PFLD 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

MetricPFLDVTIWinner
Expense Ratio0.45%0.03%
AUM$413M$663.5B
Dividend Yield5.47%1.07%
Holdings3243,543
YTD Return+2.58%+14.22%
1Y Return+4.92%+22.19%
3Y Return (annualized)+4.33%+21.27%
5Y Return (annualized)+0.92%+12.23%
Volatility (annualized)9.1%15.3%
Max Drawdown-33.5%-56.6%
Fund FamilyAdvisors Asset Management, Inc.Vanguard (US)
CategoryAllocation/BalancedEquity
InceptionNov 19, 2019May 24, 2001

PFLD vs VTI Performance

AAM Low Duration Preferred and Income Securities ETF (PFLD) is a ETF from Advisors Asset Management, Inc. and Vanguard Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year PFLD returned +4.92% while VTI returned +22.19%. Year to date, PFLD is up 2.58% versus a gain of 14.22% for VTI.

Over three years, PFLD compounded at +4.33% per year against +21.27% for VTI; over five years the annualized figures are +0.92% and +12.23% respectively. Across the full 7-year window we track, VTI has the edge at +8.14% annualized vs +1.24%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VTI has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 9.1% for PFLD. 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 -33.5% for PFLD 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 0.76. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PFLD charges 0.45% per year while VTI charges 0.03%. On a $10,000 position that is $45 vs $3 annually, a gap of $42 per year that compounds over a long holding period. On income, PFLD currently yields 5.47% against 1.07% for VTI.

Holdings Overlap

4.4%overlap

PFLD and VTI share 46 holdings out of 2967 unique holdings combined, representing a 4.4% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in PFLDWeight in VTIDifference
JPM:US1.28%1.11%0.17%
WFC1.05%0.35%0.70%
SCHW1.05%0.21%0.84%
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Frequently Asked Questions

Which is cheaper, PFLD or VTI?

PFLD has an expense ratio of 0.45% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $42 per year of difference.

Which performed better, PFLD or VTI?

Over the past year PFLD returned +4.92% vs +22.19% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (7 years), PFLD annualized +1.24% vs +8.14% for VTI. Past performance does not guarantee future results.

Which is riskier, PFLD or VTI?

VTI has been the more volatile fund at 15.3% annualized versus 9.1% for PFLD. Worst drawdown: PFLD -33.5% vs VTI -56.6%.

Should I hold both PFLD and VTI?

PFLD and VTI have a monthly-return correlation of 0.76, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between PFLD and VTI?

PFLD and VTI share 46 common holdings with a 4.4% weight overlap. Combined, they hold 2967 unique securities.

Which pays a higher dividend, PFLD or VTI?

PFLD yields 5.47% while VTI yields 1.07%, so PFLD currently pays the higher dividend yield.

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