FREL vs VTI

FREL vs VTI

Which is better, FREL or VTI?

All Cap Blend 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 48.5%.

Lower Fees: VTIHigher Returns: VTILess Concentrated: VTI

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

MetricFRELVTI
Expense Ratio0.08%0.03%Best
AUM$1.5B$666.9B
Dividend Yield3.27%1.03%
Holdings1263,543
YTD Return+8.12%+11.53%Best
1Y Return+4.99%+15.74%Best
3Y Return (annualized)+9.25%+20.67%Best
5Y Return (annualized)+1.18%+11.59%Best
Volatility (annualized)17.1%15.4%Best
Max Drawdown-43.5%-35.0%Best
$10,000 over 5 years$10,604$17,303Best
Top 10 Weight48.5%33.3%Best
Fund FamilyFidelity Investments (US)Vanguard (US)
CategoryEquityEquity
StyleAll Cap BlendLarge Cap Blend
InceptionFeb 2, 2015May 24, 2001

Volatility and max drawdown are measured over the window both funds cover: Feb 5, 2015 to Sep 15, 2026 (11.6 years).

FREL 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 11.6 years both funds cover.

FREL vs VTI Performance

Fidelity MSCI Real Estate Index ETF (FREL) is an ETF from Fidelity Investments (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year FREL returned +4.99% while VTI returned +15.74%. Year to date, FREL is up 8.12% versus a gain of 11.53% for VTI.

Over three years, FREL compounded at +9.25% per year against +20.67% for VTI; over five years the annualized figures are +1.18% and +11.59% respectively. Across the full 12-year window we track, VTI has the edge at +12.12% annualized vs +2.91%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FREL has been the more volatile fund, with annualized monthly volatility of 17.1% compared with 15.4% 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 -43.5% for FREL 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 0.79. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FREL charges 0.08% per year while VTI charges 0.03%. On a $10,000 position that is $8 vs $3 annually, a gap of $5 per year that compounds over a long holding period. On income, FREL currently yields 3.27% against 1.03% for VTI.

Holdings Overlap

FREL already in VTI99.7%
VTI already in FREL2.2%

99.7% of FREL's money is in holdings VTI also owns. 2.2% of VTI's money is in holdings FREL also owns.

Most of FREL is already inside VTI. Owning both mostly buys the same companies twice.

122 positions in common, counted across the 123 positions we hold weights for in FREL and 3,463 in VTI, against full books of 126 and 3,543.

What only one of them owns

Measured across the 123 and 3,463 positions we hold weights for.

VTI holds 1,078 positions FREL does not, 95.3% of the fund.

Largest: NVDA 6.40%, AAPL 6.29%, MSFT 4.79%, AMZN 3.65%, GOOGL 2.90%

Top Shared Holdings

StockWeight in FRELWeight in VTIDifference
WELLWelltower, Inc.9.43%0.23%9.20%
PLDPrologis Inc7.81%0.19%7.62%
EQIXEquinix Inc. Real Estate Investment Trust5.54%0.14%5.40%
AMTAmerican Tower Corporation4.56%0.11%4.45%
SPGSimon Property Group Inc4.38%0.10%4.28%
DLRDigital Realty Trust Inc.4.00%0.09%3.91%
ORealty Income Corp.3.59%0.08%3.51%
PSAPublic Storage3.34%0.08%3.26%
EQRVivmark Residential3.06%0.03%3.03%
CBRECbre Services Inc2.80%0.06%2.74%

99.7% of FREL 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.

FRELVTI

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, FREL or VTI?

FREL has an expense ratio of 0.08% while VTI charges 0.03%. VTI is the cheaper option, by $5 a year on a $10,000 investment.

Which performed better, FREL or VTI?

Over the past year FREL returned +4.99% vs +15.74% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (12 years), FREL annualized +2.91% vs +12.12% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FREL or VTI?

FREL has been the more volatile fund at 17.1% annualized versus 15.4% for VTI. Worst drawdown: FREL -43.5% vs VTI -35.0%.

Should I hold both FREL and VTI?

FREL 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.

What is the holdings overlap between FREL and VTI?

99.7% of FREL's money is in holdings VTI also owns. 2.2% of VTI's is in holdings FREL also owns. They hold 122 positions in common, counted across the 123 positions we hold weights for in FREL and 3,463 in VTI.

Which pays a higher dividend, FREL or VTI?

FREL yields 3.27% while VTI yields 1.03%, so FREL currently pays the higher dividend yield.

Is VTI better than FREL?

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 48.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.