VTI vs XCEM

VTI vs XCEM
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Quick Verdict

VTI has a lower expense ratio. XCEM delivered stronger 1-year returns. VTI offers more diversification with 3,543 holdings.

Lower Fees: VTIHigher Returns: XCEMMore Diversified: VTI

Side-by-Side Comparison

MetricVTIXCEMWinner
Expense Ratio0.03%0.16%
AUM$666.9B$2.0B
Dividend Yield1.07%2.77%
Holdings3,543471
YTD Return+12.65%+28.29%
1Y Return+21.39%+50.71%
3Y Return (annualized)+21.54%+24.59%
5Y Return (annualized)+12.11%+12.27%
Volatility (annualized)15.3%19.6%
Max Drawdown-56.6%-41.2%
Fund FamilyVanguard (US)Columbia Threadneedle Investments
CategoryEquityEquity
InceptionMay 24, 2001Sep 1, 2015

VTI vs XCEM Performance

Vanguard Morningstar Total Stock Market ETF (VTI) is a ETF from Vanguard (US) and Columbia EM Core ex-China ETF (XCEM) is a ETF from Columbia Threadneedle Investments. Over the past year VTI returned +21.39% while XCEM returned +50.71%. Year to date, VTI is up 12.65% versus a gain of 28.29% for XCEM.

Over three years, VTI compounded at +21.54% per year against +24.59% for XCEM; over five years the annualized figures are +12.11% and +12.27% respectively. Across the full 11-year window we track, XCEM has the edge at +11.84% annualized vs +8.07%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

XCEM has been the more volatile fund, with annualized monthly volatility of 19.6% compared with 15.3% 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 -56.6% for VTI and -41.2% for XCEM. 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 0.73. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

VTI charges 0.03% per year while XCEM charges 0.16%. On a $10,000 position that is $3 vs $16 annually, a gap of $13 per year that compounds over a long holding period. On income, VTI currently yields 1.07% against 2.77% for XCEM.

Holdings Overlap

0.0%overlap

VTI and XCEM share 0 holdings out of 3230 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, VTI or XCEM?

VTI has an expense ratio of 0.03% while XCEM charges 0.16%. VTI is the cheaper option. On a $10,000 investment, that is $13 per year of difference.

Which performed better, VTI or XCEM?

Over the past year VTI returned +21.39% vs +50.71% for XCEM, so XCEM leads on 1-year performance. Over the longest common window we track (11 years), VTI annualized +8.07% vs +11.84% for XCEM. Past performance does not guarantee future results.

Which is riskier, VTI or XCEM?

XCEM has been the more volatile fund at 19.6% annualized versus 15.3% for VTI. Worst drawdown: VTI -56.6% vs XCEM -41.2%.

Should I hold both VTI and XCEM?

VTI and XCEM have a monthly-return correlation of 0.73, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VTI and XCEM?

VTI and XCEM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 3230 unique securities.

Which pays a higher dividend, VTI or XCEM?

VTI yields 1.07% while XCEM yields 2.77%, so XCEM currently pays the higher dividend yield.

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