LSEQ 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

MetricLSEQVTIWinner
Expense Ratio2.28%0.03%
AUM$16M$663.5B
Dividend Yield1.71%1.07%
Holdings1563,543
YTD Return+18.26%+14.20%
1Y Return+20.40%+24.16%
3Y Return (annualized)-+21.12%
5Y Return (annualized)-+12.37%
Volatility (annualized)14.5%15.3%
Max Drawdown-10.9%-56.6%
Fund FamilyHarbor FundsVanguard (US)
CategoryEquityEquity
InceptionDec 3, 2023May 24, 2001

LSEQ vs VTI Performance

Harbor Long-Short Equity ETF (LSEQ) is a ETF from Harbor Funds and Vanguard Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year LSEQ returned +20.40% while VTI returned +24.16%. Year to date, LSEQ is up 18.26% versus a gain of 14.20% for VTI.

Risk: Volatility and Drawdowns

VTI has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 14.5% for LSEQ. 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 -10.9% for LSEQ 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 0.25. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

LSEQ charges 2.28% per year while VTI charges 0.03%. On a $10,000 position that is $228 vs $3 annually, a gap of $225 per year that compounds over a long holding period. On income, LSEQ currently yields 1.71% against 1.07% for VTI.

Holdings Overlap

9.1%overlap

LSEQ and VTI share 130 holdings out of 2806 unique holdings combined, representing a 9.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in LSEQWeight in VTIDifference
WBD3.52%0.09%3.43%
NEM2.42%0.14%2.28%
MSFT-1.34%3.81%5.15%
FCXProProPro
JNJProProPro
IRDMProProPro
WMTProProPro
DBXProProPro
PINSProProPro
XOMProProPro
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Frequently Asked Questions

Which is cheaper, LSEQ or VTI?

LSEQ has an expense ratio of 2.28% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $225 per year of difference.

Which performed better, LSEQ or VTI?

Over the past year LSEQ returned +20.40% vs +24.16% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (3 years), LSEQ annualized +12.88% vs +8.14% for VTI. Past performance does not guarantee future results.

Which is riskier, LSEQ or VTI?

VTI has been the more volatile fund at 15.3% annualized versus 14.5% for LSEQ. Worst drawdown: LSEQ -10.9% vs VTI -56.6%.

Should I hold both LSEQ and VTI?

LSEQ and VTI have a monthly-return correlation of 0.25, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between LSEQ and VTI?

LSEQ and VTI share 130 common holdings with a 9.1% weight overlap. Combined, they hold 2806 unique securities.

Which pays a higher dividend, LSEQ or VTI?

LSEQ yields 1.71% while VTI yields 1.07%, so LSEQ currently pays the higher dividend yield.

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