KCE vs VTI

Quick Verdict

VTI has a lower expense ratio. VTI delivered stronger 1-year returns. VTI offers more diversification with 2783 holdings.

Lower Fees: VTIHigher Returns: VTIMore Diversified: VTI

Side-by-Side Comparison

MetricKCEVTIWinner
Expense Ratio0.35%0.03%
AUM$460M$663.5B
Dividend Yield1.82%1.07%
Holdings673,543
YTD Return+10.58%+14.22%
1Y Return+8.21%+22.19%
3Y Return (annualized)+25.32%+21.27%
5Y Return (annualized)+13.04%+12.23%
Volatility (annualized)22.9%15.3%
Max Drawdown-74.4%-56.6%
Fund FamilyState Street Investment ManagementVanguard (US)
CategoryEquityEquity
InceptionNov 8, 2005May 24, 2001

KCE vs VTI Performance

State Street SPDR S&P Capital Markets ETF (KCE) is a ETF from State Street Investment Management and Vanguard Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year KCE returned +8.21% while VTI returned +22.19%. Year to date, KCE is up 10.58% versus a gain of 14.22% for VTI.

Over three years, KCE compounded at +25.32% per year against +21.27% for VTI; over five years the annualized figures are +13.04% and +12.23% respectively. Across the full 21-year window we track, VTI has the edge at +8.14% annualized vs +6.10%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

KCE has been the more volatile fund, with annualized monthly volatility of 22.9% compared with 15.3% 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 -74.4% for KCE 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 0.88. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

KCE 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, KCE currently yields 1.82% against 1.07% for VTI.

Holdings Overlap

0.0%overlap

KCE and VTI share 1 holdings out of 2783 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in KCEWeight in VTIDifference
IVZ1.54%0.02%1.52%

Frequently Asked Questions

Which is cheaper, KCE or VTI?

KCE 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, KCE or VTI?

Over the past year KCE returned +8.21% vs +22.19% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (21 years), KCE annualized +6.10% vs +8.14% for VTI. Past performance does not guarantee future results.

Which is riskier, KCE or VTI?

KCE has been the more volatile fund at 22.9% annualized versus 15.3% for VTI. Worst drawdown: KCE -74.4% vs VTI -56.6%.

Should I hold both KCE and VTI?

KCE and VTI have a monthly-return correlation of 0.88, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between KCE and VTI?

KCE and VTI share 1 common holdings with a 0.0% weight overlap. Combined, they hold 2783 unique securities.

Which pays a higher dividend, KCE or VTI?

KCE yields 1.82% while VTI yields 1.07%, so KCE currently pays the higher dividend yield.

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