FPEI vs VTI
First Trust Institutional Preferred Securities and Income ETF vs Vanguard Morningstar Total Stock Market ETF
Quick Verdict
VTI has a lower expense ratio. VTI delivered stronger 1-year returns. VTI offers more diversification with 3,543 holdings.
Side-by-Side Comparison
| Metric | FPEI | VTI | Winner |
|---|---|---|---|
| Expense Ratio | 0.85% | 0.03% | |
| AUM | $1.9B | $666.9B | |
| Dividend Yield | 5.82% | 1.07% | |
| Holdings | 176 | 3,543 | |
| YTD Return | +1.26% | +13.14% | |
| 1Y Return | +4.85% | +22.35% | |
| 3Y Return (annualized) | +9.61% | +21.83% | |
| 5Y Return (annualized) | +3.73% | +12.01% | |
| Volatility (annualized) | 8.1% | 15.3% | |
| Max Drawdown | -27.8% | -56.6% | |
| Fund Family | First Trust Portfolios (US) | Vanguard (US) | |
| Category | Allocation/Balanced | Equity | |
| Inception | Aug 22, 2017 | May 24, 2001 |
FPEI vs VTI Performance
First Trust Institutional Preferred Securities and Income ETF (FPEI) 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 FPEI returned +4.85% while VTI returned +22.35%. Year to date, FPEI is up 1.26% versus a gain of 13.14% for VTI.
Over three years, FPEI compounded at +9.61% per year against +21.83% for VTI; over five years the annualized figures are +3.73% and +12.01% respectively. Across the full 9-year window we track, VTI has the edge at +8.09% annualized vs +2.75%. 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 8.1% for FPEI. 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 -27.8% for FPEI 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 0.71. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FPEI charges 0.85% per year while VTI charges 0.03%. On a $10,000 position that is $85 vs $3 annually, a gap of $82 per year that compounds over a long holding period. On income, FPEI currently yields 5.82% against 1.07% for VTI.
Holdings Overlap
FPEI and VTI share 1 holdings out of 2906 unique holdings combined, representing a 0.3% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in FPEI | Weight in VTI | Difference |
|---|---|---|---|
| C | 0.46% | 0.32% | 0.14% |
Frequently Asked Questions
Which is cheaper, FPEI or VTI?
FPEI has an expense ratio of 0.85% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $82 per year of difference.
Which performed better, FPEI or VTI?
Over the past year FPEI returned +4.85% vs +22.35% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (9 years), FPEI annualized +2.75% vs +8.09% for VTI. Past performance does not guarantee future results.
Which is riskier, FPEI or VTI?
VTI has been the more volatile fund at 15.3% annualized versus 8.1% for FPEI. Worst drawdown: FPEI -27.8% vs VTI -56.6%.
Should I hold both FPEI and VTI?
FPEI and VTI have a monthly-return correlation of 0.71, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between FPEI and VTI?
FPEI and VTI share 1 common holdings with a 0.3% weight overlap. Combined, they hold 2906 unique securities.
Which pays a higher dividend, FPEI or VTI?
FPEI yields 5.82% while VTI yields 1.07%, so FPEI currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.