GOVT vs VTI
iShares US Treasury Bond ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, GOVT or VTI?
VTI has been ahead.
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y 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 | GOVT | VTI |
|---|---|---|
| Expense Ratio | 0.05% | 0.03%Best |
| AUM | $41.9B | $689.2B |
| Dividend Yield | 3.79% | 1.06% |
| Holdings | 220 | 3,524 |
| YTD Return | -4.67% | +13.02%Best |
| 1Y Return | -5.12% | +16.63%Best |
| 3Y Return (annualized) | +2.50% | +21.97%Best |
| 5Y Return (annualized) | -1.57% | +11.99%Best |
| Volatility (annualized) | 4.5%Best | 14.4% |
| Max Drawdown | -23.4%Best | -35.0% |
| $10,000 over 5 years | $9,239 | $17,616Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Blend |
| Inception | Feb 14, 2012 | May 24, 2001 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Feb 24, 2012 to Oct 14, 2026 (14.6 years).
GOVT vs VTI 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
GOVT vs VTI Performance
iShares US Treasury Bond ETF (GOVT) is an ETF from iShares by BlackRock (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year GOVT returned -5.12% while VTI returned +16.63%. Year to date, GOVT is down 4.67% versus a gain of 13.02% for VTI.
Over three years, GOVT compounded at +2.50% per year against +21.97% for VTI; over five years the annualized figures are -1.57% and +11.99% respectively. Across the full 15-year window we track, VTI has the edge at +12.73% annualized vs +0.86%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VTI has been the more volatile fund, with annualized monthly volatility of 14.4% compared with 4.5% for GOVT. 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 -23.4% for GOVT and -35.0% for VTI. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.08. They move largely independently of each other.
Fees and Cost Over Time
GOVT charges 0.05% per year while VTI charges 0.03%. On a $10,000 position that is $5 vs $3 annually, a gap of $2 per year that compounds over a long holding period. On income, GOVT currently yields 3.79% against 1.06% for VTI.
Holdings Overlap
We hold position weights for 176 holdings in GOVT and 3,441 in VTI, totalling 80.3% and 98.1% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 176 positions we hold weights for in GOVT and 3,441 in VTI, against full books of 220 and 3,524.
You are not choosing between two funds in isolation.
Whichever of GOVT and VTI 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, GOVT or VTI?
GOVT has an expense ratio of 0.05% while VTI charges 0.03%. VTI is the cheaper option, by $2 a year on a $10,000 investment.
Which performed better, GOVT or VTI?
Over the past year GOVT returned -5.12% vs +16.63% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (15 years), GOVT annualized +0.86% vs +12.73% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, GOVT or VTI?
VTI has been the more volatile fund at 14.4% annualized versus 4.5% for GOVT. Worst drawdown: GOVT -23.4% vs VTI -35.0%.
Should I hold both GOVT and VTI?
GOVT and VTI have a monthly-return correlation of 0.08, 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, GOVT or VTI?
GOVT yields 3.79% while VTI yields 1.06%, so GOVT currently pays the higher dividend yield.
Is VTI better than GOVT?
VTI has a lower expense ratio. VTI led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.