VIITX vs VTV

Quick Verdict

VIITX has a lower expense ratio. VTV delivered stronger 1-year returns. VIITX offers more diversification with 1185 holdings.

Lower Fees: VIITXHigher Returns: VTVMore Diversified: VIITX

Side-by-Side Comparison

MetricVIITXVTVWinner
Expense Ratio0.02%0.03%
AUM-$186.1B
Dividend Yield4.56%2.29%
Holdings2,599311
YTD Return-2.03%+18.60%
1Y Return-1.44%+28.75%
3Y Return (annualized)+0.54%+18.63%
5Y Return (annualized)-2.33%+12.39%
Volatility (annualized)4.2%14.5%
Max Drawdown-15.0%-61.3%
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionDec 1, 1997Jan 26, 2004

VIITX vs VTV Performance

Vanguard Institutional Intermediate Term Bond Fund Institutional Plus Class (VIITX) is a mutual fund from Vanguard (US) and Vanguard Value ETF (VTV) is a ETF from Vanguard (US). Over the past year VIITX returned -1.44% while VTV returned +28.75%. Year to date, VIITX is down 2.03% versus a gain of 18.60% for VTV.

Over three years, VIITX compounded at +0.54% per year against +18.63% for VTV; over five years the annualized figures are -2.33% and +12.39% respectively. Across the full 5-year window we track, VTV has the edge at +7.62% annualized vs -2.33%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VTV has been the more volatile fund, with annualized monthly volatility of 14.5% compared with 4.2% for VIITX. 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 -15.0% for VIITX and -61.3% for VTV. 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 0.54. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VIITX charges 0.02% per year while VTV charges 0.03%. On a $10,000 position that is $2 vs $3 annually, a gap of $1 per year that compounds over a long holding period. On income, VIITX currently yields 4.56% against 2.29% for VTV.

Holdings Overlap

0.1%overlap

VIITX and VTV share 1 holdings out of 1492 unique holdings combined, representing a 0.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in VIITXWeight in VTVDifference
CAH0.08%0.21%0.13%

Frequently Asked Questions

Which is cheaper, VIITX or VTV?

VIITX has an expense ratio of 0.02% while VTV charges 0.03%. VIITX is the cheaper option. On a $10,000 investment, that is $1 per year of difference.

Which performed better, VIITX or VTV?

Over the past year VIITX returned -1.44% vs +28.75% for VTV, so VTV leads on 1-year performance. Over the longest common window we track (5 years), VIITX annualized -2.33% vs +7.62% for VTV. Past performance does not guarantee future results.

Which is riskier, VIITX or VTV?

VTV has been the more volatile fund at 14.5% annualized versus 4.2% for VIITX. Worst drawdown: VIITX -15.0% vs VTV -61.3%.

Should I hold both VIITX and VTV?

VIITX and VTV have a monthly-return correlation of 0.54, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VIITX and VTV?

VIITX and VTV share 1 common holdings with a 0.1% weight overlap. Combined, they hold 1492 unique securities.

Which pays a higher dividend, VIITX or VTV?

VIITX yields 4.56% while VTV yields 2.29%, so VIITX currently pays the higher dividend yield.

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