EFAV 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

MetricEFAVVTIWinner
Expense Ratio0.20%0.03%
AUM$5.3B$663.5B
Dividend Yield3.26%1.07%
Holdings2783,543
YTD Return+7.88%+13.87%
1Y Return+12.77%+23.31%
3Y Return (annualized)+14.47%+21.17%
5Y Return (annualized)+6.32%+12.23%
Volatility (annualized)11.2%15.3%
Max Drawdown-38.3%-56.6%
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryEquityEquity
InceptionOct 18, 2011May 24, 2001

EFAV vs VTI Performance

iShares MSCI EAFE Min Vol Factor ETF (EFAV) is a ETF from iShares by BlackRock (US) and Vanguard Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year EFAV returned +12.77% while VTI returned +23.31%. Year to date, EFAV is up 7.88% versus a gain of 13.87% for VTI.

Over three years, EFAV compounded at +14.47% per year against +21.17% for VTI; over five years the annualized figures are +6.32% and +12.23% respectively. Across the full 15-year window we track, VTI has the edge at +8.13% annualized vs +7.11%. 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 11.2% for EFAV. 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 -38.3% for EFAV 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 0.67. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

EFAV charges 0.20% per year while VTI charges 0.03%. On a $10,000 position that is $20 vs $3 annually, a gap of $17 per year that compounds over a long holding period. On income, EFAV currently yields 3.26% against 1.07% for VTI.

Holdings Overlap

0.2%overlap

EFAV and VTI share 3 holdings out of 3030 unique holdings combined, representing a 0.2% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in EFAVWeight in VTIDifference
ORA1.04%0.00%1.04%
MRK0.14%0.44%0.30%
ROP0.28%0.05%0.23%

Frequently Asked Questions

Which is cheaper, EFAV or VTI?

EFAV has an expense ratio of 0.20% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $17 per year of difference.

Which performed better, EFAV or VTI?

Over the past year EFAV returned +12.77% vs +23.31% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (15 years), EFAV annualized +7.11% vs +8.13% for VTI. Past performance does not guarantee future results.

Which is riskier, EFAV or VTI?

VTI has been the more volatile fund at 15.3% annualized versus 11.2% for EFAV. Worst drawdown: EFAV -38.3% vs VTI -56.6%.

Should I hold both EFAV and VTI?

EFAV and VTI have a monthly-return correlation of 0.67, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between EFAV and VTI?

EFAV and VTI share 3 common holdings with a 0.2% weight overlap. Combined, they hold 3030 unique securities.

Which pays a higher dividend, EFAV or VTI?

EFAV yields 3.26% while VTI yields 1.07%, so EFAV currently pays the higher dividend yield.

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