VB vs VT
VB vs VT
Vanguard Small Cap ETF vs Vanguard Total World Stock ETF
Quick Verdict
VB has a lower expense ratio. VB delivered stronger 1-year returns. VT offers more diversification with 8927 holdings.
Side-by-Side Comparison
| Metric | VB | VT | Winner |
|---|---|---|---|
| Expense Ratio | 0.03% | 0.06% | |
| AUM | $81.5B | $77.6B | |
| Dividend Yield | 1.48% | 1.61% | |
| Holdings | 1,324 | 10,133 | |
| YTD Return | +17.82% | +14.19% | |
| 1Y Return | +29.09% | +25.25% | |
| 3Y Return (annualized) | +16.24% | +20.36% | |
| 5Y Return (annualized) | +8.18% | +11.17% | |
| Volatility (annualized) | 18.9% | 16.6% | |
| Max Drawdown | -61.0% | -50.6% | |
| Fund Family | Vanguard (US) | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Jan 26, 2004 | Jun 24, 2008 |
VB vs VT Performance
Vanguard Small Cap ETF (VB) is a ETF from Vanguard (US) and Vanguard Total World Stock ETF (VT) is a ETF from Vanguard (US). Over the past year VB returned +29.09% while VT returned +25.25%. Year to date, VB is up 17.82% versus a gain of 14.19% for VT.
Over three years, VB compounded at +16.24% per year against +20.36% for VT; over five years the annualized figures are +8.18% and +11.17% respectively. Across the full 18-year window we track, VB has the edge at +8.86% annualized vs +7.37%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VB has been the more volatile fund, with annualized monthly volatility of 18.9% compared with 16.6% for VT. 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 -61.0% for VB and -50.6% for VT. 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
VB charges 0.03% per year while VT charges 0.06%. On a $10,000 position that is $3 vs $6 annually, a gap of $3 per year that compounds over a long holding period. On income, VB currently yields 1.48% against 1.61% for VT.
Holdings Overlap
VB and VT share 898 holdings out of 9141 unique holdings combined, representing a 6.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in VB | Weight in VT | Difference |
|---|---|---|---|
| SNDK | 1.21% | 0.14% | 1.07% |
| FIX | 0.65% | 0.06% | 0.59% |
| CIEN | 0.64% | 0.07% | 0.57% |
| LITE | Pro | Pro | Pro |
| COHR | Pro | Pro | Pro |
| RKLB | Pro | Pro | Pro |
| BE | Pro | Pro | Pro |
| NRG | Pro | Pro | Pro |
| EME | Pro | Pro | Pro |
| TPR | Pro | Pro | Pro |
See all 10 holdings VB shares with VT Exact weights in each fund and the difference, for every overlapping position. Get FundXLS Pro: $29/moFirst 500 subscribers, then $49/mo. Cancel anytime. | |||
Frequently Asked Questions
Which is cheaper, VB or VT?
VB has an expense ratio of 0.03% while VT charges 0.06%. VB is the cheaper option. On a $10,000 investment, that is $3 per year of difference.
Which performed better, VB or VT?
Over the past year VB returned +29.09% vs +25.25% for VT, so VB leads on 1-year performance. Over the longest common window we track (18 years), VB annualized +8.86% vs +7.37% for VT. Past performance does not guarantee future results.
Which is riskier, VB or VT?
VB has been the more volatile fund at 18.9% annualized versus 16.6% for VT. Worst drawdown: VB -61.0% vs VT -50.6%.
Should I hold both VB and VT?
VB and VT have a monthly-return correlation of 0.91, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.
What is the holdings overlap between VB and VT?
VB and VT share 898 common holdings with a 6.0% weight overlap. Combined, they hold 9141 unique securities.
Which pays a higher dividend, VB or VT?
VB yields 1.48% while VT yields 1.61%, so VT currently pays the higher dividend yield.
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