MSML vs VTI
iShares MSCI USA Small-Cap ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, MSML or VTI?
Small Cap Blend against Large Cap Blend.
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92.
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 | MSML | VTI |
|---|---|---|
| Expense Ratio | 0.04% | 0.03%Best |
| AUM | $272M | $689.2B |
| Dividend Yield | 1.37% | 1.06% |
| Holdings | 1,571 | 3,524 |
| YTD Return | +8.71% | +12.18%Best |
| 1Y Return | +12.98% | +16.14%Best |
| 3Y Return (annualized) | +16.38% | +21.59%Best |
| 5Y Return (annualized) | +5.65% | +11.62%Best |
| Volatility (annualized) | 19.7% | 15.2%Best |
| Max Drawdown | -61.9% | -56.6%Best |
| $10,000 over 5 years | $13,163 | $17,326Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Blend |
| Inception | Jun 28, 2004 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jul 2, 2004 to Oct 16, 2026 (22.3 years).
MSML 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 22.3 years both funds cover.
MSML vs VTI Performance
iShares MSCI USA Small-Cap ETF (MSML) is an ETF from iShares by BlackRock (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year MSML returned +12.98% while VTI returned +16.14%. Year to date, MSML is up 8.71% versus a gain of 12.18% for VTI.
Over three years, MSML compounded at +16.38% per year against +21.59% for VTI; over five years the annualized figures are +5.65% and +11.62% respectively. Across the full 22-year window we track, VTI has the edge at +9.42% annualized vs +7.60%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
MSML has been the more volatile fund, with annualized monthly volatility of 19.7% compared with 15.2% 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 -61.9% for MSML 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 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
MSML charges 0.04% per year while VTI charges 0.03%. On a $10,000 position that is $4 vs $3 annually, a gap of $1 per year that compounds over a long holding period. On income, MSML currently yields 1.37% against 1.06% for VTI.
Holdings Overlap
At least 7.4% of VTI's money is in holdings MSML also owns.
Stated as a floor: for MSML, our book for it covers 93.1% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
VTI and MSML share little of their money.
1,304 positions in common, counted across the 1,359 positions we hold weights for in MSML and 3,441 in VTI, against full books of 1,571 and 3,524.
Top Shared Holdings
| Stock | Weight in MSML | Weight in VTI | Difference |
|---|---|---|---|
| OKTAOkta Inc. | 0.59% | 0.04% | 0.55% |
| TEAMAtlassian Corp-Cl A | 0.50% | 0.04% | 0.46% |
| GHGuardant Health, Inc | 0.37% | 0.03% | 0.34% |
| ROKURoku, Inc | 0.33% | 0.03% | 0.30% |
| NTNXNutanix Inc - A | 0.31% | 0.02% | 0.29% |
| ZBRAZebra Technologies Corp | 0.30% | 0.02% | 0.28% |
| RBRKRubrik Inc-A | 0.29% | 0.02% | 0.27% |
| DTDynatrace Inc | 0.29% | 0.02% | 0.27% |
| SMTCSemtech Corp | 0.29% | 0.02% | 0.27% |
| RVTYRevvity Inc | 0.28% | 0.02% | 0.26% |
You are not choosing between two funds in isolation.
Whichever of MSML 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, MSML or VTI?
MSML has an expense ratio of 0.04% while VTI charges 0.03%. VTI is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, MSML or VTI?
Over the past year MSML returned +12.98% vs +16.14% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (22 years), MSML annualized +7.60% vs +9.42% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, MSML or VTI?
MSML has been the more volatile fund at 19.7% annualized versus 15.2% for VTI. Worst drawdown: MSML -61.9% vs VTI -56.6%.
Should I hold both MSML and VTI?
MSML and VTI have a monthly-return correlation of 0.92, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between MSML and VTI?
At least 7.4% of VTI's money is in holdings MSML also owns. Our book for MSML is partial, so the real figure is this or higher. They hold 1,304 positions in common, counted across the 1,359 positions we hold weights for in MSML and 3,441 in VTI.
Which pays a higher dividend, MSML or VTI?
MSML yields 1.37% while VTI yields 1.06%, so MSML currently pays the higher dividend yield.
Is VTI better than MSML?
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92. Which one suits a particular account depends on what it is for. This is information, not a recommendation.