Total International Bond ETF (BNDX)

OPTIONS as of
02/23/2017

Options Expense ratio Minimum
Admiral 0.12% N/A
Investor 0.15% N/A
Inst 0.07% $5.0 Million
Inst Select 0.025% $3.0 Billion
ETF 0.12%

Vanguard ETF Shares can be bought and sold only through a broker (who may charge a commission) and cannot be redeemed with the issuing fund. The market price of Vanguard ETF Shares may be more or less than net asset value.

About our options  


 

KEY FACTS

Product type: World Bond
BNDX
 inception on 05/31/2013
$102.7 billion

This represents the total net assets for all share classes of Vanguard's U.S. funds, as well as any collective trust that shares the same investment strategy, management and holdings.

 as of 01/31/2018
$10.4 billion net assets for
BNDX
 as of 01/31/2018
4,783 holdings as of 01/31/2018
Indexed to the BloomBarc GA ex-USD FlAdjRIC Cp Hgd (BGRCTRUH)
Turnover rate (Fiscal year-end  10/31/2017) 18.80%
CUSIP: 92203J407

TRADING

Intraday Optimized Value Ticker
Intraday Optimized Value (IOV), also known as the Intraday Indicative Value (IIV), is the calculated per share price of the ETF which is published every 15 seconds based on the last sale price of each of the underlying securities in the portfolio basket, plus any estimated cash amounts associated with the creation unit.

 BNDX.IV
Outstanding shares: 191,975,339 as of 01/31/2018
ETF exchange: NASDAQ Stock Exchange

Investment approach



  • Seeks to track the performance of the Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index (USD Hedged).
  • Employs hedging strategies that seek to protect against uncertainty in exchange rates.
  • Passively managed, using index sampling.
  • Fund remains fully invested.
  • Broad exposure across major bond markets outside of the United States.
  • Low expenses minimize net tracking error.

Total returns

as of 12/31/2017

View as:

as of 12/31/2017

4%
3
2
1
0%
 
 
 
  1 year 3 year 5 year 10 year

05/31/2013

Market price  2.37% 2.70% 3.69%
NAV 
2.40% 2.71% 3.63%

Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index Hedged

*
2.57% 2.93%

In order to determine the performance of the fund prior to adjustments for fair value pricing, simply subtract the Fair value impact figure from the NAV performance figure. For example, by subtracting -0.09% from 18.23%, we arrive at a performance figure of 18.32% [18.23% - (-0.09%) = 18.32%].

0.04% 0.01%

* Includes government, government agency, corporate, and securitized non-U.S. investment grade fixed-income investments, all issued in currencies other than the U.S. dollar and with maturities of more than one year.

The performance data shown represent past performance, which is not a guarantee of future results. Investment returns and principal value will fluctuate, so investors' shares, when sold, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data cited.


Regional exposure as of 01/31/2018

  Region  BNDX

Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index Hedged

+/- Weight
Europe 57.3%
Pacific 26.5%
Emerging Markets 3.6%
North America 8.5%
Middle East 0.3%
Other 3.8%
0%
60%
Total 100.0% 0.0%  

Top 10 countries as of 01/31/2018

Country Region BNDX

Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index Hedged

+/- Weight
Japan Pacific 20.5%
France Europe 12.0%
Germany Europe 10.1%
Italy Europe 8.3%
United Kingdom Europe 7.8%
Spain Europe 5.6%
Canada North America 5.6%
Supranational Other 3.3%
Netherlands Europe 3.0%
United States North America 2.9%
Top 10 equals 79.1% of bond

Country diversification details  

Distribution by credit quality(% of fund) as of 01/31/2018

  Credit rating  BNDX
U.S. Government 0.0%
Aaa 22.1%
Aa 26.6%
A 30.0%
Baa 21.3%
< Baa 0.0%
0%
30%
Total 100.0%
* Credit-quality ratings are measured on a scale that generally ranges from AAA (highest) to D (lowest). ”NR” is used to classify securities for which a rating is not available. NR securities may include a fund’s investment in Vanguard Market Liquidity Fund or Vanguard Municipal Cash Management Fund, each of which invests in high-quality money market instruments and may serve as a cash management vehicle for the Vanguard funds, trusts, and accounts. U.S. Treasury, U.S. Agency, and U.S. Agency mortgage-backed securities appear under ”U.S. Government.” Credit-quality ratings for each issue are obtained from Barclays using ratings derived from Moody’s Investors Service (Moody’s), Fitch Ratings (Fitch), and Standard & Poor’s (S&P). When ratings from all three agencies are available, the median rating is used. When ratings are available from two of the agencies, the lower rating is used. When one rating is available, that rating is used.

