CUT vs VTI

CUT vs VTI

Which is better, CUT or VTI?

Mid Cap Value against Large Cap Blend.

VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. VTI is less concentrated, with 33.3% of the fund in its ten largest positions against 51.5%.

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

MetricCUTVTI
Expense Ratio0.76%0.03%Best
AUM$31M$666.9B
Dividend Yield2.41%1.03%
Holdings653,543
YTD Return-2.39%+13.10%Best
1Y Return-0.29%+17.01%Best
3Y Return (annualized)+0.08%+22.26%Best
5Y Return (annualized)-3.40%+11.98%Best
Volatility (annualized)22.9%16.1%Best
Max Drawdown-70.0%-55.3%Best
$10,000 over 5 years$8,412$17,608Best
Top 10 Weight51.5%33.3%Best
Fund FamilyInvesco (US)Vanguard (US)
CategoryEquityEquity
StyleMid Cap ValueLarge Cap Blend
InceptionNov 9, 2007May 24, 2001

Volatility and max drawdown are measured over the window both funds cover: Nov 9, 2007 to Sep 24, 2026 (18.9 years).

CUT 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 18.9 years both funds cover.

CUT vs VTI Performance

Invesco MSCI Global Timber ETF (CUT) is an ETF from Invesco (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year CUT returned -0.29% while VTI returned +17.01%. Year to date, CUT is down 2.39% versus a gain of 13.10% for VTI.

Over three years, CUT compounded at +0.08% per year against +22.26% for VTI; over five years the annualized figures are -3.40% and +11.98% respectively. Across the full 19-year window we track, VTI has the edge at +9.60% annualized vs +2.74%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

CUT has been the more volatile fund, with annualized monthly volatility of 22.9% compared with 16.1% 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 -70.0% for CUT and -55.3% 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

CUT charges 0.76% per year while VTI charges 0.03%. On a $10,000 position that is $76 vs $3 annually, a gap of $73 per year that compounds over a long holding period. On income, CUT currently yields 2.41% against 1.03% for VTI.

Holdings Overlap

CUT already in VTI33.1%
VTI already in CUT0.1%

33.1% of CUT's money is in holdings VTI also owns. 0.1% of VTI's money is in holdings CUT also owns.

The two portfolios partly overlap.

8 positions in common, counted across the 51 positions we hold weights for in CUT and 3,463 in VTI, against full books of 65 and 3,543.

What only one of them owns

Our book lists 1,144 positions for VTI that do not appear in our book for CUT (97.3% of the fund), and 2 for CUT that do not appear in VTI (11.8%).

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.

Top Shared Holdings

StockWeight in CUTWeight in VTIDifference
IPInternational Paper Co.5.99%0.03%5.96%
PKGPackaging Corp. Of America5.28%0.03%5.25%
AVYAvery Dennison Corp.5.18%0.02%5.16%
WYWeyerhaeuser Co.4.68%0.03%4.65%
RYNRayonier Inc4.28%0.01%4.27%
SONSonoco Products Company4.22%0.01%4.21%
GPKGraphic Packaging Holding Co2.54%0.00%2.54%
SLVMSylvamo Corp Ordinary Shares When Issued0.90%0.00%0.90%

33.1% of CUT 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.

CUTVTI

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, CUT or VTI?

CUT has an expense ratio of 0.76% while VTI charges 0.03%. VTI is the cheaper option, by $73 a year on a $10,000 investment.

Which performed better, CUT or VTI?

Over the past year CUT returned -0.29% vs +17.01% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (19 years), CUT annualized +2.74% vs +9.60% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, CUT or VTI?

CUT has been the more volatile fund at 22.9% annualized versus 16.1% for VTI. Worst drawdown: CUT -70.0% vs VTI -55.3%.

Should I hold both CUT and VTI?

CUT 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 CUT and VTI?

33.1% of CUT's money is in holdings VTI also owns. 0.1% of VTI's is in holdings CUT also owns. They hold 8 positions in common, counted across the 51 positions we hold weights for in CUT and 3,463 in VTI.

Which pays a higher dividend, CUT or VTI?

CUT yields 2.41% while VTI yields 1.03%, so CUT currently pays the higher dividend yield.

Is VTI better than CUT?

VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. VTI is less concentrated, with 33.3% of the fund in its ten largest positions against 51.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.