BNDP?

BNDP's credit quality breakdown — the share of holdings rated AAA through CCC and below — is published on the fund's factsheet. Higher-quality (investment-grade) funds yield less but carry less default risk than high-yield / junk bond funds.

What is the yield to maturity of BNDP?

Yield to maturity (YTM) is the total return you'd earn from BNDP if every bond in the portfolio is held to maturity at the current price. BNDP's YTM is published on the fund's factsheet on the issuer's website — it differs from the trailing-12-month yield because YTM reflects current bond prices rather than historical income paid.