NMCO vs VTI
Nuveen Municipal Credit Opportunities Fund vs Vanguard Morningstar Total Stock Market ETF
Which is better, NMCO or VTI?
Municipal Bond against Large Cap Blend.
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window.
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 | NMCO | VTI |
|---|---|---|
| Expense Ratio | 4.50% | 0.03%Best |
| AUM | - | $666.9B |
| Dividend Yield | 7.96% | 1.03% |
| Holdings | 430 | 3,543 |
| YTD Return | +0.22% | +12.30%Best |
| 1Y Return | -3.85% | +16.08%Best |
| 3Y Return (annualized) | +4.05% | +21.01%Best |
| 5Y Return (annualized) | -2.79% | +12.36%Best |
| Volatility (annualized) | 20.2% | 17.1%Best |
| Max Drawdown | -43.0% | -35.0%Best |
| $10,000 over 5 years | $8,681 | $17,908Best |
| Fund Family | Nuveen | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Municipal Bond | Large Cap Blend |
| Inception | Sep 16, 2019 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 17, 2019 to Sep 18, 2026 (7 years).
NMCO 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 7 years both funds cover.
NMCO vs VTI Performance
Nuveen Municipal Credit Opportunities Fund (NMCO) is an ETF from Nuveen and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year NMCO returned -3.85% while VTI returned +16.08%. Year to date, NMCO is up 0.22% versus a gain of 12.30% for VTI.
Over three years, NMCO compounded at +4.05% per year against +21.01% for VTI; over five years the annualized figures are -2.79% and +12.36% respectively. Across the full 7-year window we track, VTI has the edge at +14.94% annualized vs -1.37%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
NMCO has been the more volatile fund, with annualized monthly volatility of 20.2% compared with 17.1% 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 -43.0% for NMCO and -35.0% 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 0.59. They move together some of the time, and apart the rest.
Fees and Cost Over Time
NMCO charges 4.50% per year while VTI charges 0.03%. On a $10,000 position that is $450 vs $3 annually, a gap of $447 per year that compounds over a long holding period. On income, NMCO currently yields 7.96% against 1.03% for VTI.
You are not choosing between two funds in isolation.
Whichever of NMCO 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, NMCO or VTI?
NMCO has an expense ratio of 4.50% while VTI charges 0.03%. VTI is the cheaper option, by $447 a year on a $10,000 investment.
Which performed better, NMCO or VTI?
Over the past year NMCO returned -3.85% vs +16.08% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (7 years), NMCO annualized -1.37% vs +14.94% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, NMCO or VTI?
NMCO has been the more volatile fund at 20.2% annualized versus 17.1% for VTI. Worst drawdown: NMCO -43.0% vs VTI -35.0%.
Should I hold both NMCO and VTI?
NMCO and VTI have a monthly-return correlation of 0.59, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, NMCO or VTI?
NMCO yields 7.96% while VTI yields 1.03%, so NMCO currently pays the higher dividend yield.
Is VTI better than NMCO?
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.