KBE vs VTI
State Street SPDR S&P Bank ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, KBE or VTI?
Each has led over a different period.
VTI has a lower expense ratio. KBE led over 3Y, VTI over 1Y, 5Y and the full window. KBE is less concentrated, with 11.3% of the fund in its ten largest positions against 33.3%.
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 | KBE | VTI |
|---|---|---|
| Expense Ratio | 0.35% | 0.03%Best |
| AUM | $1.6B | $666.9B |
| Dividend Yield | 2.16% | 1.03% |
| Holdings | 105 | 3,543 |
| YTD Return | +7.84% | +14.05%Best |
| 1Y Return | +10.06% | +16.93%Best |
| 3Y Return (annualized) | +23.55%Best | +22.65% |
| 5Y Return (annualized) | +8.28% | +12.46%Best |
| Volatility (annualized) | 26.7% | 15.5%Best |
| Max Drawdown | -84.6% | -56.6%Best |
| $10,000 over 5 years | $14,885 | $17,988Best |
| Top 10 Weight | 11.3%Best | 33.3% |
| Fund Family | State Street Investment Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Nov 8, 2005 | May 24, 2001 |
Volatility and max drawdown are measured over the window both funds cover: Nov 15, 2005 to Sep 22, 2026 (20.9 years).
KBE 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 20.9 years both funds cover.
KBE vs VTI Performance
State Street SPDR S&P Bank ETF (KBE) is an ETF from State Street Investment Management and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year KBE returned +10.06% while VTI returned +16.93%. Year to date, KBE is up 7.84% versus a gain of 14.05% for VTI.
Over three years, KBE compounded at +23.55% per year against +22.65% for VTI; over five years the annualized figures are +8.28% and +12.46% respectively. Across the full 21-year window we track, VTI has the edge at +9.61% annualized vs +1.87%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
KBE has been the more volatile fund, with annualized monthly volatility of 26.7% compared with 15.5% 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 -84.6% for KBE and -56.6% 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
KBE 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, KBE currently yields 2.16% against 1.03% for VTI.
Holdings Overlap
98.7% of KBE's money is in holdings VTI also owns. 3.4% of VTI's money is in holdings KBE also owns.
Most of KBE is already inside VTI. Owning both mostly buys the same companies twice.
101 positions in common, counted across the 103 positions we hold weights for in KBE and 3,463 in VTI, against full books of 105 and 3,543.
What only one of them owns
Our book lists 1,088 positions for VTI that do not appear in our book for KBE (94.0% of the fund), and 2 for KBE that do not appear in VTI (1.2%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in KBE | Weight in VTI | Difference |
|---|---|---|---|
| JPMJpmorgan Chase | 1.09% | 1.31% | 0.22% |
| WFCWells Fargo & Co. | 1.00% | 0.37% | 0.63% |
| BKBank Of New York Mellon Corp | 1.10% | 0.15% | 0.95% |
| CCitigroup Inc. | 0.94% | 0.30% | 0.64% |
| JXNJackson Financial Inc USD | 1.19% | 0.01% | 1.18% |
| USBUS Bancorp | 1.03% | 0.14% | 0.89% |
| EQHEquitable Holdings Inc. | 1.14% | 0.02% | 1.12% |
| CRBGCorebridge Financial Inc | 1.14% | 0.01% | 1.13% |
| NMIHNmi Holdings, Inc. (class A) | 1.14% | 0.00% | 1.14% |
| MTGMgic Investment Corp | 1.13% | 0.01% | 1.12% |
98.7% of KBE 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.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, KBE or VTI?
KBE has an expense ratio of 0.35% while VTI charges 0.03%. VTI is the cheaper option, by $32 a year on a $10,000 investment.
Which performed better, KBE or VTI?
Over the past year KBE returned +10.06% vs +16.93% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (21 years), KBE annualized +1.87% vs +9.61% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, KBE or VTI?
KBE has been the more volatile fund at 26.7% annualized versus 15.5% for VTI. Worst drawdown: KBE -84.6% vs VTI -56.6%.
Should I hold both KBE and VTI?
KBE 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.
What is the holdings overlap between KBE and VTI?
98.7% of KBE's money is in holdings VTI also owns. 3.4% of VTI's is in holdings KBE also owns. They hold 101 positions in common, counted across the 103 positions we hold weights for in KBE and 3,463 in VTI.
Which pays a higher dividend, KBE or VTI?
KBE yields 2.16% while VTI yields 1.03%, so KBE currently pays the higher dividend yield.
Is VTI better than KBE?
VTI has a lower expense ratio. KBE led over 3Y, VTI over 1Y, 5Y and the full window. KBE is less concentrated, with 11.3% of the fund in its ten largest positions against 33.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.