What Is the BIV ETF? Returns, Expense Ratio, Holdings, and Alternative ETFs
BIV, Vanguard's intermediate-term bond ETF, invests broadly across US Treasuries and investment-grade corporate bonds with maturities of 5 to 10 years. Its low expense ratio and monthly dividends are its key features, and it seeks a balance between higher interest income than short-term bonds and lower rate volatility than long-term bonds.
SubscribeWhat Is the Vanguard Intermediate-Term Bond ETF?
This intermediate-term bond ETF tracks the Bloomberg US 5-10 Year Government/Credit Float Adjusted Index. It holds a broad range of US Treasuries, investment-grade corporate bonds, and dollar-denominated international bonds with maturities of 5 to 10 years.
It suits neutral bond investors who want higher interest income than short-term bonds offer but wish to avoid the large interest rate volatility of long-term bonds.
It is a passively managed (index-tracking) ETF run by Vanguard.
How Does the Vanguard Intermediate-Term Bond ETF Invest?
| Item | Details |
|---|---|
| Tracked Index | Bloomberg US 5-10 Year Government/Credit Float Adjusted Index |
| Management Style | Passive (index-tracking) |
| Rebalancing Frequency | Monthly |
| Dividend Frequency | Monthly |
| Issuer | Vanguard |
| Total Expense Ratio | 0.03% |
The fund holds US Treasuries and investment-grade corporate bonds with 5 to 10 years to maturity in the index, broadly and in proportion to market value. It excludes high-yield and floating-rate bonds, focuses on investment-grade issues, and manages its exposure to interest rate changes with an intermediate level of duration.
- Management fee that is low relative to the category average
- Broad diversification across investment-grade bonds
Vanguard Intermediate-Term Bond ETF Size and Costs (AUM and Expense Ratio)
Assets under management (AUM) stand at $28.7B, and the total expense ratio is 0.03% per year.
Compared with similar total bond ETFs, its distinguishing feature is that it narrows the maturity range to 5 to 10 years, concentrating on intermediate duration.
Vanguard Intermediate-Term Bond ETF Performance and Trends
1-Year Price Performance
Dividend & Yield
52-Week Price RangeBond prices move with the direction of market interest rates. They tend to weaken when rates rise and strengthen when rates fall. Because of their intermediate maturity, these bonds are more sensitive to interest rates than short-term bonds.
Fund flows vary with the rate environment and risk appetite, and in periods when demand for safe assets rises, money sometimes flows into investment-grade bond ETFs.
Vanguard Intermediate-Term Bond ETF Pros and Cons
Its strengths are a low expense ratio and broad investment-grade diversification, while interest rate sensitivity stemming from its intermediate duration is the main risk factor.
💪 Key Strengths
⚠️ Points to Watch
Vanguard Intermediate-Term Bond ETF Alternatives and Related Products
GVI, UITB, and IMTB, shown in the table, are comparison candidates in the same intermediate-term bond category, and they differ in expense ratio, management style, and duration makeup. Direct substitutes outside the table include BND and AGG, which cover the broader US bond market. Investors who want to focus on investment-grade corporate bonds can consider VCIT, and those who want only Treasuries can also look at GOVT.
Peer Comparison ETFs| Ticker | Name | Price | Change | AUM | Total Expense Ratio | Dividend Yield | 1Y |
|---|---|---|---|---|---|---|---|
 GVI | iShares Intermediate Government/Credit Bond ETF | $104.42 | +0.2% | $3.9B | 0.20% | 3.72% | -2.9% |
 UITB | VictoryShares Core Intermediate Bond ETF | $45.49 | +0.2% | $2.7B | 0.25% | 4.39% | -4.5% |
 XEMD | BondBloxx JP Morgan USD Emerging Markets 1-10 Year Bond ETF | $43.25 | -0.3% | $1.0B | 0.29% | 5.66% | -2.4% |
 CAFX | Congress Intermediate Bond ETF | $24.20 | +0.4% | $309.8M | 0.35% | 4.11% | -3.3% |
 IMTB | iShares Core 5-10 Year USD Bond ETF | $42.34 | +0.4% | $282.4M | 0.06% | 4.64% | -4.6% |
Top Holdings| Ticker | Name | Weight | Price | Change | Market Cap | P/E | Dividend Yield |
|---|---|---|---|---|---|---|---|
 BNO | United States Brent Oil Fund LP | 0.09% | $71.39 | +0.9% | $0.0M | - | - |
 USLM | United States Lime & Minerals Inc | 0.13% | $111.61 | -2.0% | $3.2B | 23.9 | 0.22% |
Vanguard Intermediate-Term Bond ETF Investor Checkpoints
These are the points to review before investing in BIV. Returns on intermediate-term bond ETFs vary widely depending on duration, credit composition, and the interest rate environment, so it is important to check these items in advance along with the expense ratio.
| Checkpoint | What to Check | Current Status |
|---|---|---|
| 💵 Expense Ratio | Check the effect of cumulative costs over a long holding period | Low |
| 📉 Duration | Check price sensitivity to interest rate changes | Intermediate |
| 🏦 Credit Composition | Check the weighting of Treasuries and investment-grade corporate bonds | Mainly investment grade |
| 💱 Currency | Check the effect on returns converted to won | No currency hedge |
Price declines when rates rise and wider corporate credit spreads are the main risk factors. Even a bond ETF can post short-term losses depending on the interest rate environment.
It is a suitable choice for investors who want balanced intermediate-term bond exposure between short-term and long-term bonds at a low cost. Those who want diversification across the overall bond market can also compare BND and AGG.
SubscribeDisclaimer: This content is for informational purposes only and does not constitute investment advice. All investment responsibility lies with the investor.
This article reflects information as of June 21, 2026.
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