BNDX vs. MINT: What’s The Difference?

The Vanguard Total International Bond Index Fund ETF Shares (BNDX) and the PIMCO Enhanced Short Maturity Active Exchange-Traded Fund (MINT) are both among the Top 100 ETFs. BNDX is a Vanguard N/A fund and MINT is a PIMCO Ultrashort Bond fund. So, what’s the difference between BNDX and MINT? And which fund is better?

The expense ratio of BNDX is 0.28 percentage points lower than MINT’s (0.08% vs. 0.36%). BNDX is mostly comprised of A bonds and MINT has a high exposure to Others bond. Overall, BNDX has provided higher returns than MINT over the past ten years.

In this article, we’ll compare BNDX vs. MINT. We’ll look at performance and annual returns, as well as at their holdings and risk metrics. Moreover, I’ll also discuss BNDX’s and MINT’s fund composition, industry exposure, and portfolio growth and examine how these affect their overall returns.

Summary

BNDX MINT
Name Vanguard Total International Bond Index Fund ETF Shares PIMCO Enhanced Short Maturity Active Exchange-Traded Fund
Category N/A Ultrashort Bond
Issuer Vanguard PIMCO
AUM 116.41B 14.02B
Avg. Return 4.63% 1.52%
Div. Yield 0.94% 0.56%
Expense Ratio 0.08% 0.36%

The Vanguard Total International Bond Index Fund ETF Shares (BNDX) is a N/A fund that is issued by Vanguard. It currently has 116.41B total assets under management and has yielded an average annual return of 4.63% over the past 10 years. The fund has a dividend yield of 0.94% with an expense ratio of 0.08%.

The PIMCO Enhanced Short Maturity Active Exchange-Traded Fund (MINT) is a Ultrashort Bond fund that is issued by PIMCO. It currently has 14.02B total assets under management and has yielded an average annual return of 1.52% over the past 10 years. The fund has a dividend yield of 0.56% with an expense ratio of 0.36%.

BNDX’s dividend yield is 0.38% higher than that of MINT (0.94% vs. 0.56%). Also, BNDX yielded on average 3.11% more per year over the past decade (4.63% vs. 1.52%). The expense ratio of BNDX is 0.28 percentage points lower than MINT’s (0.08% vs. 0.36%).

Fund Composition

Holdings

BNDX - Holdings

BNDX Bond Sectors Weight
A 29.19%
AA 26.79%
AAA 21.59%
BBB 19.41%
Others 1.57%
Below B 1.45%
B 0.0%
BB 0.0%
US Government 0.0%

BNDX’s Top Bond Sectors are ratings of A, AA, AAA, BBB, and Others at 29.19%, 26.79%, 21.59%, 19.41%, and 1.57%. The fund is less weighted towards Below B (1.45%), B (0.0%), and BB (0.0%) rated bonds.

MINT - Holdings

MINT Bond Sectors Weight
Others 0.0%
Below B 0.0%
B 0.0%
BB 0.0%
BBB 0.0%
A 0.0%
AA 0.0%
AAA 0.0%
US Government 0.0%

MINT’s Top Bond Sectors are ratings of Others, Below B, B, BB, and BBB at 0.0%, 0.0%, 0.0%, 0.0%, and 0.0%. The fund is less weighted towards A (0.0%), AA (0.0%), and AAA (0.0%) rated bonds.

Risk Analysis

BNDX MINT
Mean Return 0 0.12
R-squared 0 4.7
Std. Deviation 0 1.08
Alpha 0 0.62
Beta 0 0.08
Sharpe Ratio 0 0.78
Treynor Ratio 0 10.8

The Vanguard Total International Bond Index Fund ETF Shares (BNDX) has a Standard Deviation of 0 with a Treynor Ratio of 0 and a Alpha of 0. Its Mean Return is 0 while BNDX’s R-squared is 0. Furthermore, the fund has a Beta of 0 and a Sharpe Ratio of 0.

The PIMCO Enhanced Short Maturity Active Exchange-Traded Fund (MINT) has a Sharpe Ratio of 0.78 with a Alpha of 0.62 and a Beta of 0.08. Its Standard Deviation is 1.08 while MINT’s R-squared is 4.7. Furthermore, the fund has a Treynor Ratio of 10.8 and a Mean Return of 0.12.

BNDX’s Mean Return is 0.12 points lower than that of MINT and its R-squared is 4.70 points lower. With a Standard Deviation of 0, BNDX is slightly less volatile than MINT. The Alpha and Beta of BNDX are 0.62 points lower and 0.08 points lower than MINT’s Alpha and Beta.

Performance

Annual Returns

BNDX vs. MINT - Annual Returns

Year BNDX MINT
2020 4.6% 1.63%
2019 7.88% 3.3%
2018 2.94% 1.72%
2017 2.4% 1.9%
2016 4.67% 1.99%
2015 1.08% 0.52%
2014 8.83% 0.53%
2013 0.0% 0.72%
2012 0.0% 2.48%
2011 0.0% 0.42%
2010 0.0% 1.72%

BNDX had its best year in 2014 with an annual return of 8.83%. BNDX’s worst year over the past decade yielded 0.0% and occurred in 2013. In most years the Vanguard Total International Bond Index Fund ETF Shares provided moderate returns such as in 2015, 2017, and 2018 where annual returns amounted to 1.08%, 2.4%, and 2.94% respectively.

The year 2019 was the strongest year for MINT, returning 3.3% on an annual basis. The poorest year for MINT in the last ten years was 2011, with a yield of 0.42%. Most years the PIMCO Enhanced Short Maturity Active Exchange-Traded Fund has given investors modest returns, such as in 2020, 2018, and 2010, when gains were 1.63%, 1.72%, and 1.72% respectively.

Portfolio Growth

BNDX vs. MINT - Portfolio Growth

Fund Initial Balance Final Balance CAGR
BNDX $10,000 $13,695 4.63%
MINT $10,000 $11,215 1.52%

A $10,000 investment in BNDX would have resulted in a final balance of $13,695. This is a profit of $3,695 over 7 years and amounts to a compound annual growth rate (CAGR) of 4.63%.

With a $10,000 investment in MINT, the end total would have been $11,215. This equates to a $1,215 profit over 7 years and a compound annual growth rate (CAGR) of 1.52%.

BNDX’s CAGR is 3.11 percentage points higher than that of MINT and as a result, would have yielded $2,480 more on a $10,000 investment. Thus, BNDX outperformed MINT by 3.11% annually.


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