AIRR vs VTI

AIRR vs VTI

Which is better, AIRR or VTI?

Small Cap Blend against Large Cap Blend.

VTI has a lower expense ratio. AIRR led over 3Y, 5Y and the full window, VTI over 1Y.

Lower Fees: VTIHigher Returns: split

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricAIRRVTI
Expense Ratio0.69%0.03%Best
AUM$9.2B$666.9B
Dividend Yield0.09%1.03%
Holdings1163,543
YTD Return+5.75%+12.57%Best
1Y Return+14.97%+17.22%Best
3Y Return (annualized)+26.52%Best+20.87%
5Y Return (annualized)+21.32%Best+11.86%
Volatility (annualized)24.2%15.1%Best
Max Drawdown-42.4%-35.0%Best
$10,000 over 5 years$26,282Best$17,514
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryEquityEquity
StyleSmall Cap BlendLarge Cap Blend
InceptionMar 10, 2014May 24, 2001

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Mar 11, 2014 to Sep 11, 2026 (12.5 years).

AIRR vs VTI growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 12.5 years both funds cover.

AIRR vs VTI Performance

First Trust RBA American Industrial Renaissance ETF (AIRR) is an ETF from First Trust Portfolios (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year AIRR returned +14.97% while VTI returned +17.22%. Year to date, AIRR is up 5.75% versus a gain of 12.57% for VTI.

Over three years, AIRR compounded at +26.52% per year against +20.87% for VTI; over five years the annualized figures are +21.32% and +11.86% respectively. Across the full 13-year window we track, AIRR has the edge at +14.61% annualized vs +12.07%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

AIRR has been the more volatile fund, with annualized monthly volatility of 24.2% compared with 15.1% for VTI. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -42.4% for AIRR and -35.0% for VTI. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.81. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

AIRR charges 0.69% per year while VTI charges 0.03%. On a $10,000 position that is $69 vs $3 annually, a gap of $66 per year that compounds over a long holding period. On income, AIRR currently yields 0.09% against 1.03% for VTI.

Holdings Overlap

AIRR already in VTI80.7%

At least 80.7% of AIRR's money is in holdings VTI also owns.

Stated as a floor: for VTI, our book for it covers 90.6% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

Most of AIRR is already inside VTI. Owning both mostly buys the same companies twice.

45 positions in common, counted across the 57 positions we hold weights for in AIRR and 2,787 in VTI, against full books of 116 and 3,543.

Top Shared Holdings

StockWeight in AIRRWeight in VTIDifference
IESCIes Holdings4.05%0.00%4.05%
KTOSKratos Defense & Security Solutions, Inc.3.43%0.01%3.42%
KRMNKarman Holdings3.33%0.00%3.33%
DYDycom Industries Inc3.18%0.02%3.16%
OCOwens Corning3.12%0.02%3.10%
SPXCSpx Corp3.07%0.02%3.05%
NXTNextracker Inc3.06%0.02%3.04%
FPSForgent Power Solutions, Inc. (Class A)2.99%0.00%2.99%
BWXTBwx Technologies, Inc.2.94%0.02%2.92%
ROLLRbc Bearings Inc2.81%0.03%2.78%

80.7% of AIRR is already inside VTI.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

AIRRVTI

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Frequently Asked Questions

Which is cheaper, AIRR or VTI?

AIRR has an expense ratio of 0.69% while VTI charges 0.03%. VTI is the cheaper option, by $66 a year on a $10,000 investment.

Which performed better, AIRR or VTI?

Over the past year AIRR returned +14.97% vs +17.22% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (13 years), AIRR annualized +14.61% vs +12.07% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, AIRR or VTI?

AIRR has been the more volatile fund at 24.2% annualized versus 15.1% for VTI. Worst drawdown: AIRR -42.4% vs VTI -35.0%.

Should I hold both AIRR and VTI?

AIRR and VTI have a monthly-return correlation of 0.81, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between AIRR and VTI?

At least 80.7% of AIRR's money is in holdings VTI also owns. Our book for VTI is partial, so the real figure is this or higher. They hold 45 positions in common, counted across the 57 positions we hold weights for in AIRR and 2,787 in VTI.

Which pays a higher dividend, AIRR or VTI?

AIRR yields 0.09% while VTI yields 1.03%, so VTI currently pays the higher dividend yield.

Is VTI better than AIRR?

VTI has a lower expense ratio. AIRR led over 3Y, 5Y and the full window, VTI over 1Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.