FDM vs VTI
First Trust Dow Jones Select MicroCap Index Fund vs Vanguard Morningstar Total Stock Market ETF
Which is better, FDM or VTI?
Small Cap Value against Large Cap Blend.
VTI has a lower expense ratio. FDM led over 1Y, VTI over 3Y, 5Y and the full window.
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
| Metric | FDM | VTI |
|---|---|---|
| Expense Ratio | 0.60% | 0.03%Best |
| AUM | $268M | $666.9B |
| Dividend Yield | 1.36% | 1.07% |
| Holdings | 294 | 3,543 |
| YTD Return | +18.06%Best | +12.95% |
| 1Y Return | +23.62%Best | +19.17% |
| 3Y Return (annualized) | +20.28% | +20.86%Best |
| 5Y Return (annualized) | +11.03% | +11.72%Best |
| Volatility (annualized) | 21.1% | 15.5%Best |
| Max Drawdown | -64.0% | -56.6%Best |
| $10,000 over 5 years | $16,873 | $17,404Best |
| Fund Family | First Trust Portfolios (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Value | Large Cap Blend |
| Inception | Sep 27, 2005 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 30, 2005 to Sep 8, 2026 (20.9 years).
FDM 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 20.9 years both funds cover.
FDM vs VTI Performance
First Trust Dow Jones Select MicroCap Index Fund (FDM) is an ETF from First Trust Portfolios (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year FDM returned +23.62% while VTI returned +19.17%. Year to date, FDM is up 18.06% versus a gain of 12.95% for VTI.
Over three years, FDM compounded at +20.28% per year against +20.86% for VTI; over five years the annualized figures are +11.03% and +11.72% respectively. Across the full 21-year window we track, VTI has the edge at +9.52% annualized vs +7.99%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FDM has been the more volatile fund, with annualized monthly volatility of 21.1% compared with 15.5% 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 -64.0% for FDM and -56.6% 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 0.84. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FDM charges 0.60% per year while VTI charges 0.03%. On a $10,000 position that is $60 vs $3 annually, a gap of $57 per year that compounds over a long holding period. On income, FDM currently yields 1.36% against 1.07% for VTI.
Holdings Overlap
At least 70.0% of FDM's money is in holdings VTI also owns.
Stated as a floor: for VTI, our book for it covers 92.3% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
Most of FDM is already inside VTI. Owning both mostly buys the same companies twice.
108 positions in common, counted across the 146 positions we hold weights for in FDM and 2,788 in VTI, against full books of 294 and 3,543.
Top Shared Holdings
| Stock | Weight in FDM | Weight in VTI | Difference |
|---|---|---|---|
| STOKStoke Therapeutics Inc Com | 2.24% | 0.00% | 2.24% |
| DLXDeluxe Corp | 1.52% | 0.00% | 1.52% |
| UFCSUnited Fire Group | 1.50% | 0.00% | 1.50% |
| NWPXNwpx Infrastructure Inc | 1.50% | 0.00% | 1.50% |
| TTITetra Technologies Inc | 1.43% | 0.00% | 1.43% |
| UVEUniversal Insurance Holdings Inc | 1.39% | 0.00% | 1.39% |
| PLOWDouglas Dynamics Inc Common Stock | 1.32% | 0.00% | 1.32% |
| CPFCentral Pacific Financial Corp | 1.29% | 0.00% | 1.29% |
| ODCOil-dri Corp Of America | 1.25% | 0.00% | 1.25% |
| APEIAmerican Public Education Inc | 1.23% | 0.00% | 1.23% |
70.0% of FDM 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.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FDM or VTI?
FDM has an expense ratio of 0.60% while VTI charges 0.03%. VTI is the cheaper option, by $57 a year on a $10,000 investment.
Which performed better, FDM or VTI?
Over the past year FDM returned +23.62% vs +19.17% for VTI, so FDM leads on 1-year performance. Over the longest common window we track (21 years), FDM annualized +7.99% vs +9.52% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FDM or VTI?
FDM has been the more volatile fund at 21.1% annualized versus 15.5% for VTI. Worst drawdown: FDM -64.0% vs VTI -56.6%.
Should I hold both FDM and VTI?
FDM and VTI have a monthly-return correlation of 0.84, 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 FDM and VTI?
At least 70.0% of FDM's money is in holdings VTI also owns. Our book for VTI is partial, so the real figure is this or higher. They hold 108 positions in common, counted across the 146 positions we hold weights for in FDM and 2,788 in VTI.
Which pays a higher dividend, FDM or VTI?
FDM yields 1.36% while VTI yields 1.07%, so FDM currently pays the higher dividend yield.
Is VTI better than FDM?
VTI has a lower expense ratio. FDM led over 1Y, VTI over 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.