INCM vs VTI
Franklin Income Focus ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, INCM or VTI?
Allocation/Balanced against Large Cap Blend.
VTI has a lower expense ratio. VTI led over 1Y, 3Y 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 | INCM | VTI |
|---|---|---|
| Expense Ratio | 0.38% | 0.03%Best |
| AUM | $1.8B | $666.9B |
| Dividend Yield | 5.18% | 1.03% |
| Holdings | 381 | 3,543 |
| YTD Return | +7.63% | +12.57%Best |
| 1Y Return | +10.98% | +17.22%Best |
| 3Y Return (annualized) | +11.39% | +20.87%Best |
| 5Y Return (annualized) | - | +11.86% |
| Volatility (annualized) | 7.2%Best | 13.1% |
| Max Drawdown | -7.8%Best | -19.3% |
| $10,000 over 3.3 years | $13,907 | $18,524Best |
| Fund Family | Franklin Templeton Investments (US) | Vanguard (US) |
| Category | Allocation/Balanced | Equity |
| Style | Allocation/Balanced | Large Cap Blend |
| Inception | Jun 6, 2023 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 3.3 years row, are measured over the window both funds cover: Jun 8, 2023 to Sep 11, 2026 (3.3 years).
INCM 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 3.3 years both funds cover.
INCM vs VTI Performance
Franklin Income Focus ETF (INCM) is an ETF from Franklin Templeton Investments (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year INCM returned +10.98% while VTI returned +17.22%. Year to date, INCM is up 7.63% versus a gain of 12.57% for VTI.
Over three years, INCM compounded at +11.39% per year against +20.87% for VTI.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 13.1% compared with 7.2% for INCM. 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 -7.8% for INCM and -19.3% 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 0.73. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
INCM charges 0.38% per year while VTI charges 0.03%. On a $10,000 position that is $38 vs $3 annually, a gap of $35 per year that compounds over a long holding period. On income, INCM currently yields 5.18% against 1.03% for VTI.
Holdings Overlap
We hold position weights for 62 holdings in INCM and 2,787 in VTI, totalling 37.4% 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, 48 positions appear in both.
48 positions in common, counted across the 62 positions we hold weights for in INCM and 2,787 in VTI, against full books of 381 and 3,543.
Top Shared Holdings
| Stock | Weight in INCM | Weight in VTI | Difference |
|---|---|---|---|
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 0.20% | 3.81% | 3.61% |
| AMZNAmazon.Com Inc | 0.20% | 3.17% | 2.97% |
| GOOGAlphabet Inc | 0.53% | 2.27% | 1.74% |
| PGProcter & Gamble Company | 1.89% | 0.47% | 1.42% |
| XOMExxon Mobil Corp. | 1.41% | 0.78% | 0.63% |
| VZVerizon Communications, Inc. | 1.61% | 0.22% | 1.39% |
| CVXChevron Corp. | 1.27% | 0.43% | 0.84% |
| PEPPepsico Inc. | 1.20% | 0.25% | 0.95% |
| KOCoca Cola Co. | 0.95% | 0.38% | 0.57% |
| HDHome Depot Inc/The | 0.85% | 0.48% | 0.37% |
You are not choosing between two funds in isolation.
Whichever of INCM 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, INCM or VTI?
INCM has an expense ratio of 0.38% while VTI charges 0.03%. VTI is the cheaper option, by $35 a year on a $10,000 investment.
Which performed better, INCM or VTI?
Over the past year INCM returned +10.98% vs +17.22% for VTI, so VTI leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, INCM or VTI?
VTI has been the more volatile fund at 13.1% annualized versus 7.2% for INCM. Worst drawdown: INCM -7.8% vs VTI -19.3%.
Should I hold both INCM and VTI?
INCM and VTI have a monthly-return correlation of 0.73, 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, INCM or VTI?
INCM yields 5.18% while VTI yields 1.03%, so INCM currently pays the higher dividend yield.
Is VTI better than INCM?
VTI has a lower expense ratio. VTI led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.