Fundamentals

Bond
as of 01/31/2018
BNDX

Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index Hedged

Number of bonds 4,783 9,000
Yield to maturity 0.96% 0.96%
Short-term reserves 0.35% N/A
Average duration 7.7 (years) 7.7 (years)

Average effective maturity (taxable bond funds and balanced funds except Tax-Managed Balanced)
Average Effective Maturity is defined as the average length of time until fixed income securities held by a fund reach maturity and are repaid, taking into consideration that an action such as a call or refunding may cause some bonds to be repaid before they mature.

Average stated maturity (municipal bond funds and Tax-Managed Balanced)
Average stated maturity represents the average of the stated maturity dates for all fixed income securities held by the fund.

Average maturity (money market funds only)
Average maturity represents the weighted average maturity of the fund's holdings using the date of the next interest rate adjustment for certain adjustable-rate securities held by the fund.

9.2 (years)
Average coupon 2.13% 2.44%

Risk and volatility as of 01/31/2018

  BNDX

Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index Hedged

R-squared N/A 1.00
Beta N/A 0.99
Alpha – 0.02 N/A
Standard deviation 2.77% 2.79%
Sharpe ratio 0.55 0.64

Risk and volatility are based on the share class with the earliest inception date.

Risk measures are calculated from trailing 36-month fund returns relative to the associated benchmarks.

An investment in the fund could lose money over short or even long periods. You should expect the fund’s share price and total return to fluctuate within a wide range, like the fluctuations of the overall stock market. Although Total International Bond ETF is listed for trading on the Nasdaq, it is possible that an active trading market may not be maintained. Trading of Total International Bond ETF on the Nasdaq may be halted if Nasdaq officials deem such action appropriate, if Total International Bond ETFs are delisted from the Nasdaq, or if the activation of marketwide “circuit breakers” halts stock trading generally. The fund’s performance could be hurt by:

  • Interest rate risk: The chance that bond prices will decline because of rising interest rates. Interest rate risk should be moderate for the fund because it invests in a diverse mix of short-, intermediate-, and long-term bonds.
  • Income risk: The chance that the fund’s income will decline because of falling interest rates. Income risk is generally moderate for intermediate-term bond funds, so investors should expect the fund’s monthly income to fluctuate accordingly.
  • Credit risk: The chance that a bond issuer will fail to pay interest or principal in a timely manner or that negative perceptions of the issuer’s ability to make such payments will cause the price of that bond to decline. Credit risk should be low for the fund because it purchases only bonds that are of investment-grade quality.
  • Call risk: The chance that during periods of falling interest rates, issuers of callable bonds may call (redeem) securities with higher coupons or interest rates before their maturity dates. The fund would then lose any price appreciation above the bond’s call price and would be forced to reinvest the unanticipated proceeds at lower interest rates, resulting in a decline in the fund’s income. For mortgage-backed securities, this risk is known as prepayment risk. Call/prepayment risk should be low for the fund because it invests only a small portion of its assets in callable bonds and mortgage-backed securities.
  • Country/regional risk: The chance that world events—such as political upheaval, financial troubles, or natural disasters—will adversely affect the value of securities issued by foreign companies, governments, or government agencies. Because the fund may invest a large portion of its assets in bonds of issuers located in a particular country or region, the fund’s performance may be hurt disproportionately by the poor performance of its investments in that area. Country/regional risk for the fund is high.
  • Nondiversification risk: The chance that the fund’s performance may be hurt disproportionately by the poor performance of bonds issued by just a few issuers or even a single issuer. The fund is considered nondiversified, which means that it may invest a significant percentage of its assets in bonds issued by a small number of issuers.
  • Currency hedging risk: The risk that the currency hedging transactions entered into by the fund may not perfectly offset the fund’s foreign currency exposures. The fund seeks to mimic the performance of foreign bonds without regard to currency exchange rate fluctuations. To accomplish this goal, the fund attempts to offset, or hedge, its foreign currency exposures by entering into currency hedging transactions. However, it generally is not possible to perfectly hedge the fund’s foreign currency exposures. The fund will decline in value if it underhedges a currency that has weakened, or overhedges a currency that has strengthened, relative to the U.S. dollar. In addition, the fund will incur expenses to hedge its foreign currency exposures. Currency hedging risk for the fund is low.
  • Index sampling risk: The chance that the securities selected for the fund, in the aggregate, will not provide investment performance matching that of the index. Index sampling risk for the fund should be low.




Vanguard ETF Shares can be bought and sold only through a broker (who may charge a commission) and cannot be redeemed with the issuing fund. The market price of Vanguard ETF Shares may be more or less than net asset value. Investments are subject to market risk. Go to the performance page to read more about risk and volatility.