VBR vs VTILX

Quick Verdict

VBR has a lower expense ratio. VBR delivered stronger 1-year returns. VTILX offers more diversification with 1459 holdings.

Lower Fees: VBRHigher Returns: VBRMore Diversified: VTILX

Side-by-Side Comparison

MetricVBRVTILXWinner
Expense Ratio0.05%0.07%
AUM$36.9B$142.6B
Dividend Yield2.23%4.12%
Holdings8537,391
YTD Return+18.27%-1.04%
1Y Return+23.85%-2.87%
3Y Return (annualized)+16.25%-0.32%
5Y Return (annualized)+9.89%-
Volatility (annualized)19.0%6.0%
Max Drawdown-64.0%-15.3%
Fund FamilyVanguard (US)Vanguard (US)
CategoryEquityFixed Income
InceptionJan 26, 2004Feb 17, 2021

VBR vs VTILX Performance

Vanguard Small Cap Value ETF (VBR) is a ETF from Vanguard (US) and Vanguard Total International Bond II Index Fund Class Institutional (VTILX) is a mutual fund from Vanguard (US). Over the past year VBR returned +23.85% while VTILX returned -2.87%. Year to date, VBR is up 18.27% versus a loss of 1.04% for VTILX.

Over three years, VBR compounded at +16.25% per year against -0.32% for VTILX. Across the full 5-year window we track, VBR has the edge at +8.04% annualized vs -2.84%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VBR has been the more volatile fund, with annualized monthly volatility of 19.0% compared with 6.0% for VTILX. 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 -64.0% for VBR and -15.3% for VTILX. 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 0.57. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VBR charges 0.05% per year while VTILX charges 0.07%. On a $10,000 position that is $5 vs $7 annually, a gap of $2 per year that compounds over a long holding period. On income, VBR currently yields 2.23% against 4.12% for VTILX.

Holdings Overlap

0.0%overlap

VBR and VTILX share 0 holdings out of 2268 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, VBR or VTILX?

VBR has an expense ratio of 0.05% while VTILX charges 0.07%. VBR is the cheaper option. On a $10,000 investment, that is $2 per year of difference.

Which performed better, VBR or VTILX?

Over the past year VBR returned +23.85% vs -2.87% for VTILX, so VBR leads on 1-year performance. Over the longest common window we track (5 years), VBR annualized +8.04% vs -2.84% for VTILX. Past performance does not guarantee future results.

Which is riskier, VBR or VTILX?

VBR has been the more volatile fund at 19.0% annualized versus 6.0% for VTILX. Worst drawdown: VBR -64.0% vs VTILX -15.3%.

Should I hold both VBR and VTILX?

VBR and VTILX have a monthly-return correlation of 0.57, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VBR and VTILX?

VBR and VTILX share 0 common holdings with a 0.0% weight overlap. Combined, they hold 2268 unique securities.

Which pays a higher dividend, VBR or VTILX?

VBR yields 2.23% while VTILX yields 4.12%, so VTILX currently pays the higher dividend yield.

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