FEDM vs VTI
Northern Trust ESG & Climate Developed Markets ex-US Core ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, FEDM or VTI?
Each has led over a different period.
VTI has a lower expense ratio. FEDM 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 | FEDM | VTI |
|---|---|---|
| Expense Ratio | 0.12% | 0.03%Best |
| AUM | $85M | $666.9B |
| Dividend Yield | 2.87% | 1.07% |
| Holdings | 265 | 3,543 |
| YTD Return | +13.52% | +13.59%Best |
| 1Y Return | +22.45%Best | +20.00% |
| 3Y Return (annualized) | +17.50% | +20.95%Best |
| 5Y Return (annualized) | +8.79% | +11.81%Best |
| Volatility (annualized) | 15.6%Best | 15.9% |
| Max Drawdown | -29.4% | -25.4%Best |
| $10,000 over 5 years | $15,239 | $17,474Best |
| Fund Family | Northern Trust Asset Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Sep 20, 2021 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 21, 2021 to Sep 4, 2026 (5 years).
FEDM 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 5 years both funds cover.
FEDM vs VTI Performance
Northern Trust ESG & Climate Developed Markets ex-US Core ETF (FEDM) is an ETF from Northern Trust Asset Management and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year FEDM returned +22.45% while VTI returned +20.00%. Year to date, FEDM is up 13.52% versus a gain of 13.59% for VTI.
Over three years, FEDM compounded at +17.50% per year against +20.95% for VTI; over five years the annualized figures are +8.79% and +11.81% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 15.9% compared with 15.6% for FEDM. 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 -29.4% for FEDM and -25.4% 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 0.79. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FEDM charges 0.12% per year while VTI charges 0.03%. On a $10,000 position that is $12 vs $3 annually, a gap of $9 per year that compounds over a long holding period. On income, FEDM currently yields 2.87% against 1.07% for VTI.
Holdings Overlap
At least 0.2% of FEDM'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.
We cannot see either book well enough to say how much of this pair is duplicated.
2 positions in common, counted across the 218 positions we hold weights for in FEDM and 2,787 in VTI, against full books of 265 and 3,543.
You are not choosing between two funds in isolation.
Whichever of FEDM and VTI you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FEDM or VTI?
FEDM has an expense ratio of 0.12% while VTI charges 0.03%. VTI is the cheaper option, by $9 a year on a $10,000 investment.
Which performed better, FEDM or VTI?
Over the past year FEDM returned +22.45% vs +20.00% for VTI, so FEDM leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FEDM or VTI?
VTI has been the more volatile fund at 15.9% annualized versus 15.6% for FEDM. Worst drawdown: FEDM -29.4% vs VTI -25.4%.
Should I hold both FEDM and VTI?
FEDM and VTI have a monthly-return correlation of 0.79, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, FEDM or VTI?
FEDM yields 2.87% while VTI yields 1.07%, so FEDM currently pays the higher dividend yield.
Is VTI better than FEDM?
VTI has a lower expense ratio. FEDM 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.