DIVI vs VTI

DIVI vs VTI
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Quick Verdict

VTI has a lower expense ratio. DIVI delivered stronger 1-year returns. VTI offers more diversification with 3,543 holdings.

Lower Fees: VTIHigher Returns: DIVIMore Diversified: VTI

Side-by-Side Comparison

MetricDIVIVTIWinner
Expense Ratio0.09%0.03%
AUM$2.8B$666.9B
Dividend Yield3.55%1.07%
Holdings4213,543
YTD Return+14.48%+12.65%
1Y Return+23.92%+21.39%
3Y Return (annualized)+20.55%+21.54%
5Y Return (annualized)+13.93%+12.11%
Volatility (annualized)13.5%15.3%
Max Drawdown-27.8%-56.6%
Fund FamilyFranklin Templeton Investments (US)Vanguard (US)
CategoryEquityEquity
InceptionJun 1, 2016May 24, 2001

DIVI vs VTI Performance

Franklin International Core Dividend Tilt Index ETF (DIVI) is a ETF from Franklin Templeton Investments (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year DIVI returned +23.92% while VTI returned +21.39%. Year to date, DIVI is up 14.48% versus a gain of 12.65% for VTI.

Over three years, DIVI compounded at +20.55% per year against +21.54% for VTI; over five years the annualized figures are +13.93% and +12.11% respectively. Across the full 10-year window we track, VTI has the edge at +8.07% annualized vs +7.82%. 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 13.5% for DIVI. 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 -27.8% for DIVI 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 0.73. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

DIVI charges 0.09% per year while VTI charges 0.03%. On a $10,000 position that is $9 vs $3 annually, a gap of $6 per year that compounds over a long holding period. On income, DIVI currently yields 3.55% against 1.07% for VTI.

Holdings Overlap

0.1%overlap

DIVI and VTI share 4 holdings out of 3192 unique holdings combined, representing a 0.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in DIVIWeight in VTIDifference
IRM0.18%0.05%0.13%
BG0.20%0.02%0.18%
FBK0.15%0.00%0.15%
SGP:AUProProPro
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Frequently Asked Questions

Which is cheaper, DIVI or VTI?

DIVI has an expense ratio of 0.09% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $6 per year of difference.

Which performed better, DIVI or VTI?

Over the past year DIVI returned +23.92% vs +21.39% for VTI, so DIVI leads on 1-year performance. Over the longest common window we track (10 years), DIVI annualized +7.82% vs +8.07% for VTI. Past performance does not guarantee future results.

Which is riskier, DIVI or VTI?

VTI has been the more volatile fund at 15.3% annualized versus 13.5% for DIVI. Worst drawdown: DIVI -27.8% vs VTI -56.6%.

Should I hold both DIVI and VTI?

DIVI and VTI have a monthly-return correlation of 0.73, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between DIVI and VTI?

DIVI and VTI share 4 common holdings with a 0.1% weight overlap. Combined, they hold 3192 unique securities.

Which pays a higher dividend, DIVI or VTI?

DIVI yields 3.55% while VTI yields 1.07%, so DIVI currently pays the higher dividend yield.

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