VFMO vs VTI
Vanguard US Momentum Factor ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, VFMO or VTI?
Mid Cap Growth against Large Cap Blend.
VTI has a lower expense ratio. VFMO led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.90. VFMO is less concentrated, with 8.8% of the fund in its ten largest positions against 33.3%.
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 | VFMO | VTI |
|---|---|---|
| Expense Ratio | 0.13% | 0.03%Best |
| AUM | $1.9B | $666.9B |
| Dividend Yield | 0.62% | 1.03% |
| Holdings | 673 | 3,543 |
| YTD Return | +16.77%Best | +12.30% |
| 1Y Return | +19.22%Best | +16.08% |
| 3Y Return (annualized) | +25.85%Best | +21.01% |
| 5Y Return (annualized) | +13.34%Best | +12.36% |
| Volatility (annualized) | 20.2% | 16.8%Best |
| Max Drawdown | -36.8% | -35.0%Best |
| $10,000 over 5 years | $18,703Best | $17,908 |
| Top 10 Weight | 8.8%Best | 33.3% |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Mid Cap Growth | Large Cap Blend |
| Inception | Feb 13, 2018 | May 24, 2001 |
Volatility and max drawdown are measured over the window both funds cover: Feb 15, 2018 to Sep 18, 2026 (8.6 years).
VFMO 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 8.6 years both funds cover.
VFMO vs VTI Performance
Vanguard US Momentum Factor ETF (VFMO) is an ETF from Vanguard (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year VFMO returned +19.22% while VTI returned +16.08%. Year to date, VFMO is up 16.77% versus a gain of 12.30% for VTI.
Over three years, VFMO compounded at +25.85% per year against +21.01% for VTI; over five years the annualized figures are +13.34% and +12.36% respectively. Across the full 9-year window we track, VFMO has the edge at +14.36% annualized vs +13.17%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VFMO has been the more volatile fund, with annualized monthly volatility of 20.2% compared with 16.8% 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 -36.8% for VFMO 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 0.90. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
VFMO charges 0.13% per year while VTI charges 0.03%. On a $10,000 position that is $13 vs $3 annually, a gap of $10 per year that compounds over a long holding period. On income, VFMO currently yields 0.62% against 1.03% for VTI.
Holdings Overlap
93.7% of VFMO's money is in holdings VTI also owns. 35.3% of VTI's money is in holdings VFMO also owns.
Most of VFMO is already inside VTI. Owning both mostly buys the same companies twice.
638 positions in common, counted across the 694 positions we hold weights for in VFMO and 3,463 in VTI, against full books of 673 and 3,543.
What only one of them owns
Our book lists 834 positions for VTI that do not appear in our book for VFMO (62.4% of the fund), and 25 for VFMO that do not appear in VTI (2.7%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in VFMO | Weight in VTI | Difference |
|---|---|---|---|
| AAPLApple, Inc | 0.44% | 6.29% | 5.85% |
| GOOGAlphabet Inc | 0.20% | 2.31% | 2.11% |
| MUMicron Technology, Inc. | 0.89% | 1.29% | 0.40% |
| AMDAdvanced Micro Devices Inc | 0.81% | 1.08% | 0.27% |
| LLYEli Lilly & Co. | 0.53% | 1.35% | 0.82% |
| JNJJohnson & Johnson - Common | 0.76% | 0.86% | 0.10% |
| XOMExxon Mobil Corp. | 0.59% | 0.89% | 0.30% |
| AMATApplied Materials, Inc. | 0.77% | 0.56% | 0.21% |
| SNDKSandisk Corp/De | 1.03% | 0.25% | 0.78% |
| LRCXLam Research Corp | 0.71% | 0.51% | 0.20% |
93.7% of VFMO 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, VFMO or VTI?
VFMO has an expense ratio of 0.13% while VTI charges 0.03%. VTI is the cheaper option, by $10 a year on a $10,000 investment.
Which performed better, VFMO or VTI?
Over the past year VFMO returned +19.22% vs +16.08% for VTI, so VFMO leads on 1-year performance. Over the longest common window we track (9 years), VFMO annualized +14.36% vs +13.17% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VFMO or VTI?
VFMO has been the more volatile fund at 20.2% annualized versus 16.8% for VTI. Worst drawdown: VFMO -36.8% vs VTI -35.0%.
Should I hold both VFMO and VTI?
VFMO and VTI have a monthly-return correlation of 0.90, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between VFMO and VTI?
93.7% of VFMO's money is in holdings VTI also owns. 35.3% of VTI's is in holdings VFMO also owns. They hold 638 positions in common, counted across the 694 positions we hold weights for in VFMO and 3,463 in VTI.
Which pays a higher dividend, VFMO or VTI?
VFMO yields 0.62% while VTI yields 1.03%, so VTI currently pays the higher dividend yield.
Is VTI better than VFMO?
VTI has a lower expense ratio. VFMO led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.90. VFMO is less concentrated, with 8.8% of the fund in its ten largest positions against 33.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.