ISHG vs VTI
iShares 1-3 Year International Treasury Bond 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 | ISHG | VTI | Winner |
|---|---|---|---|
| Expense Ratio | 0.35% | 0.03% | |
| AUM | $825M | $666.9B | |
| Dividend Yield | 1.45% | 1.07% | |
| Holdings | 192 | 3,543 | |
| YTD Return | +0.72% | +14.82% | |
| 1Y Return | +1.58% | +22.43% | |
| 3Y Return (annualized) | +5.27% | +21.93% | |
| 5Y Return (annualized) | +0.14% | +12.34% | |
| Volatility (annualized) | 7.6% | 15.4% | |
| Max Drawdown | -37.6% | -56.6% | |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) | |
| Category | Fixed Income | Equity | |
| Inception | Jan 21, 2009 | May 24, 2001 |
ISHG vs VTI Performance
iShares 1-3 Year International Treasury Bond ETF (ISHG) is a ETF from iShares by BlackRock (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year ISHG returned +1.58% while VTI returned +22.43%. Year to date, ISHG is up 0.72% versus a gain of 14.82% for VTI.
Over three years, ISHG compounded at +5.27% per year against +21.93% for VTI; over five years the annualized figures are +0.14% and +12.34% respectively. Across the full 18-year window we track, VTI has the edge at +8.16% annualized vs -0.45%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 15.4% compared with 7.6% for ISHG. 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 -37.6% for ISHG 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 0.45. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
ISHG charges 0.35% per year while VTI charges 0.03%. On a $10,000 position that is $35 vs $3 annually, a gap of $32 per year that compounds over a long holding period. On income, ISHG currently yields 1.45% against 1.07% for VTI.
Holdings Overlap
ISHG and VTI share 0 holdings out of 2796 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, ISHG or VTI?
ISHG has an expense ratio of 0.35% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $32 per year of difference.
Which performed better, ISHG or VTI?
Over the past year ISHG returned +1.58% vs +22.43% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (18 years), ISHG annualized -0.45% vs +8.16% for VTI. Past performance does not guarantee future results.
Which is riskier, ISHG or VTI?
VTI has been the more volatile fund at 15.4% annualized versus 7.6% for ISHG. Worst drawdown: ISHG -37.6% vs VTI -56.6%.
Should I hold both ISHG and VTI?
ISHG and VTI have a monthly-return correlation of 0.45, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between ISHG and VTI?
ISHG and VTI share 0 common holdings with a 0.0% weight overlap. Combined, they hold 2796 unique securities.
Which pays a higher dividend, ISHG or VTI?
ISHG yields 1.45% while VTI yields 1.07%, so ISHG 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.