UAE vs VTI

UAE vs VTI
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Quick Verdict

VTI has a lower expense ratio. VTI delivered stronger 1-year returns. VTI offers more diversification with 3,543 holdings.

Lower Fees: VTIHigher Returns: VTIMore Diversified: VTI

Side-by-Side Comparison

MetricUAEVTIWinner
Expense Ratio0.60%0.03%
AUM$314M$666.9B
Dividend Yield4.43%1.07%
Holdings623,543
YTD Return+5.30%+13.67%
1Y Return+2.99%+22.17%
3Y Return (annualized)+13.95%+21.93%
5Y Return (annualized)+10.42%+12.51%
Volatility (annualized)20.2%15.3%
Max Drawdown-68.3%-56.6%
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryEquityEquity
InceptionApr 29, 2014May 24, 2001

UAE vs VTI Performance

iShares MSCI UAE ETF (UAE) is a ETF from iShares by BlackRock (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is a ETF from Vanguard (US). Over the past year UAE returned +2.99% while VTI returned +22.17%. Year to date, UAE is up 5.30% versus a gain of 13.67% for VTI.

Over three years, UAE compounded at +13.95% per year against +21.93% for VTI; over five years the annualized figures are +10.42% and +12.51% respectively. Across the full 12-year window we track, VTI has the edge at +8.11% annualized vs -0.30%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

UAE has been the more volatile fund, with annualized monthly volatility of 20.2% compared with 15.3% 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 -68.3% for UAE 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 0.44. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

UAE charges 0.60% per year while VTI charges 0.03%. On a $10,000 position that is $60 vs $3 annually, a gap of $57 per year that compounds over a long holding period. On income, UAE currently yields 4.43% against 1.07% for VTI.

Holdings Overlap

0.0%overlap

UAE and VTI share 0 holdings out of 2844 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, UAE or VTI?

UAE has an expense ratio of 0.60% while VTI charges 0.03%. VTI is the cheaper option. On a $10,000 investment, that is $57 per year of difference.

Which performed better, UAE or VTI?

Over the past year UAE returned +2.99% vs +22.17% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (12 years), UAE annualized -0.30% vs +8.11% for VTI. Past performance does not guarantee future results.

Which is riskier, UAE or VTI?

UAE has been the more volatile fund at 20.2% annualized versus 15.3% for VTI. Worst drawdown: UAE -68.3% vs VTI -56.6%.

Should I hold both UAE and VTI?

UAE and VTI have a monthly-return correlation of 0.44, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between UAE and VTI?

UAE and VTI share 0 common holdings with a 0.0% weight overlap. Combined, they hold 2844 unique securities.

Which pays a higher dividend, UAE or VTI?

UAE yields 4.43% while VTI yields 1.07%, so UAE currently pays the higher dividend yield.

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