IAI vs VTI
iShares US Broker-Dealers & Securities Exchanges ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, IAI or VTI?
All Cap Blend against Large Cap Blend.
VTI has a lower expense ratio. IAI led over 3Y, VTI over 1Y, 5Y and the full window. VTI is less concentrated, with 33.5% of the fund in its ten largest positions against 74.3%.
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 | IAI | VTI |
|---|---|---|
| Expense Ratio | 0.37% | 0.03%Best |
| AUM | $1.3B | $689.2B |
| Dividend Yield | 1.21% | 1.06% |
| Holdings | 80 | 3,524 |
| YTD Return | -2.92% | +13.02%Best |
| 1Y Return | +2.56% | +16.63%Best |
| 3Y Return (annualized) | +25.78%Best | +21.97% |
| 5Y Return (annualized) | +11.41% | +11.99%Best |
| Volatility (annualized) | 22.6% | 15.7%Best |
| Max Drawdown | -75.8% | -56.6%Best |
| $10,000 over 5 years | $17,164 | $17,616Best |
| Top 10 Weight | 74.3% | 33.5%Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | All Cap Blend | Large Cap Blend |
| Inception | May 1, 2006 | May 24, 2001 |
Volatility and max drawdown are measured over the window both funds cover: May 5, 2006 to Oct 14, 2026 (20.4 years).
IAI 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 covers the 20.4 years both funds cover.
IAI vs VTI Performance
iShares US Broker-Dealers & Securities Exchanges ETF (IAI) 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 IAI returned +2.56% while VTI returned +16.63%. Year to date, IAI is down 2.92% versus a gain of 13.02% for VTI.
Over three years, IAI compounded at +25.78% per year against +21.97% for VTI; over five years the annualized figures are +11.41% and +11.99% respectively. Across the full 20-year window we track, VTI has the edge at +9.30% annualized vs +6.67%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IAI has been the more volatile fund, with annualized monthly volatility of 22.6% compared with 15.7% 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 -75.8% for IAI and -56.6% 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 0.84. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
IAI charges 0.37% per year while VTI charges 0.03%. On a $10,000 position that is $37 vs $3 annually, a gap of $34 per year that compounds over a long holding period. On income, IAI currently yields 1.21% against 1.06% for VTI.
Holdings Overlap
99.8% of IAI's money is in holdings VTI also owns. 2.1% of VTI's money is in holdings IAI also owns.
Most of IAI is already inside VTI. Owning both mostly buys the same companies twice.
34 positions in common, counted across the 36 positions we hold weights for in IAI and 3,441 in VTI, against full books of 80 and 3,524.
What only one of them owns
Our book lists 1,126 positions for VTI that do not appear in our book for IAI (95.4% of the fund), and 2 for IAI that do not appear in VTI (0.2%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in IAI | Weight in VTI | Difference |
|---|---|---|---|
| GSGoldman Sachs & Co Llc | 18.05% | 0.38% | 17.67% |
| MSMorgan Stanley | 15.51% | 0.34% | 15.17% |
| SCHWSchwab Strategic T | 9.53% | 0.25% | 9.28% |
| CMECme Group Inc. | 4.71% | 0.14% | 4.57% |
| ICEInterContinental Hotels Group PLC Ord Gbp0.208521303 | 4.72% | 0.12% | 4.60% |
| HOODRobinhood Mark-A | 4.70% | 0.11% | 4.59% |
| SPGIS&p Global Inc. | 4.53% | 0.17% | 4.36% |
| MCOMoody'S Corp. | 4.60% | 0.10% | 4.50% |
| COINCoinbase Global, Inc. | 4.08% | 0.05% | 4.03% |
| NDAQNasdaq Inc. | 3.92% | 0.07% | 3.85% |
99.8% of IAI is already inside VTI.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, IAI or VTI?
IAI has an expense ratio of 0.37% while VTI charges 0.03%. VTI is the cheaper option, by $34 a year on a $10,000 investment.
Which performed better, IAI or VTI?
Over the past year IAI returned +2.56% vs +16.63% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (20 years), IAI annualized +6.67% vs +9.30% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IAI or VTI?
IAI has been the more volatile fund at 22.6% annualized versus 15.7% for VTI. Worst drawdown: IAI -75.8% vs VTI -56.6%.
Should I hold both IAI and VTI?
IAI and VTI have a monthly-return correlation of 0.84, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between IAI and VTI?
99.8% of IAI's money is in holdings VTI also owns. 2.1% of VTI's is in holdings IAI also owns. They hold 34 positions in common, counted across the 36 positions we hold weights for in IAI and 3,441 in VTI.
Which pays a higher dividend, IAI or VTI?
IAI yields 1.21% while VTI yields 1.06%, so IAI currently pays the higher dividend yield.
Is VTI better than IAI?
VTI has a lower expense ratio. IAI led over 3Y, VTI over 1Y, 5Y and the full window. VTI is less concentrated, with 33.5% of the fund in its ten largest positions against 74.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.