TLT vs VTI
iShares 20+ Year Treasury Bond ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, TLT or VTI?
Long Term Government 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 | TLT | VTI |
|---|---|---|
| Expense Ratio | 0.15% | 0.03%Best |
| AUM | $46.9B | $666.9B |
| Dividend Yield | 4.73% | 1.03% |
| Holdings | 48 | 3,543 |
| YTD Return | -4.41% | +11.53%Best |
| 1Y Return | -6.38% | +15.74%Best |
| 3Y Return (annualized) | -0.30% | +20.67%Best |
| 5Y Return (annualized) | -8.36% | +11.59%Best |
| Volatility (annualized) | 13.3%Best | 15.2% |
| Max Drawdown | -48.7%Best | -56.6% |
| $10,000 over 5 years | $6,463 | $17,303Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Long Term Government Bond | Large Cap Blend |
| Inception | Jul 22, 2002 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jul 26, 2002 to Sep 15, 2026 (24.1 years).
TLT 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 24.1 years both funds cover.
TLT vs VTI Performance
iShares 20+ Year Treasury Bond ETF (TLT) is an ETF from iShares by BlackRock (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year TLT returned -6.38% while VTI returned +15.74%. Year to date, TLT is down 4.41% versus a gain of 11.53% for VTI.
Over three years, TLT compounded at -0.30% per year against +20.67% for VTI; over five years the annualized figures are -8.36% and +11.59% respectively. Across the full 24-year window we track, VTI has the edge at +10.04% annualized vs +0.74%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 15.2% compared with 13.3% for TLT. 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 -48.7% for TLT 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 -0.11. They move largely independently of each other.
Fees and Cost Over Time
TLT charges 0.15% per year while VTI charges 0.03%. On a $10,000 position that is $15 vs $3 annually, a gap of $12 per year that compounds over a long holding period. On income, TLT currently yields 4.73% against 1.03% for VTI.
Holdings Overlap
We hold position weights for 44 holdings in TLT and 3,463 in VTI, totalling 87.6% 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 44 positions we hold weights for in TLT and 3,463 in VTI, against full books of 48 and 3,543.
You are not choosing between two funds in isolation.
Whichever of TLT 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, TLT or VTI?
TLT has an expense ratio of 0.15% while VTI charges 0.03%. VTI is the cheaper option, by $12 a year on a $10,000 investment.
Which performed better, TLT or VTI?
Over the past year TLT returned -6.38% vs +15.74% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (24 years), TLT annualized +0.74% vs +10.04% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, TLT or VTI?
VTI has been the more volatile fund at 15.2% annualized versus 13.3% for TLT. Worst drawdown: TLT -48.7% vs VTI -56.6%.
Should I hold both TLT and VTI?
TLT and VTI have a monthly-return correlation of -0.11, 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, TLT or VTI?
TLT yields 4.73% while VTI yields 1.03%, so TLT currently pays the higher dividend yield.
Is VTI better than TLT?
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.