BUFD vs VTI

BUFD vs VTI

Which is better, BUFD or VTI?

Option Writing against Large Cap Blend.

VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. VTI is less concentrated, with 33.3% of the fund in its ten largest positions against 83.3%.

Lower Fees: VTIHigher Returns: VTILess Concentrated: VTI

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

MetricBUFDVTI
Expense Ratio0.95%0.03%Best
AUM$2.0B$666.9B
Dividend Yield0.00%1.03%
Holdings263,543
YTD Return+7.19%+12.30%Best
1Y Return+10.09%+16.08%Best
3Y Return (annualized)+11.82%+21.01%Best
5Y Return (annualized)+7.84%+12.36%Best
Volatility (annualized)6.5%Best15.3%
Max Drawdown-10.8%Best-25.4%
$10,000 over 5 years$14,585$17,908Best
Top 10 Weight83.3%33.3%Best
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryAlternativeEquity
StyleOption WritingLarge Cap Blend
InceptionJan 20, 2021May 24, 2001

Volatility and max drawdown are measured over the window both funds cover: Jan 21, 2021 to Sep 18, 2026 (5.7 years).

BUFD 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 5.7 years both funds cover.

BUFD vs VTI Performance

FT Vest Laddered Deep Buffer ETF (BUFD) 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 BUFD returned +10.09% while VTI returned +16.08%. Year to date, BUFD is up 7.19% versus a gain of 12.30% for VTI.

Over three years, BUFD compounded at +11.82% per year against +21.01% for VTI; over five years the annualized figures are +7.84% and +12.36% respectively. Across the full 6-year window we track, VTI has the edge at +13.18% annualized vs +7.53%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VTI has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 6.5% for BUFD. 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 -10.8% for BUFD and -25.4% 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

BUFD charges 0.95% per year while VTI charges 0.03%. On a $10,000 position that is $95 vs $3 annually, a gap of $92 per year that compounds over a long holding period. On income, BUFD currently yields 0.00% against 1.03% for VTI.

Holdings Overlap

We hold position weights for 12 holdings in BUFD and 3,463 in VTI, totalling 99.9% and 98.1% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 12 positions we hold weights for in BUFD and 3,463 in VTI, against full books of 26 and 3,543.

What only one of them owns

Our book lists 1,150 positions for VTI that do not appear in our book for BUFD (97.5% of the fund), and 12 for BUFD that do not appear in VTI (99.9%).

Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.

You are not choosing between two funds in isolation.

Whichever of BUFD and VTI you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

BUFDVTI

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, BUFD or VTI?

BUFD has an expense ratio of 0.95% while VTI charges 0.03%. VTI is the cheaper option, by $92 a year on a $10,000 investment.

Which performed better, BUFD or VTI?

Over the past year BUFD returned +10.09% vs +16.08% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (6 years), BUFD annualized +7.53% vs +13.18% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, BUFD or VTI?

VTI has been the more volatile fund at 15.3% annualized versus 6.5% for BUFD. Worst drawdown: BUFD -10.8% vs VTI -25.4%.

Should I hold both BUFD and VTI?

BUFD and VTI have a monthly-return correlation of 0.95, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

Which pays a higher dividend, BUFD or VTI?

BUFD yields 0.00% while VTI yields 1.03%, so VTI currently pays the higher dividend yield.

Is VTI better than BUFD?

VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. VTI is less concentrated, with 33.3% of the fund in its ten largest positions against 83.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.