EDOW vs VTI

EDOW vs VTI
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Quick Verdict

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

Lower Fees: VTIHigher Returns: VTIMore Diversified: VTI

Side-by-Side Comparison

MetricEDOWVTIWinner
Expense Ratio0.50%0.03%
AUM$325M$666.9B
Dividend Yield1.24%1.07%
Holdings313,543
YTD Return+11.22%+12.65%
1Y Return+18.34%+21.39%
3Y Return (annualized)+16.96%+21.54%
5Y Return (annualized)+9.96%+12.11%
Volatility (annualized)15.5%15.3%
Max Drawdown-33.7%-56.6%
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryEquityEquity
InceptionAug 8, 2017May 24, 2001

EDOW vs VTI Performance

First Trust Dow 30 Equal Weight ETF (EDOW) is a ETF from First Trust Portfolios (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year EDOW returned +18.34% while VTI returned +21.39%. Year to date, EDOW is up 11.22% versus a gain of 12.65% for VTI.

Over three years, EDOW compounded at +16.96% per year against +21.54% for VTI; over five years the annualized figures are +9.96% and +12.11% respectively. Across the full 9-year window we track, EDOW has the edge at +10.81% annualized vs +8.07%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

EDOW has been the more volatile fund, with annualized monthly volatility of 15.5% compared with 15.3% 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 -33.7% for EDOW 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

EDOW charges 0.50% per year while VTI charges 0.03%. On a $10,000 position that is $50 vs $3 annually, a gap of $47 per year that compounds over a long holding period. On income, EDOW currently yields 1.24% against 1.07% for VTI.

Holdings Overlap

26.5%overlap

EDOW and VTI share 30 holdings out of 2787 unique holdings combined, representing a 26.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in EDOWWeight in VTIDifference
NVDA3.36%6.32%2.96%
AAPL3.28%5.84%2.56%
MSFT3.77%3.81%0.04%
AMZNProProPro
GOOGLProProPro
JPMProProPro
VProProPro
JNJProProPro
TRVProProPro
AMGNProProPro
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Frequently Asked Questions

Which is cheaper, EDOW or VTI?

EDOW has an expense ratio of 0.50% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $47 per year of difference.

Which performed better, EDOW or VTI?

Over the past year EDOW returned +18.34% vs +21.39% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (9 years), EDOW annualized +10.81% vs +8.07% for VTI. Past performance does not guarantee future results.

Which is riskier, EDOW or VTI?

EDOW has been the more volatile fund at 15.5% annualized versus 15.3% for VTI. Worst drawdown: EDOW -33.7% vs VTI -56.6%.

Should I hold both EDOW and VTI?

EDOW and VTI have a monthly-return correlation of 0.92, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between EDOW and VTI?

EDOW and VTI share 30 common holdings with a 26.5% weight overlap. Combined, they hold 2787 unique securities.

Which pays a higher dividend, EDOW or VTI?

EDOW yields 1.24% while VTI yields 1.07%, so EDOW currently pays the higher dividend yield.

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