VGIT alternatives and similar ETFs

VGIT alternatives at a glance#

Each fund below can stand in for VGIT, closest first. “Same kind” funds hold the same kind of bonds through a different index. “Related” funds make a different bet that often moves the same way.

Fees come from each fund company, checked on the dates shown on each fund’s page.

How VGIT and its alternatives did over the same dates#

Each row measures the alternative and VGIT on the days both traded, so neither gets a head start. Correlation shows how closely their daily moves matched over about the last five years. A value of 1 means they always moved together.

Prices through October 16, 2026. Figures use daily closing prices adjusted for splits, with dividends reinvested. They do not include taxes or the cost of buying and selling. Past results do not tell you what will happen next.

Each VGIT alternative, compared#

IEF: iShares 7-10 Year Treasury Bond ETF#

IEF also holds US government bonds that pay back in about 3 to 10 years. It tracks the ICE US Treasury 7-10 Year Bond Index, while VGIT tracks the Bloomberg US Treasury 3-10 Year Bond Index.

It charges 0.15% a year, about $15 on $10,000, against $3 for VGIT. It held 17 holdings, against 102 for VGIT.

From November 2009 to October 2026, IEF returned about 2.2% a year and VGIT returned about 2.0% a year. Over about the last five years they moved almost exactly together (correlation 0.98).

Read the IEF fund page for its returns by year and worst drop.

BND: Vanguard Total Bond Market ETF#

BND is a looser match. It holds a broad mix of US bonds: government, company and mortgage bonds, while VGIT holds US government bonds that pay back in about 3 to 10 years.

It charges 0.03% a year, about $3 on $10,000, against $3 for VGIT. It held 11,434 holdings, against 102 for VGIT.

From November 2009 to October 2026, BND returned about 2.3% a year and VGIT returned about 2.0% a year. Over about the last five years they moved almost exactly together (correlation 0.96).

Read the BND fund page for its returns by year and worst drop.

AGG: iShares Core U.S. Aggregate Bond ETF#

AGG is a looser match. It holds a broad mix of US bonds: government, company and mortgage bonds, while VGIT holds US government bonds that pay back in about 3 to 10 years.

It charges 0.03% a year, about $3 on $10,000, against $3 for VGIT. It held 13,416 holdings, against 102 for VGIT.

From November 2009 to October 2026, AGG returned about 2.3% a year and VGIT returned about 2.0% a year. Over about the last five years they moved almost exactly together (correlation 0.95).

Read the AGG fund page for its returns by year and worst drop.

SCHZ: Schwab U.S. Aggregate Bond ETF#

SCHZ is a looser match. It holds a broad mix of US bonds: government, company and mortgage bonds, while VGIT holds US government bonds that pay back in about 3 to 10 years.

It charges 0.03% a year, about $3 on $10,000, against $3 for VGIT. It held 12,355 holdings, against 102 for VGIT.

From July 2011 to October 2026, SCHZ returned about 1.9% a year and VGIT returned about 1.7% a year. Over about the last five years they moved almost exactly together (correlation 0.95).

Read the SCHZ fund page for its returns by year and worst drop.

IUSB: iShares Core Universal USD Bond ETF#

IUSB is a looser match. It holds a broad mix of US bonds: government, company and mortgage bonds, while VGIT holds US government bonds that pay back in about 3 to 10 years.

It charges 0.06% a year, about $6 on $10,000, against $3 for VGIT. It held 18,251 holdings, against 102 for VGIT.

From June 2014 to October 2026, IUSB returned about 2.0% a year and VGIT returned about 1.5% a year. Over about the last five years they moved together on most days (correlation 0.94).

Read the IUSB fund page for its returns by year and worst drop.

VGLT: Vanguard Long-Term Treasury ETF#

VGLT is a looser match. It holds US government bonds that pay back in 20 years or more, while VGIT holds US government bonds that pay back in about 3 to 10 years.

It charges 0.03% a year, about $3 on $10,000, against $3 for VGIT. It held 101 holdings, against 102 for VGIT.

From January 2010 to October 2026, VGLT returned about 2.4% a year and VGIT returned about 2.1% a year. Over about the last five years they moved together on most days (correlation 0.86).

Read the VGLT fund page for its returns by year and worst drop.

TLT: iShares 20+ Year Treasury Bond ETF#

TLT is a looser match. It holds US government bonds that pay back in 20 years or more, while VGIT holds US government bonds that pay back in about 3 to 10 years.

It charges 0.15% a year, about $15 on $10,000, against $3 for VGIT. It held 47 holdings, against 102 for VGIT.

From November 2009 to October 2026, TLT returned about 2.0% a year and VGIT returned about 2.0% a year. Over about the last five years they often moved together, but not always (correlation 0.84).

Read the TLT fund page for its returns by year and worst drop.

EDV: Vanguard Extended Duration Treasury ETF#

EDV is a looser match. It holds US government bonds that pay back in 20 years or more, while VGIT holds US government bonds that pay back in about 3 to 10 years.

It charges 0.05% a year, about $5 on $10,000, against $3 for VGIT. It held 80 holdings, against 102 for VGIT.

From November 2009 to October 2026, EDV returned about 1.8% a year and VGIT returned about 2.0% a year. Over about the last five years they often moved together, but not always (correlation 0.80).

Read the EDV fund page for its returns by year and worst drop.

VGIT versions from other fund companies#

Some people keep all their funds with one company. Here is the closest fund to VGIT from each other company on this page:

• iShares (BlackRock): IEF, iShares 7-10 Year Treasury Bond ETF (same kind of fund, 0.15% a year)
• Schwab: SCHZ, Schwab U.S. Aggregate Bond ETF (related fund, 0.03% a year)

Most brokers let you buy any ETF, whoever runs it. Mutual fund versions, such as a fund company’s index mutual fund, are not listed here.

How to choose between VGIT and its alternatives#

• What it tracks. A fund on the same index holds the same bonds. A different index can mean different weights, more or fewer holdings, or a different mix.
• The fee. The difference is often small. On $10,000, VGIT costs about $3 a year.
• History. An older fund has been through more bad markets, so you can see how far it fell.
• What you already own. Two funds that move together add little variety. A fund with a low correlation behaves more on its own.

Swapping VGIT to harvest a tax loss#

Some investors sell a fund at a loss to lower their taxes, then buy a similar fund so they stay invested. This is called tax-loss harvesting.

The IRS wash sale rule blocks the loss if you buy a “substantially identical” security within 30 days before or after the sale. The IRS has not said exactly when two funds count. Funds on the same index are more likely to. Funds on a different index, such as IEF, BND or AGG, are less likely to.

Ask a tax professional before you rely on this. Read the IRS rules in Publication 550.

Test VGIT and its alternatives in a backtest#

Tactfolio is a platform where you build rules-based investing strategies, backtest them on decades of real prices, share them, and run them automatically in your own Alpaca account. Open the builder, add VGIT and IEF, and see how each would have done on the same dates, or how a mix of both would have done.

The details#

Alternatives are picked from facts, not from returns. First come funds that track the same index as VGIT. Then come funds that hold the same kind of bonds through another index. Last come funds from a close category that make a different bet. Leveraged funds are only listed as alternatives to other leveraged funds.

Within each group, the funds whose daily returns moved most like VGIT over about the last five years come first. Returns and worst drops use Tactfolio’s stored daily prices, adjusted for splits, with dividends reinvested. Each alternative is measured with VGIT only on days both traded. Read what a backtest simulates for more on these measures.