CEFS vs VTI

Quick Verdict

VTI has a lower expense ratio. VTI delivered stronger 1-year returns. VTI offers more diversification with 2783 holdings.

Lower Fees: VTIHigher Returns: VTIMore Diversified: VTI

Side-by-Side Comparison

MetricCEFSVTIWinner
Expense Ratio4.29%0.03%
AUM$426M$663.5B
Dividend Yield6.08%1.07%
Holdings683,543
YTD Return+12.57%+14.22%
1Y Return+16.47%+22.19%
3Y Return (annualized)+18.80%+21.27%
5Y Return (annualized)+12.77%+12.23%
Volatility (annualized)14.3%15.3%
Max Drawdown-39.0%-56.6%
Fund FamilySaba CapitalVanguard (US)
CategoryAllocation/BalancedEquity
InceptionMar 20, 2017May 24, 2001

CEFS vs VTI Performance

Saba Closed-End Funds ETF (CEFS) is a ETF from Saba Capital and Vanguard Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year CEFS returned +16.47% while VTI returned +22.19%. Year to date, CEFS is up 12.57% versus a gain of 14.22% for VTI.

Over three years, CEFS compounded at +18.80% per year against +21.27% for VTI; over five years the annualized figures are +12.77% and +12.23% respectively. Across the full 9-year window we track, CEFS has the edge at +11.74% annualized vs +8.14%. 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 14.3% for CEFS. 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 -39.0% for CEFS and -56.6% for VTI. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.87. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

CEFS charges 4.29% per year while VTI charges 0.03%. On a $10,000 position that is $429 vs $3 annually, a gap of $426 per year that compounds over a long holding period. On income, CEFS currently yields 6.08% against 1.07% for VTI.

Holdings Overlap

0.0%overlap

CEFS and VTI share 0 holdings out of 2843 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, CEFS or VTI?

CEFS has an expense ratio of 4.29% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $426 per year of difference.

Which performed better, CEFS or VTI?

Over the past year CEFS returned +16.47% vs +22.19% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (9 years), CEFS annualized +11.74% vs +8.14% for VTI. Past performance does not guarantee future results.

Which is riskier, CEFS or VTI?

VTI has been the more volatile fund at 15.3% annualized versus 14.3% for CEFS. Worst drawdown: CEFS -39.0% vs VTI -56.6%.

Should I hold both CEFS and VTI?

CEFS and VTI have a monthly-return correlation of 0.87, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between CEFS and VTI?

CEFS and VTI share 0 common holdings with a 0.0% weight overlap. Combined, they hold 2843 unique securities.

Which pays a higher dividend, CEFS or VTI?

CEFS yields 6.08% while VTI yields 1.07%, so CEFS currently pays the higher dividend yield.

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