VTI vs XBB
Vanguard Morningstar Total Stock Market ETF vs BondBloxx BB Rated USD High Yield Corporate Bond ETF
Which is better, VTI or XBB?
Large Cap Blend against Long Term High Quality.
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 | XBB |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.20% |
| AUM | $666.9B | $580M |
| Dividend Yield | 1.03% | 5.54% |
| Holdings | 3,543 | 1,006 |
| YTD Return | +12.57%Best | +1.11% |
| 1Y Return | +17.22%Best | +2.63% |
| 3Y Return (annualized) | +20.87%Best | +7.42% |
| 5Y Return (annualized) | +11.86% | - |
| Volatility (annualized) | 15.5% | 7.3%Best |
| Max Drawdown | -19.3% | -8.9%Best |
| $10,000 over 4.3 years | $19,708Best | $12,466 |
| Fund Family | Vanguard (US) | BondBloxx |
| Category | Equity | Fixed Income |
| Style | Large Cap Blend | Long Term High Quality |
| Inception | May 24, 2001 | May 24, 2022 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 4.3 years row, are measured over the window both funds cover: May 26, 2022 to Sep 11, 2026 (4.3 years).
VTI vs XBB 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 4.3 years both funds cover.
VTI vs XBB Performance
Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US) and BondBloxx BB Rated USD High Yield Corporate Bond ETF (XBB) is an ETF from BondBloxx. Over the past year VTI returned +17.22% while XBB returned +2.63%. Year to date, VTI is up 12.57% versus a gain of 1.11% for XBB.
Over three years, VTI compounded at +20.87% per year against +7.42% for XBB. Across the full 4-year window we track, VTI has the edge at +17.09% annualized vs +5.26%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 15.5% compared with 7.3% for XBB. 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 -8.9% for XBB. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.82. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VTI charges 0.03% per year while XBB charges 0.20%. On a $10,000 position that is $3 vs $20 annually, a gap of $17 per year that compounds over a long holding period. On income, VTI currently yields 1.03% against 5.54% for XBB.
Holdings Overlap
We hold position weights for 2,787 holdings in VTI and 685 in XBB, totalling 90.6% and 66.9% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 1 positions appear in both.
1 positions in common, counted across the 2,787 positions we hold weights for in VTI and 685 in XBB, against full books of 3,543 and 1,006.
Top Shared Holdings
| Stock | Weight in VTI | Weight in XBB | Difference |
|---|---|---|---|
| THCTenet Healthcare Corporation 6.13 06/15/2030 | 0.02% | 0.25% | 0.23% |
You are not choosing between two funds in isolation.
Whichever of VTI and XBB 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 XBB?
VTI has an expense ratio of 0.03% while XBB charges 0.20%. VTI is the cheaper option, by $17 a year on a $10,000 investment.
Which performed better, VTI or XBB?
Over the past year VTI returned +17.22% vs +2.63% for XBB, so VTI leads on 1-year performance. Over the longest common window we track (4 years), VTI annualized +17.09% vs +5.26% for XBB. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VTI or XBB?
VTI has been the more volatile fund at 15.5% annualized versus 7.3% for XBB. Worst drawdown: VTI -19.3% vs XBB -8.9%.
Should I hold both VTI and XBB?
VTI and XBB have a monthly-return correlation of 0.82, 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 XBB?
VTI yields 1.03% while XBB yields 5.54%, so XBB currently pays the higher dividend yield.
Is XBB 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.