FPEI vs VTI
First Trust Institutional Preferred Securities and Income ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, FPEI or VTI?
Preferred Stock against Large Cap Blend.
VTI has a lower expense ratio. VTI led over 1Y, 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 | FPEI | VTI |
|---|---|---|
| Expense Ratio | 0.85% | 0.03%Best |
| AUM | $1.9B | $666.9B |
| Dividend Yield | 5.82% | 1.03% |
| Holdings | 176 | 3,543 |
| YTD Return | +0.50% | +11.65%Best |
| 1Y Return | +2.87% | +17.34%Best |
| 3Y Return (annualized) | +9.21% | +20.35%Best |
| 5Y Return (annualized) | +3.50% | +11.72%Best |
| Volatility (annualized) | 8.1%Best | 16.5% |
| Max Drawdown | -27.8%Best | -35.0% |
| $10,000 over 5 years | $11,877 | $17,404Best |
| Fund Family | First Trust Portfolios (US) | Vanguard (US) |
| Category | Allocation/Balanced | Equity |
| Style | Preferred Stock | Large Cap Blend |
| Inception | Aug 22, 2017 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Aug 23, 2017 to Sep 10, 2026 (9 years).
FPEI 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 9 years both funds cover.
FPEI vs VTI Performance
First Trust Institutional Preferred Securities and Income ETF (FPEI) 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 FPEI returned +2.87% while VTI returned +17.34%. Year to date, FPEI is up 0.50% versus a gain of 11.65% for VTI.
Over three years, FPEI compounded at +9.21% per year against +20.35% for VTI; over five years the annualized figures are +3.50% and +11.72% respectively. Across the full 9-year window we track, VTI has the edge at +13.78% annualized vs +2.64%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 16.5% 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 -35.0% 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 0.71. 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 1.03% for VTI.
Holdings Overlap
We hold position weights for 115 holdings in FPEI and 2,787 in VTI, totalling 65.8% and 90.6% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 1 positions appear in both.
The two holdings books were reported 63 days apart, FPEI as of Sep 1, 2026 and VTI as of Jun 30, 2026, so some of the difference between them is the time between the two reports rather than the funds.
1 positions in common, counted across the 115 positions we hold weights for in FPEI and 2,787 in VTI, against full books of 176 and 3,543.
Top Shared Holdings
| Stock | Weight in FPEI | Weight in VTI | Difference |
|---|---|---|---|
| CCitigroup Inc 6.875 11/73 6.88 2173-11-15 | 0.46% | 0.32% | 0.14% |
You are not choosing between two funds in isolation.
Whichever of FPEI 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, FPEI or VTI?
FPEI has an expense ratio of 0.85% while VTI charges 0.03%. VTI is the cheaper option, by $82 a year on a $10,000 investment.
Which performed better, FPEI or VTI?
Over the past year FPEI returned +2.87% vs +17.34% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (9 years), FPEI annualized +2.64% vs +13.78% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FPEI or VTI?
VTI has been the more volatile fund at 16.5% annualized versus 8.1% for FPEI. Worst drawdown: FPEI -27.8% vs VTI -35.0%.
Should I hold both FPEI and VTI?
FPEI and VTI have a monthly-return correlation of 0.71, 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, FPEI or VTI?
FPEI yields 5.82% while VTI yields 1.03%, so FPEI currently pays the higher dividend yield.
Is VTI better than FPEI?
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.