VFQY vs VTI

VFQY vs VTI

Which is better, VFQY or VTI?

Mid Cap Blend against Large Cap Blend.

VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. VFQY is less concentrated, with 15.3% of the fund in its ten largest positions against 33.3%.

Lower Fees: VTIHigher Returns: VTILess Concentrated: VFQY

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

MetricVFQYVTI
Expense Ratio0.13%0.03%Best
AUM$501M$666.9B
Dividend Yield1.02%1.03%
Holdings4523,543
YTD Return+11.17%+13.10%Best
1Y Return+13.65%+17.01%Best
3Y Return (annualized)+16.22%+22.26%Best
5Y Return (annualized)+8.47%+11.98%Best
Volatility (annualized)18.2%16.8%Best
Max Drawdown-37.4%-35.0%Best
$10,000 over 5 years$15,016$17,608Best
Top 10 Weight15.3%Best33.3%
Fund FamilyVanguard (US)Vanguard (US)
CategoryEquityEquity
StyleMid Cap BlendLarge Cap Blend
InceptionFeb 13, 2018May 24, 2001

Volatility and max drawdown are measured over the window both funds cover: Feb 15, 2018 to Sep 24, 2026 (8.6 years).

VFQY 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.

VFQY vs VTI Performance

Vanguard US Quality Factor ETF (VFQY) is an ETF from Vanguard (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year VFQY returned +13.65% while VTI returned +17.01%. Year to date, VFQY is up 11.17% versus a gain of 13.10% for VTI.

Over three years, VFQY compounded at +16.22% per year against +22.26% for VTI; over five years the annualized figures are +8.47% and +11.98% respectively. Across the full 9-year window we track, VTI has the edge at +13.24% annualized vs +11.13%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VFQY has been the more volatile fund, with annualized monthly volatility of 18.2% 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 -37.4% for VFQY 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

VFQY 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, VFQY currently yields 1.02% against 1.03% for VTI.

Holdings Overlap

VFQY already in VTI95.2%
VTI already in VFQY33.4%

95.2% of VFQY's money is in holdings VTI also owns. 33.4% of VTI's money is in holdings VFQY also owns.

Most of VFQY is already inside VTI. Owning both mostly buys the same companies twice.

449 positions in common, counted across the 469 positions we hold weights for in VFQY and 3,463 in VTI, against full books of 452 and 3,543.

What only one of them owns

Our book lists 917 positions for VTI that do not appear in our book for VFQY (64.1% of the fund), and 14 for VFQY that do not appear in VTI (3.8%).

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

StockWeight in VFQYWeight in VTIDifference
AAPLApple, Inc1.53%6.29%4.76%
NVDANvidia Corp0.43%6.40%5.97%
LLYEli Lilly & Co.1.10%1.35%0.25%
JPMJpmorgan Chase0.80%1.31%0.51%
SNDKSandisk Corp/De1.79%0.25%1.54%
GILDGilead Sciences1.61%0.22%1.39%
METAMeta Platforms Inc0.07%1.70%1.63%
COSTCostco Wholesale Corp.1.17%0.59%0.58%
WDCWestern Digital Corp Company Guar 11/28 31.46%0.26%1.20%
FTNTFortinet Inc1.55%0.14%1.41%

95.2% of VFQY 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.

VFQYVTI

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Frequently Asked Questions

Which is cheaper, VFQY or VTI?

VFQY 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, VFQY or VTI?

Over the past year VFQY returned +13.65% vs +17.01% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (9 years), VFQY annualized +11.13% vs +13.24% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, VFQY or VTI?

VFQY has been the more volatile fund at 18.2% annualized versus 16.8% for VTI. Worst drawdown: VFQY -37.4% vs VTI -35.0%.

Should I hold both VFQY and VTI?

VFQY and VTI have a monthly-return correlation of 0.95, 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 VFQY and VTI?

95.2% of VFQY's money is in holdings VTI also owns. 33.4% of VTI's is in holdings VFQY also owns. They hold 449 positions in common, counted across the 469 positions we hold weights for in VFQY and 3,463 in VTI.

Which pays a higher dividend, VFQY or VTI?

VFQY yields 1.02% while VTI yields 1.03%, so VTI currently pays the higher dividend yield.

Is VTI better than VFQY?

VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. VFQY is less concentrated, with 15.3% 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.