BSV

Vanguard Short-Term Bond ETF

$78.76
+0.00%
Market closed. Last update: 10:56 PM ET

📎 Investment Objective

The Vanguard Short-Term Bond ETF seeks to track the performance of a market-weighted bond index with a short-term dollar-weighted average maturity.

Overview

ETF tracking Vanguard Short-Term Bond ETF

Issuer Vanguard
Inception Date 2008-09-19
Market Cap $38.8B
Average Volume N/A
Dividend Yield 3.18%
52-Week Range $76.94 - $79.19
VWAP $78.78

Performance

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Investment Summary

📎 Investment Objective

The Vanguard Short-Term Bond ETF seeks to track the performance of a market-weighted bond index with a short-term dollar-weighted average maturity.

🎯 Investment Strategy

The ETF invests in a diversified portfolio of high-quality, investment-grade U.S. government, agency, and corporate bonds with maturities ranging from 1 to 5 years. It employs a passive, index-tracking approach to provide exposure to the short-term bond market.

✨ Key Features

  • Focuses on short-term, high-quality bonds to provide stability and lower interest rate risk compared to longer-term bonds
  • Broad diversification across government, agency, and corporate issuers
  • Low expense ratio of 0.00% to minimize costs for investors
  • Designed to serve as a conservative, low-volatility core fixed income holding

⚠️ Primary Risks

  • Interest rate risk: The fund's value may decline if interest rates rise
  • Credit risk: The fund is exposed to the risk of bond issuers defaulting on their obligations
  • Liquidity risk: Potential difficulty in selling holdings during times of market stress
  • Reinvestment risk: Coupon payments may need to be reinvested at lower yields

👤 Best For

The Vanguard Short-Term Bond ETF is suitable for conservative investors seeking a low-risk, low-volatility fixed income allocation to help stabilize their overall portfolio. It may be particularly appropriate for investors with a short-term investment horizon or those looking to reduce interest rate sensitivity in their bond holdings.