VGB vs XGOV: Which ETF Is Better?
A side-by-side comparison of fees, size, returns and holdings, using data to 30 September 2026.
VGB comes out ahead on 7 of 8 measures. Which matters most depends on you.
The short answer
Worth about $4,196 on $100,000 over 20 years.
Bigger funds usually trade more cheaply and are less likely to close.
A tighter gap between the buy and sell price.
VGB vs XGOV side by side
| VGB leads on 7, XGOV on 1 | VGBVanguard Australian Government Bond Index ETF | XGOVVanEck 10+ Year Australian Government Bond ETF |
|---|---|---|
| The basics | ||
| Index tracked | Bloomberg AusBond Government 0+ Yr Index | S&P/ASX iBoxx Australian & State Governments 10-20 Index |
| Fund manager | Vanguard | VanEck |
| Asset class | Australian bonds | Australian bonds |
| Listed | Apr 2012 | Sep 2023 |
| Cost and size | ||
| MERyearly fee, lower is better | 0.16%✓ | 0.22% |
| AUMfund size | $1.4bn✓ | $477m |
| Net flows (Sep)new money in, last month | $5.7m | $39m✓ |
| Bid/ask spreadtrading cost, lower is better | 0.04%✓ | 0.09% |
| Total returns | ||
| 1 month | −0.7%✓ | −1.8% |
| 1 year | −0.7%✓ | −2.5% |
| 3 years p.a. | +3.2%✓ | +2.7% |
| 5 years p.a. | −0.5% | – |
| $10,000 invested | ||
| 1 year ago | $9,933✓ | $9,755 |
| 5 years ago | $9,732 | – |
✓ marks the better figure on each measure. Returns include distributions, to 30 September 2026.
VGB vs XGOV price chart
Both ETFs on one chart as % change. Use the 1D to All buttons to change the period. Price only, so it leaves out distributions · TradingView
What $10,000 invested is worth now
Only VGB has a 5 years record: $10,000 then is worth $9,732 today.
Total returns to 30 September 2026, with distributions reinvested, before tax and brokerage. The price chart above leaves out distributions, so it can look worse. Past performance is not a reliable indicator of future performance.
What the fees cost you
VGB's lower fee leaves about $4,196 more in your pocket over 20 years.
Total fees paid on a $100,000 investment, assuming a 7% a year return before fees. Illustration only: it ignores tax, brokerage and differences in returns.
VGB and XGOV overlap
1 companies appear in both funds. Overlap is the share of the portfolio that is the same in both, counting the smaller weight of each shared company.
| Biggest shared holdings | % of VGB | % of XGOV |
|---|---|---|
| 100.00% | 100.00% |
Add more ETFs and see the overlap in Compare ETFs →
Best-endeavours estimate. Built from each issuer's published holdings, which may be weeks or months old, may cover only part of a fund (some publish only their top 10) and are matched by company name. Figures may be incomplete or inaccurate. Check the issuer's website and PDS before relying on them. General information only.
Get the full VGB vs XGOV report
- Every holding of each ETF: the top 50 companies, with sectors and countries
- Exactly which companies they share, and how much of each
- Fees in dollars over 10, 20 and 30 years
- Every metric side by side, including the index each tracks
- ★ FREE BONUSIs now a good time to invest? The Market Health-O-Meter
FAQs
Which is better, VGB or XGOV?
It depends on what you need. On our numbers VGB wins on 7 measures and XGOV on 1. VGB is cheaper, with a management fee of 0.16% vs 0.22%. On $100,000 over 20 years that difference is worth about $4,196. VGB is the larger fund at $1.4bn vs $477m. VGB has the better 1-year return: −0.7% vs −2.5%.
Which is cheaper, VGB or XGOV?
VGB charges 0.16% a year and XGOV charges 0.22% a year.
Can I hold both VGB and XGOV?
You can, but check how much they overlap. VGB is a Australian bonds fund and XGOV is a Australian bonds fund.
More comparisons
General information only, not a recommendation. Past performance is not a reliable indicator of future performance.