VTI vs XTOC

Quick Verdict

VTI has a lower expense ratio. VTI delivered stronger 1-year returns. VTI offers more diversification with 2783 holdings.

Lower Fees: VTIHigher Returns: VTIMore Diversified: VTI

Side-by-Side Comparison

MetricVTIXTOCWinner
Expense Ratio0.03%0.79%
AUM$663.5B$26M
Dividend Yield1.07%0.00%
Holdings3,5435
YTD Return+14.16%+9.93%
1Y Return+23.62%+15.04%
3Y Return (annualized)+21.43%+14.85%
5Y Return (annualized)+12.33%-
Volatility (annualized)15.3%13.1%
Max Drawdown-56.6%-24.1%
Fund FamilyVanguard (US)Innovator ETFs Trust
CategoryEquityAlternative
InceptionMay 24, 2001Sep 30, 2021

VTI vs XTOC Performance

Vanguard Total Stock Market ETF (VTI) is a ETF from Vanguard (US) and Innovator US Equity Accelerated Plus ETF - October (XTOC) is a ETF from Innovator ETFs Trust. Over the past year VTI returned +23.62% while XTOC returned +15.04%. Year to date, VTI is up 14.16% versus a gain of 9.93% for XTOC.

Over three years, VTI compounded at +21.43% per year against +14.85% for XTOC. Across the full 5-year window we track, XTOC has the edge at +8.92% annualized vs +8.14%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VTI has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 13.1% for XTOC. 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 -24.1% for XTOC. 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

VTI charges 0.03% per year while XTOC charges 0.79%. On a $10,000 position that is $3 vs $79 annually, a gap of $76 per year that compounds over a long holding period. On income, VTI currently yields 1.07% against 0.00% for XTOC.

Frequently Asked Questions

Which is cheaper, VTI or XTOC?

VTI has an expense ratio of 0.03% while XTOC charges 0.79%. VTI is the cheaper option. On a $10,000 investment, that is $76 per year of difference.

Which performed better, VTI or XTOC?

Over the past year VTI returned +23.62% vs +15.04% for XTOC, so VTI leads on 1-year performance. Over the longest common window we track (5 years), VTI annualized +8.14% vs +8.92% for XTOC. Past performance does not guarantee future results.

Which is riskier, VTI or XTOC?

VTI has been the more volatile fund at 15.3% annualized versus 13.1% for XTOC. Worst drawdown: VTI -56.6% vs XTOC -24.1%.

Should I hold both VTI and XTOC?

VTI and XTOC have a monthly-return correlation of 0.91, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

Which pays a higher dividend, VTI or XTOC?

VTI yields 1.07% while XTOC yields 0.00%, so VTI currently pays the higher dividend yield.

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