MZZ vs VTI

MZZ vs VTI
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Quick Verdict

VTI has a lower expense ratio. VTI delivered stronger 1-year returns. VTI offers more diversification with 3,543 holdings.

Lower Fees: VTIHigher Returns: VTIMore Diversified: VTI

Side-by-Side Comparison

MetricMZZVTIWinner
Expense Ratio0.95%0.03%
AUM$4M$666.9B
Dividend Yield5.57%1.07%
Holdings53,543
YTD Return-27.11%+14.82%
1Y Return-33.15%+22.43%
3Y Return (annualized)-23.53%+21.93%
5Y Return (annualized)-17.69%+12.34%
Volatility (annualized)34.9%15.4%
Max Drawdown-100.0%-56.6%
Fund FamilyProSharesVanguard (US)
CategoryAlternativeEquity
InceptionJul 11, 2006May 24, 2001

MZZ vs VTI Performance

ProShares UltraShort MidCap 400 (MZZ) is a ETF from ProShares and Vanguard Morningstar Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year MZZ returned -33.15% while VTI returned +22.43%. Year to date, MZZ is down 27.11% versus a gain of 14.82% for VTI.

Over three years, MZZ compounded at -23.53% per year against +21.93% for VTI; over five years the annualized figures are -17.69% and +12.34% respectively. Across the full 20-year window we track, VTI has the edge at +8.16% annualized vs -31.13%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

MZZ has been the more volatile fund, with annualized monthly volatility of 34.9% compared with 15.4% 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 -100.0% for MZZ 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 -0.90. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

MZZ charges 0.95% per year while VTI charges 0.03%. On a $10,000 position that is $95 vs $3 annually, a gap of $92 per year that compounds over a long holding period. On income, MZZ currently yields 5.57% against 1.07% for VTI.

Frequently Asked Questions

Which is cheaper, MZZ or VTI?

MZZ has an expense ratio of 0.95% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $92 per year of difference.

Which performed better, MZZ or VTI?

Over the past year MZZ returned -33.15% vs +22.43% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (20 years), MZZ annualized -31.13% vs +8.16% for VTI. Past performance does not guarantee future results.

Which is riskier, MZZ or VTI?

MZZ has been the more volatile fund at 34.9% annualized versus 15.4% for VTI. Worst drawdown: MZZ -100.0% vs VTI -56.6%.

Should I hold both MZZ and VTI?

MZZ and VTI have a monthly-return correlation of -0.90, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, MZZ or VTI?

MZZ yields 5.57% while VTI yields 1.07%, so MZZ currently pays the higher dividend yield.

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