Grow it · ETFs

VACF vs IAF

Compare fees, returns, income and risk for these 2 ASX-listed ETFs side by side.

At a glance

Comparing VACF and IAF. IAF has the lower management fee at 0.1% a year, VACF has the higher 10 years return at 2.8% a year, and VACF offers the higher at 3.91%.
Lower fee
IAF 0.1% p.a.
Higher 10 years return
VACF 2.8% p.a.
Higher yield
VACF 3.91%
Lower volatility
VACF 3.1% (10y)
Larger fund
IAF $3.8bn

Side-by-side comparison

Metric VACF
Vanguard Australian Corporate Fixed Interest Index ETF
IAF
iShares Core Composite Bond ETF
Snapshot
Provider
Vanguard
iShares
Tracks index
Bloomberg AusBond Credit 0+ Yr Index
Bloomberg AusBond Composite 0+ Yr Index
Categories
AU, Bonds
AU, Bonds
Listed since
2017 (9 yrs)
2012 (14 yrs)
Fund size (AUM)
$719m
$3.8bn
Cost & income
Management fee
0.2%
0.1%
Dividend yield
3.91%
3.15%
Franking
0%
0%
Turnover
30%
35%
Tax drag 1.97% 1.85%
Returns
Tax bracket
1-year return
2.3%
net
1%
net
3-year return
5.1%
net
3.6%
net
5-year return
1.7%
net
-0.2%
net
10-year return
2.8%
net
1.5%
net
Risk
Volatility (3y)
2.6%
4%
Volatility (5y)
3.8%
5.4%
Volatility (10y)
3.1%
4.5%
Sharpe ratio (3y)
0.36
Sharpe ratio (5y)
Sharpe ratio (10y)
0.22
Bid/ask spread

marks the strongest fund in each row. “net” shows the after-tax return at your selected bracket. “—” means we don’t have that data point yet.

Each fund at a glance

VACF Vanguard Australian Corporate Fixed Interest Index ETF
  • Low-cost: a 0.2% management fee keeps more of the return in your pocket.
  • Pays a useful 3.91% income yield.
  • Has lagged most peers over 10 years (87th of 108).
IAF iShares Core Composite Bond ETF
  • Low-cost: a 0.1% management fee keeps more of the return in your pocket.
  • Low volatility (4.45% over 10 years) for a smoother ride.
  • Has lagged most peers over 10 years (97th of 108).

Frequently Asked Questions

What's the difference between VACF vs IAF?

VACF and IAF are 2 Australian-listed ETFs we compare side by side. IAF carries the lower management fee (0.1%). Over 10 years, VACF has delivered the higher total return (2.8% a year). The table above breaks down fees, returns, income and risk for each.

Which has the lower fees - VACF vs IAF?

IAF has the lower management fee at 0.1% a year, versus VACF 0.2%.

Which has performed higher - VACF vs IAF?

Over the past 10 years, VACF has delivered the higher total return at 2.8% a year. Past performance is not a reliable indicator of future returns.

Which pays the higher dividend yield?

VACF pays the higher at 3.91%. Remember distributions are taxed each year at your marginal rate.

Which is the larger and most liquid?

IAF is the larger fund by assets ($3.8bn). Larger funds are typically more liquid and trade on tighter spreads.

Related comparisons

General information only, generated from each fund's published data — not personal financial advice. Past performance is not a reliable indicator of future returns. Consider your own circumstances or seek licensed advice before investing.

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