VT vs VTCIX
Vanguard Total World Stock ETF vs Vanguard Tax-Managed Capital Appreciation Fund Institutional Shares
Which is better, VT or VTCIX?
Nearly the same fund. VTCIX costs less.
VTCIX has a lower expense ratio. VT led over 1Y, VTCIX over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97.
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 | VT | VTCIX |
|---|---|---|
| Expense Ratio | 0.06% | 0.03%Best |
| AUM | $78.6B | $5.2B |
| Dividend Yield | 1.60% | 0.93% |
| Holdings | 10,133 | 836 |
| YTD Price Return | +13.84%Best | +11.77% |
| 1Y Price Return | +21.35%Best | +19.22% |
| 3Y Price Return (annualized) | +18.44% | +19.24%Best |
| 5Y Price Return (annualized) | +8.49% | +10.70%Best |
| Volatility (annualized) | 15.0%Best | 15.9% |
| Max Drawdown | -28.0% | -26.0%Best |
| $10,000 over 5 years | $15,030 | $16,624Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Jun 24, 2008 | Feb 24, 1999 |
Not shown on this pair: Top 10 Weight.
Returns are price returns and exclude distributions, because our data feed carries no adjusted close for VTCIX. Both funds are measured the same way, so the comparison holds. VT yields 1.60% and VTCIX 0.93% on top.
Volatility and max drawdown are measured over the window both funds cover: Sep 7, 2021 to Sep 2, 2026 (5 years).
VT vs VTCIX 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 5 years both funds cover. Prices exclude distributions, on both funds alike.
VT vs VTCIX Performance
Vanguard Total World Stock ETF (VT) is an ETF from Vanguard (US) and Vanguard Tax-Managed Capital Appreciation Fund Institutional Shares (VTCIX) is a mutual fund from Vanguard (US). Over the past year VT returned +21.35% while VTCIX returned +19.22%. Year to date, VT is up 13.84% versus a gain of 11.77% for VTCIX.
Over three years, VT compounded at +18.44% per year against +19.24% for VTCIX; over five years the annualized figures are +8.49% and +10.70% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTCIX has been the more volatile fund, with annualized monthly volatility of 15.9% compared with 15.0% 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 -28.0% for VT and -26.0% for VTCIX. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.97. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
VT charges 0.06% per year while VTCIX charges 0.03%. On a $10,000 position that is $6 vs $3 annually, a gap of $3 per year that compounds over a long holding period. On income, VT currently yields 1.60% against 0.93% for VTCIX.
Structure and taxes
VTCIX is a mutual fund and VT is an ETF. A mutual fund prices once a day at net asset value and may carry a purchase minimum. An ETF trades through the day at whatever the market pays for it.
In a taxable account the difference that usually matters is distributions. An ETF can meet redemptions in kind, so it rarely has to sell holdings and rarely passes a capital gain to the people who held it; a mutual fund that sells holdings to meet redemptions can distribute a realised gain at year end to everyone still in the fund, whether or not they sold anything themselves. In a tax-deferred account that difference largely disappears. Both are descriptions of how the two wrappers work, not a recommendation.
Tax-loss harvesting works on either wrapper.
Holdings Overlap
At least 94.3% of VTCIX's money is in holdings VT also owns.
Stated as a floor: for VT, our book for it covers 90.3% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
Most of VTCIX is already inside VT. Owning both mostly buys the same companies twice.
825 positions in common, counted across the 9,272 positions we hold weights for in VT and 885 in VTCIX, against full books of 10,133 and 836.
Top Shared Holdings
| Stock | Weight in VT | Weight in VTCIX | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 4.00% | 6.77% | 2.77% |
| AAPLApple, Inc | 3.59% | 6.06% | 2.47% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 2.38% | 3.91% | 1.53% |
| AMZNAmazon.Com Inc | 1.98% | 3.30% | 1.32% |
| GOOGAlphabet Inc. C | 1.81% | 2.45% | 0.64% |
| AVGOBroadcom Inc | 1.51% | 2.51% | 1.00% |
| MUMicron Technology, Inc. | 1.12% | 1.84% | 0.72% |
| METAMeta Platform Inc | 1.06% | 1.79% | 0.73% |
| TSLATesla Motors Inc | 1.05% | 1.75% | 0.70% |
| LLYEli Lilly & Co. | 0.82% | 1.40% | 0.58% |
94.3% of VTCIX is already inside VT.
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, VT or VTCIX?
VT has an expense ratio of 0.06% while VTCIX charges 0.03%. VTCIX is the cheaper option, by $3 a year on a $10,000 investment.
Which performed better, VT or VTCIX?
Over the past year VT returned +21.35% vs +19.22% for VTCIX, so VT leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VT or VTCIX?
VTCIX has been the more volatile fund at 15.9% annualized versus 15.0% for VT. Worst drawdown: VT -28.0% vs VTCIX -26.0%.
Should I hold both VT and VTCIX?
VT and VTCIX have a monthly-return correlation of 0.97, 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 VT and VTCIX?
At least 94.3% of VTCIX's money is in holdings VT also owns. Our book for VT is partial, so the real figure is this or higher. They hold 825 positions in common, counted across the 9,272 positions we hold weights for in VT and 885 in VTCIX.
Which pays a higher dividend, VT or VTCIX?
VT yields 1.60% while VTCIX yields 0.93%, so VT currently pays the higher dividend yield.
Is it better to hold VTCIX or VT in a taxable account?
VT is an ETF and VTCIX is a mutual fund. An ETF can meet redemptions in kind, so it rarely distributes a capital gain to the people holding it. A mutual fund that sells holdings to meet redemptions can pass a realised gain to every holder at year end. In a tax-deferred account that difference largely disappears. This is information, not a recommendation.
Is VTCIX better than VT?
VTCIX has a lower expense ratio. VT led over 1Y, VTCIX over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. Which one suits a particular account depends on what it is for. This is information, not a recommendation.