VTI vs WABF
Vanguard Morningstar Total Stock Market ETF vs Western Asset Bond ETF
Which is better, VTI or WABF?
Large Cap Blend against High Yield Bond.
VTI has a lower expense ratio. VTI led over 1Y, 3Y and the full window.
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 | VTI | WABF |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.35% |
| AUM | $666.9B | $16M |
| Dividend Yield | 1.03% | 5.27% |
| Holdings | 3,543 | 449 |
| YTD Return | +11.06%Best | -1.67% |
| 1Y Return | +15.41%Best | -1.25% |
| 3Y Return (annualized) | +20.48%Best | +4.70% |
| 5Y Return (annualized) | +11.52% | - |
| Volatility (annualized) | 12.9% | 6.5%Best |
| Max Drawdown | -19.3% | -5.4%Best |
| $10,000 over 3 years | $18,020Best | $11,477 |
| Fund Family | Vanguard (US) | Franklin Templeton Investments (US) |
| Category | Equity | Fixed Income |
| Style | Large Cap Blend | High Yield Bond |
| Inception | May 24, 2001 | Sep 19, 2023 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 3 years row, are measured over the window both funds cover: Sep 21, 2023 to Sep 16, 2026 (3 years).
VTI vs WABF 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 3 years both funds cover.
VTI vs WABF Performance
Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US) and Western Asset Bond ETF (WABF) is an ETF from Franklin Templeton Investments (US). Over the past year VTI returned +15.41% while WABF returned -1.25%. Year to date, VTI is up 11.06% versus a loss of 1.67% for WABF.
Over three years, VTI compounded at +20.48% per year against +4.70% for WABF.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 12.9% compared with 6.5% for WABF. 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 -19.3% for VTI and -5.4% for WABF. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.57. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VTI charges 0.03% per year while WABF charges 0.35%. On a $10,000 position that is $3 vs $35 annually, a gap of $32 per year that compounds over a long holding period. On income, VTI currently yields 1.03% against 5.27% for WABF.
You are not choosing between two funds in isolation.
Whichever of VTI and WABF you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, VTI or WABF?
VTI has an expense ratio of 0.03% while WABF charges 0.35%. VTI is the cheaper option, by $32 a year on a $10,000 investment.
Which performed better, VTI or WABF?
Over the past year VTI returned +15.41% vs -1.25% for WABF, so VTI leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VTI or WABF?
VTI has been the more volatile fund at 12.9% annualized versus 6.5% for WABF. Worst drawdown: VTI -19.3% vs WABF -5.4%.
Should I hold both VTI and WABF?
VTI and WABF have a monthly-return correlation of 0.57, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, VTI or WABF?
VTI yields 1.03% while WABF yields 5.27%, so WABF currently pays the higher dividend yield.
Is WABF better than VTI?
VTI has a lower expense ratio. VTI led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.