USMV vs VTI
iShares MSCI USA Minimum Volatility Factor ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, USMV or VTI?
VTI has been ahead.
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 | USMV | VTI |
|---|---|---|
| Expense Ratio | 0.15% | 0.03%Best |
| AUM | $24.1B | $666.9B |
| Dividend Yield | 1.42% | 1.03% |
| Holdings | 170 | 3,543 |
| YTD Return | +6.80% | +12.57%Best |
| 1Y Return | +6.23% | +17.22%Best |
| 3Y Return (annualized) | +11.81% | +20.87%Best |
| 5Y Return (annualized) | +7.06% | +11.86%Best |
| Volatility (annualized) | 11.2%Best | 14.3% |
| Max Drawdown | -33.1%Best | -35.0% |
| $10,000 over 5 years | $14,065 | $17,514Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Oct 18, 2011 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 11, 2026 (14.9 years).
USMV 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 14.9 years both funds cover.
USMV vs VTI Performance
iShares MSCI USA Minimum Volatility Factor ETF (USMV) 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 USMV returned +6.23% while VTI returned +17.22%. Year to date, USMV is up 6.80% versus a gain of 12.57% for VTI.
Over three years, USMV compounded at +11.81% per year against +20.87% for VTI; over five years the annualized figures are +7.06% and +11.86% respectively. Across the full 15-year window we track, VTI has the edge at +13.44% annualized vs +10.25%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 14.3% compared with 11.2% for USMV. 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 -33.1% for USMV and -35.0% 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 0.85. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
USMV 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, USMV currently yields 1.42% against 1.03% for VTI.
Holdings Overlap
At least 97.6% of USMV's money is in holdings VTI also owns.
Stated as a floor: for VTI, our book for it covers 90.6% 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 USMV is already inside VTI. Owning both mostly buys the same companies twice.
159 positions in common, counted across the 167 positions we hold weights for in USMV and 2,787 in VTI, against full books of 170 and 3,543.
Top Shared Holdings
| Stock | Weight in USMV | Weight in VTI | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 1.37% | 6.32% | 4.95% |
| AAPLApple, Inc | 0.88% | 5.84% | 4.96% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 1.69% | 3.81% | 2.12% |
| AVGOBroadcom Inc | 1.07% | 2.46% | 1.39% |
| AMZNAmazon.Com Inc | 0.14% | 3.17% | 3.03% |
| BRK.BBerkshire Hathaway B | 1.46% | 1.24% | 0.22% |
| GOOGAlphabet Inc | 0.42% | 2.27% | 1.85% |
| MUMicron Technology, Inc. | 0.68% | 1.79% | 1.11% |
| JNJJohnson & Johnson | 1.50% | 0.84% | 0.66% |
| LLYEli Lilly & Co. | 0.75% | 1.40% | 0.65% |
97.6% of USMV 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, USMV or VTI?
USMV 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, USMV or VTI?
Over the past year USMV returned +6.23% vs +17.22% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (15 years), USMV annualized +10.25% vs +13.44% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, USMV or VTI?
VTI has been the more volatile fund at 14.3% annualized versus 11.2% for USMV. Worst drawdown: USMV -33.1% vs VTI -35.0%.
Should I hold both USMV and VTI?
USMV and VTI have a monthly-return correlation of 0.85, 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 USMV and VTI?
At least 97.6% of USMV's money is in holdings VTI also owns. Our book for VTI is partial, so the real figure is this or higher. They hold 159 positions in common, counted across the 167 positions we hold weights for in USMV and 2,787 in VTI.
Which pays a higher dividend, USMV or VTI?
USMV yields 1.42% while VTI yields 1.03%, so USMV currently pays the higher dividend yield.
Is VTI better than USMV?
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.