FFA vs VTI
First Trust Enhanced Equity Income Fund vs Vanguard Morningstar Total Stock Market ETF
Which is better, FFA or VTI?
Multi Alternative against Large Cap Blend.
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. VTI is less concentrated, with 33.3% of the fund in its ten largest positions against 47.7%.
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 | FFA | VTI |
|---|---|---|
| Expense Ratio | 1.13% | 0.03%Best |
| AUM | $509M | $666.9B |
| Dividend Yield | 6.06% | 1.03% |
| Holdings | 86 | 3,543 |
| YTD Return | +5.32% | +13.60%Best |
| 1Y Return | +11.09% | +18.17%Best |
| 3Y Return (annualized) | +16.83% | +23.04%Best |
| 5Y Return (annualized) | +8.96% | +12.14%Best |
| Volatility (annualized) | 16.6% | 15.3%Best |
| Max Drawdown | -67.6% | -56.6%Best |
| $10,000 over 5 years | $15,358 | $17,734Best |
| Top 10 Weight | 47.7% | 33.3%Best |
| Fund Family | First Trust Portfolios (US) | Vanguard (US) |
| Category | Alternative | Equity |
| Style | Multi Alternative | Large Cap Blend |
| Inception | Aug 26, 2004 | May 24, 2001 |
Volatility and max drawdown are measured over the window both funds cover: Oct 4, 2004 to Sep 25, 2026 (22 years).
FFA 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 22 years both funds cover.
FFA vs VTI Performance
First Trust Enhanced Equity Income Fund (FFA) 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 FFA returned +11.09% while VTI returned +18.17%. Year to date, FFA is up 5.32% versus a gain of 13.60% for VTI.
Over three years, FFA compounded at +16.83% per year against +23.04% for VTI; over five years the annualized figures are +8.96% and +12.14% respectively. Across the full 22-year window we track, VTI has the edge at +9.58% annualized vs +2.27%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FFA has been the more volatile fund, with annualized monthly volatility of 16.6% 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 -67.6% for FFA 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 0.88. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FFA charges 1.13% per year while VTI charges 0.03%. On a $10,000 position that is $113 vs $3 annually, a gap of $110 per year that compounds over a long holding period. On income, FFA currently yields 6.06% against 1.03% for VTI.
Holdings Overlap
96.1% of FFA's money is in holdings VTI also owns. 42.6% of VTI's money is in holdings FFA also owns.
Most of FFA is already inside VTI. Owning both mostly buys the same companies twice.
59 positions in common, counted across the 62 positions we hold weights for in FFA and 3,463 in VTI, against full books of 86 and 3,543.
What only one of them owns
Our book lists 1,091 positions for VTI that do not appear in our book for FFA (54.8% of the fund), and 1 for FFA that do not appear in VTI (0.8%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in FFA | Weight in VTI | Difference |
|---|---|---|---|
| AAPLApple, Inc | 9.34% | 6.29% | 3.05% |
| NVDANvidia Corp | 7.31% | 6.40% | 0.91% |
| MSFTMicrosoft Corp | 6.67% | 4.79% | 1.88% |
| GOOGAlphabet Inc | 7.17% | 2.31% | 4.86% |
| AVGOBroadcom Inc | 3.95% | 2.56% | 1.39% |
| AMZNAmazon.Com Inc | 2.66% | 3.65% | 0.99% |
| JPMJpmorgan Chase | 4.05% | 1.31% | 2.74% |
| LLYEli Lilly & Co. | 2.19% | 1.35% | 0.84% |
| CATCaterpillar, Inc. | 2.25% | 0.52% | 1.73% |
| CSCOCisco Systems Inc. - Ordinary Shares | 2.15% | 0.57% | 1.58% |
96.1% of FFA 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, FFA or VTI?
FFA has an expense ratio of 1.13% while VTI charges 0.03%. VTI is the cheaper option, by $110 a year on a $10,000 investment.
Which performed better, FFA or VTI?
Over the past year FFA returned +11.09% vs +18.17% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (22 years), FFA annualized +2.27% vs +9.58% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FFA or VTI?
FFA has been the more volatile fund at 16.6% annualized versus 15.3% for VTI. Worst drawdown: FFA -67.6% vs VTI -56.6%.
Should I hold both FFA and VTI?
FFA and VTI have a monthly-return correlation of 0.88, 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 FFA and VTI?
96.1% of FFA's money is in holdings VTI also owns. 42.6% of VTI's is in holdings FFA also owns. They hold 59 positions in common, counted across the 62 positions we hold weights for in FFA and 3,463 in VTI.
Which pays a higher dividend, FFA or VTI?
FFA yields 6.06% while VTI yields 1.03%, so FFA currently pays the higher dividend yield.
Is VTI better than FFA?
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. VTI is less concentrated, with 33.3% of the fund in its ten largest positions against 47.7%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.