TAFM vs VTI

TAFM vs VTI

Which is better, TAFM or VTI?

Municipal Bond against Large Cap Blend.

VTI has a lower expense ratio. VTI led over 1Y and the full window.

Lower Fees: VTIHigher Returns: VTI

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

MetricTAFMVTI
Expense Ratio0.28%0.03%Best
AUM$777M$666.9B
Dividend Yield3.68%1.03%
Holdings6723,543
YTD Return-1.37%+12.30%Best
1Y Return+0.02%+16.08%Best
3Y Return (annualized)-+21.01%
5Y Return (annualized)-+12.36%
Volatility (annualized)4.1%Best12.1%
Max Drawdown-4.7%Best-19.3%
$10,000 over 2.8 years$10,722$16,716Best
Fund FamilyAllianceBernstein L.P.Vanguard (US)
CategoryTax PreferredEquity
StyleMunicipal BondLarge Cap Blend
InceptionDec 13, 2023May 24, 2001

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown, and the $10,000 over 2.8 years row, are measured over the window both funds cover: Dec 13, 2023 to Sep 18, 2026 (2.8 years).

TAFM 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 2.8 years both funds cover.

TAFM vs VTI Performance

AB Tax-Aware Intermediate Municipal ETF (TAFM) is an ETF from AllianceBernstein L.P. and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year TAFM returned +0.02% while VTI returned +16.08%. Year to date, TAFM is down 1.37% versus a gain of 12.30% 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 12.1% compared with 4.1% for TAFM. 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 -4.7% for TAFM 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 0.54. They move together some of the time, and apart the rest.

Fees and Cost Over Time

TAFM charges 0.28% per year while VTI charges 0.03%. On a $10,000 position that is $28 vs $3 annually, a gap of $25 per year that compounds over a long holding period. On income, TAFM currently yields 3.68% against 1.03% for VTI.

Holdings Overlap

We hold position weights for 238 holdings in TAFM and 3,463 in VTI, totalling 31.5% and 98.1% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 238 positions we hold weights for in TAFM and 3,463 in VTI, against full books of 672 and 3,543.

You are not choosing between two funds in isolation.

Whichever of TAFM and VTI you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

TAFMVTI

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, TAFM or VTI?

TAFM has an expense ratio of 0.28% while VTI charges 0.03%. VTI is the cheaper option, by $25 a year on a $10,000 investment.

Which performed better, TAFM or VTI?

Over the past year TAFM returned +0.02% 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, TAFM or VTI?

VTI has been the more volatile fund at 12.1% annualized versus 4.1% for TAFM. Worst drawdown: TAFM -4.7% vs VTI -19.3%.

Should I hold both TAFM and VTI?

TAFM and VTI have a monthly-return correlation of 0.54, 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, TAFM or VTI?

TAFM yields 3.68% while VTI yields 1.03%, so TAFM currently pays the higher dividend yield.

Is VTI better than TAFM?

VTI has a lower expense ratio. VTI led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.