CAF vs VTI
Morgan Stanley China A Share Fund vs Vanguard Morningstar Total Stock Market ETF
Which is better, CAF or VTI?
Each has led over a different period.
VTI has a lower expense ratio. CAF led over the full window, VTI over 1Y, 3Y and 5Y. VTI is less concentrated, with 33.3% of the fund in its ten largest positions against 40.9%.
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
| Metric | CAF | VTI |
|---|---|---|
| Expense Ratio | 1.75% | 0.03%Best |
| AUM | - | $666.9B |
| Dividend Yield | 1.15% | 1.03% |
| Holdings | 69 | 3,543 |
| YTD Return | +3.24% | +13.60%Best |
| 1Y Return | +15.74% | +18.17%Best |
| 3Y Return (annualized) | +16.13% | +23.04%Best |
| 5Y Return (annualized) | +0.17% | +12.14%Best |
| Volatility (annualized) | 30.1% | 15.8%Best |
| Max Drawdown | -65.9% | -56.6%Best |
| $10,000 over 5 years | $10,085 | $17,734Best |
| Top 10 Weight | 40.9% | 33.3%Best |
| Fund Family | Morgan Stanley Investment Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Sep 28, 2006 | May 24, 2001 |
Volatility and max drawdown are measured over the window both funds cover: Sep 28, 2006 to Sep 25, 2026 (20 years).
CAF 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 20 years both funds cover.
CAF vs VTI Performance
Morgan Stanley China A Share Fund (CAF) is an ETF from Morgan Stanley Investment Management and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year CAF returned +15.74% while VTI returned +18.17%. Year to date, CAF is up 3.24% versus a gain of 13.60% for VTI.
Over three years, CAF compounded at +16.13% per year against +23.04% for VTI; over five years the annualized figures are +0.17% and +12.14% respectively. Across the full 20-year window we track, CAF has the edge at +9.71% annualized vs +9.57%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
CAF has been the more volatile fund, with annualized monthly volatility of 30.1% compared with 15.8% 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 -65.9% for CAF and -56.6% 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 0.39. They move together some of the time, and apart the rest.
Fees and Cost Over Time
CAF charges 1.75% per year while VTI charges 0.03%. On a $10,000 position that is $175 vs $3 annually, a gap of $172 per year that compounds over a long holding period. On income, CAF currently yields 1.15% against 1.03% for VTI.
Holdings Overlap
We hold position weights for 74 holdings in CAF and 3,463 in VTI, totalling 98.0% 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 74 positions we hold weights for in CAF and 3,463 in VTI, against full books of 69 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 CAF (97.5% of the fund), and 1 for CAF that do not appear in VTI (0.2%).
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 CAF and VTI you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, CAF or VTI?
CAF has an expense ratio of 1.75% while VTI charges 0.03%. VTI is the cheaper option, by $172 a year on a $10,000 investment.
Which performed better, CAF or VTI?
Over the past year CAF returned +15.74% vs +18.17% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (20 years), CAF annualized +9.71% vs +9.57% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, CAF or VTI?
CAF has been the more volatile fund at 30.1% annualized versus 15.8% for VTI. Worst drawdown: CAF -65.9% vs VTI -56.6%.
Should I hold both CAF and VTI?
CAF and VTI have a monthly-return correlation of 0.39, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, CAF or VTI?
CAF yields 1.15% while VTI yields 1.03%, so CAF currently pays the higher dividend yield.
Is VTI better than CAF?
VTI has a lower expense ratio. CAF led over the full window, VTI over 1Y, 3Y and 5Y. VTI is less concentrated, with 33.3% of the fund in its ten largest positions against 40.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.