Vanguard VGB ETF (ASX:VGB)

Vanguard Australian Government Bond Index Fund

About the VGB ETF

The Vanguard VGB ETF invests in a group of Australian government and government-related bonds. VGB ETF seeks to track the return of the Bloomberg AusBond Govt 0+ Yr Index before taking into account fees, expenses and tax. VGB ETF was created in 2008 and is $1.016 billion in size. It provides quarterly distributions and has a management fee of 0.20%.

VGB ETF Performance Review

4.89

-3.07

0.49

2.76

2.79

3.98

Data Current To: 31/12/2023

Our review of VGB ETF

Fund invests in Australian Commonwealth Government bonds and Australian state and territory bonds

The ETF invests in a high percentage of fixed rate bonds and is exposed to interest rate risk

What we like about the VGB ETF

Very low risk portfolio with more than 75% of the portfolio invested in AAA rated securities.

The fund takes interest rate risk.

Things to be aware of about the VGB ETF

Concentrated portfolio

VGB ETF Investment Strategy

Vanguard Australian Government Bond Index Fund seeks to track the return of the Bloomberg AusBond Govt 0+ Yr Index before taking into account fees, expenses and tax.

What does the VGB ETF Invest In?

VGB is a Government Bond ETF.

VGB ETF invests in Australian Commonwealth Government bonds, state government bonds and treasury corporation bonds. More than 60% of the VGB ETF portfolio as at 31 December 2023, is allocated to the Treasury sector with Government Related Sovereign accounting for the remainder. VGB ETF has a very low risk portfolio with a high weighted average credit rating of AAA.

VGB ETF Credit Quality

The average credit quality of the VGB ETF is AAA.

A detailed breakdown of the credit quality is expressed below.

VGB Frequently Asked Questions

What index does the VGB ETF aim to replicate?

The VGB ETF aims to replicate the Bloomberg AusBond Govt 0+ Yr Index.

How often does VGB ETF pay distributions?

The distribution frequency of VGB is Quarterly.

When did the VGB ETF start?

The inception date of the VGB ETF was 22/12/2008.

What are the net assets of the VGB ETF?

VGB has net assets of $1016m (AUD) as of 31/12/2023.

What are the number of holdings in the VGB ETF?

Total number of holdings in VGB is 155 as of 31/12/2023.

What are the management fees for the VGB ETF?

The annual management fees for the VGB ETF are 0.2% p.a. Learn more about ETF fees in this article.

How can I invest in the VGB ETF?

VGB is an Exchange Traded Fund, and units may be bought or sold on the ASX like shares. Learn how to buy and sell ETFs in this article.

Does the VGB ETF have a minimum investment amount?

No, there is no minimum to invest in the Vanguard VGB ETF. Exchange Traded Funds in general do not have a minimum investment amount required by the issuer. However, if you choose to invest through a broker, they may choose to set their own minimum investment amount.

Are there any performance fees associated with the VGB ETF?

No, VGB has no performance fee. This is one of the advantages of Exchange Traded Funds, as they are traded like shares, you’ll generally only pay a commission to buy or sell units and an ongoing management fee.