PSDM vs VTI
PGIM Short Duration Multi-Sector Bond ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, PSDM or VTI?
Short Term High Quality against Large Cap Blend.
VTI has a lower expense ratio. VTI led over 1Y, 3Y 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 | PSDM | VTI |
|---|---|---|
| Expense Ratio | 0.40% | 0.03%Best |
| AUM | $229M | $666.9B |
| Dividend Yield | 5.19% | 1.03% |
| Holdings | 796 | 3,543 |
| YTD Return | -2.07% | +12.30%Best |
| 1Y Return | -1.21% | +16.08%Best |
| 3Y Return (annualized) | +4.19% | +21.01%Best |
| 5Y Return (annualized) | - | +12.36% |
| Volatility (annualized) | 2.2%Best | 13.2% |
| Max Drawdown | -2.7%Best | -19.3% |
| $10,000 over 3.1 years | $11,337 | $17,000Best |
| Fund Family | PGIM Investments | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Short Term High Quality | Large Cap Blend |
| Inception | Jul 19, 2023 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 3.1 years row, are measured over the window both funds cover: Jul 31, 2023 to Sep 18, 2026 (3.1 years).
PSDM 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 3.1 years both funds cover.
PSDM vs VTI Performance
PGIM Short Duration Multi-Sector Bond ETF (PSDM) is an ETF from PGIM Investments and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year PSDM returned -1.21% while VTI returned +16.08%. Year to date, PSDM is down 2.07% versus a gain of 12.30% for VTI.
Over three years, PSDM compounded at +4.19% per year against +21.01% for VTI.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 13.2% compared with 2.2% for PSDM. 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 -2.7% for PSDM and -19.3% 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 0.52. They move together some of the time, and apart the rest.
Fees and Cost Over Time
PSDM charges 0.40% per year while VTI charges 0.03%. On a $10,000 position that is $40 vs $3 annually, a gap of $37 per year that compounds over a long holding period. On income, PSDM currently yields 5.19% against 1.03% for VTI.
Holdings Overlap
At least 0.3% of VTI's money is in holdings PSDM also owns.
Stated as a floor: for PSDM, our book for it covers 38.3% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
1 positions in common, counted across the 297 positions we hold weights for in PSDM and 3,463 in VTI, against full books of 796 and 3,543.
Top Shared Holdings
| Stock | Weight in PSDM | Weight in VTI | Difference |
|---|---|---|---|
| CCitigroup Inc 6.875 11/73 6.88 2173-11-15 | 0.10% | 0.30% | 0.20% |
You are not choosing between two funds in isolation.
Whichever of PSDM 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, PSDM or VTI?
PSDM has an expense ratio of 0.40% while VTI charges 0.03%. VTI is the cheaper option, by $37 a year on a $10,000 investment.
Which performed better, PSDM or VTI?
Over the past year PSDM returned -1.21% vs +16.08% for VTI, so VTI leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PSDM or VTI?
VTI has been the more volatile fund at 13.2% annualized versus 2.2% for PSDM. Worst drawdown: PSDM -2.7% vs VTI -19.3%.
Should I hold both PSDM and VTI?
PSDM and VTI have a monthly-return correlation of 0.52, 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, PSDM or VTI?
PSDM yields 5.19% while VTI yields 1.03%, so PSDM currently pays the higher dividend yield.
Is VTI better than PSDM?
VTI has a lower expense ratio. VTI led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.