MYCO vs VBCC

MYCODState Street My2035 Corporate Bond ETF

VBCCAVanguard Target Maturity 2029 Corporate Bond ETF

In short

MYCO Most 2035 bond rungs are index ladders. MYCO is the hand-built one: an actively managed basket of corporate bonds all maturing in 2035, chosen sector by sector and issuer by issuer.

VBCC Vanguard's version of a single rung on a bond ladder: investment-grade corporates that all mature in 2029, wrapped in an ETF at 0.08% a year, under the typical fee in the target-maturity aisle.

Stated mandate

MYCO The fund actively manages a portfolio primarily of corporate bonds maturing in 2035. It seeks current income and capital preservation through top-down sector allocation and bottom-up issuer and security research.

VBCC The fund seeks to follow a market-weighted index of U.S.-dollar-denominated, investment-grade corporate bonds scheduled to mature in 2029.

Why people hold it

• MYCO Active in an aisle built mostly from index trackers: top-down sector allocation, bottom-up issuer and security research, measured against the ICE 2035 Maturity US Corporate Index.ssga.com
• The holdings share a maturity year, so the portfolio winds down on a known calendar rather than rolling forever like a standard corporate bond fund.ssga.com
• Stated goals are current income and capital preservation, with a monthly income policy and roughly 100 corporate bonds spreading the issuer risk.

• VBCC At 0.08% a year it undercuts the target-maturity median and the established 2029 corporate rungs from iShares (IBDU) and Invesco (BSCT), both at 0.10%.
• Every bond in the index is scheduled to mature in 2029, so the portfolio has an end date instead of rolling on forever like a standard bond fund.
• Investment-grade US dollar corporates, market-weighted. No high-yield sleeve, no manager leaning on favorite issuers.
• Stacks up among the stronger builds in a crowded target-maturity field, on the back of low cost and a straightforward investment-grade portfolio.

Worth knowing

• MYCO 0.15% a year sits above the target-maturity median. The big index rungs charge less (IBDU and BSCT at 0.10%, VBCB at 0.08%). That gap is the price of the active seat.
• A 2025 launch, small and thinly traded: spreads can run wider than the category's giants, and there is little live history to judge the managers on.
• This is corporate credit with a long runway. Values move with interest rates and credit spreads for years before those 2035 bonds come due.

• VBCC Launched in 2026, so live history is short and it trades less actively than the long-running iShares and Invesco ladders. Limit orders matter more here.
• Corporate credit, not Treasuries. An investment-grade issuer can still be downgraded or miss a payment, and a 2029 maturity date does not erase that.
• Income is paid quarterly, so cash arrives four times a year rather than monthly.

Full MYCO profile⁠

Full VBCC profile⁠