HEQT vs VTI
Simplify Hedged Equity 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 | HEQT | VTI | Winner |
|---|---|---|---|
| Expense Ratio | 0.43% | 0.03% | |
| AUM | $305M | $666.9B | |
| Dividend Yield | 1.19% | 1.07% | |
| Holdings | 11 | 3,543 | |
| YTD Return | +7.70% | +13.14% | |
| 1Y Return | +13.73% | +22.35% | |
| 3Y Return (annualized) | +14.03% | +21.83% | |
| 5Y Return (annualized) | - | +12.01% | |
| Volatility (annualized) | 7.9% | 15.3% | |
| Max Drawdown | -11.5% | -56.6% | |
| Fund Family | Simplify Exchange Traded Funds | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Nov 1, 2021 | May 24, 2001 |
HEQT vs VTI Performance
Simplify Hedged Equity ETF (HEQT) is a ETF from Simplify Exchange Traded Funds and Vanguard Morningstar Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year HEQT returned +13.73% while VTI returned +22.35%. Year to date, HEQT is up 7.70% versus a gain of 13.14% for VTI.
Over three years, HEQT compounded at +14.03% per year against +21.83% for VTI. Across the full 5-year window we track, HEQT has the edge at +9.30% annualized vs +8.09%. 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 7.9% for HEQT. 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 -11.5% for HEQT 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
HEQT charges 0.43% per year while VTI charges 0.03%. On a $10,000 position that is $43 vs $3 annually, a gap of $40 per year that compounds over a long holding period. On income, HEQT currently yields 1.19% against 1.07% for VTI.
Holdings Overlap
HEQT and VTI share 0 holdings out of 2788 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, HEQT or VTI?
HEQT has an expense ratio of 0.43% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $40 per year of difference.
Which performed better, HEQT or VTI?
Over the past year HEQT returned +13.73% vs +22.35% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (5 years), HEQT annualized +9.30% vs +8.09% for VTI. Past performance does not guarantee future results.
Which is riskier, HEQT or VTI?
VTI has been the more volatile fund at 15.3% annualized versus 7.9% for HEQT. Worst drawdown: HEQT -11.5% vs VTI -56.6%.
Should I hold both HEQT and VTI?
HEQT and VTI have a monthly-return correlation of 0.95, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.
What is the holdings overlap between HEQT and VTI?
HEQT and VTI share 0 common holdings with a 0.0% weight overlap. Combined, they hold 2788 unique securities.
Which pays a higher dividend, HEQT or VTI?
HEQT yields 1.19% while VTI yields 1.07%, so HEQT currently pays the higher dividend yield.
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