PPA vs VTI
Invesco Aerospace & Defense ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, PPA or VTI?
Mid Cap Blend against Large Cap Blend.
VTI has a lower expense ratio. PPA led over 3Y, 5Y and the full window, VTI over 1Y.
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 | PPA | VTI |
|---|---|---|
| Expense Ratio | 0.58% | 0.03%Best |
| AUM | $8.2B | $666.9B |
| Dividend Yield | 0.37% | 1.07% |
| Holdings | 63 | 3,543 |
| YTD Return | +2.61% | +13.59%Best |
| 1Y Return | +12.63% | +20.00%Best |
| 3Y Return (annualized) | +25.90%Best | +20.95% |
| 5Y Return (annualized) | +18.53%Best | +11.81% |
| Volatility (annualized) | 18.3% | 15.5%Best |
| Max Drawdown | -57.8% | -56.6%Best |
| $10,000 over 5 years | $23,396Best | $17,474 |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Mid Cap Blend | Large Cap Blend |
| Inception | Oct 26, 2005 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Oct 26, 2005 to Sep 4, 2026 (20.9 years).
PPA 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 20.9 years both funds cover.
PPA vs VTI Performance
Invesco Aerospace & Defense ETF (PPA) is an ETF from Invesco (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year PPA returned +12.63% while VTI returned +20.00%. Year to date, PPA is up 2.61% versus a gain of 13.59% for VTI.
Over three years, PPA compounded at +25.90% per year against +20.95% for VTI; over five years the annualized figures are +18.53% and +11.81% respectively. Across the full 21-year window we track, PPA has the edge at +12.38% annualized vs +9.75%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PPA has been the more volatile fund, with annualized monthly volatility of 18.3% compared with 15.5% 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 -57.8% for PPA 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 0.84. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
PPA charges 0.58% per year while VTI charges 0.03%. On a $10,000 position that is $58 vs $3 annually, a gap of $55 per year that compounds over a long holding period. On income, PPA currently yields 0.37% against 1.07% for VTI.
Holdings Overlap
At least 92.8% of PPA's money is in holdings VTI also owns.
Stated as a floor: for VTI, our book for it covers 92.3% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
Most of PPA is already inside VTI. Owning both mostly buys the same companies twice.
53 positions in common, counted across the 62 positions we hold weights for in PPA and 2,787 in VTI, against full books of 63 and 3,543.
Top Shared Holdings
| Stock | Weight in PPA | Weight in VTI | Difference |
|---|---|---|---|
| RTXRaytheon Co. | 7.98% | 0.35% | 7.63% |
| GEGeneral Electric Co. | 7.08% | 0.54% | 6.54% |
| BABoeing Co | 7.15% | 0.23% | 6.92% |
| LMTLockheed Martin Corp | 6.38% | 0.16% | 6.22% |
| GDGeneral Dynamics Corp. | 4.76% | 0.12% | 4.64% |
| NOCNorthrop Grumman Corp. | 4.59% | 0.10% | 4.49% |
| HWMHowmet Aerospace Inc. | 4.34% | 0.15% | 4.19% |
| HONAHoneywell Aerospace Inc | 4.07% | 0.10% | 3.97% |
| LHXL3Harris Technologies Inc. | 3.74% | 0.07% | 3.67% |
| PHParker-Hannifin Corp. | 3.56% | 0.17% | 3.39% |
92.8% of PPA is already inside VTI.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, PPA or VTI?
PPA has an expense ratio of 0.58% while VTI charges 0.03%. VTI is the cheaper option, by $55 a year on a $10,000 investment.
Which performed better, PPA or VTI?
Over the past year PPA returned +12.63% vs +20.00% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (21 years), PPA annualized +12.38% vs +9.75% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PPA or VTI?
PPA has been the more volatile fund at 18.3% annualized versus 15.5% for VTI. Worst drawdown: PPA -57.8% vs VTI -56.6%.
Should I hold both PPA and VTI?
PPA and VTI have a monthly-return correlation of 0.84, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between PPA and VTI?
At least 92.8% of PPA's money is in holdings VTI also owns. Our book for VTI is partial, so the real figure is this or higher. They hold 53 positions in common, counted across the 62 positions we hold weights for in PPA and 2,787 in VTI.
Which pays a higher dividend, PPA or VTI?
PPA yields 0.37% while VTI yields 1.07%, so VTI currently pays the higher dividend yield.
Is VTI better than PPA?
VTI has a lower expense ratio. PPA led over 3Y, 5Y and the full window, VTI over 1Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.