MSSM vs VTI
Morgan Stanley Pathway Small-Mid Cap Equity ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, MSSM or VTI?
Small Cap Blend against Large Cap Blend.
VTI has a lower expense ratio. VTI led over 1Y and the full window. MSSM is less concentrated, with 6.2% of the fund in its ten largest positions against 33.5%.
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 | MSSM | VTI |
|---|---|---|
| Expense Ratio | 0.62% | 0.03%Best |
| AUM | $688M | $689.2B |
| Dividend Yield | 2.81% | 1.06% |
| Holdings | 2,229 | 3,524 |
| YTD Return | +9.46% | +13.02%Best |
| 1Y Return | +13.05% | +16.63%Best |
| 3Y Return (annualized) | - | +21.97% |
| 5Y Return (annualized) | - | +11.99% |
| Volatility (annualized) | 15.4% | 12.5%Best |
| Max Drawdown | -24.2% | -19.3%Best |
| $10,000 over 1.8 years | $11,591 | $12,766Best |
| Top 10 Weight | 6.2%Best | 33.5% |
| Fund Family | Morgan Stanley | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Blend |
| Inception | Dec 9, 2024 | May 24, 2001 |
Volatility and max drawdown, and the $10,000 over 1.8 years row, are measured over the window both funds cover: Dec 9, 2024 to Oct 14, 2026 (1.8 years).
MSSM 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 1.8 years both funds cover.
MSSM vs VTI Performance
Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM) is an ETF from Morgan Stanley and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year MSSM returned +13.05% while VTI returned +16.63%. Year to date, MSSM is up 9.46% versus a gain of 13.02% for VTI.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
MSSM has been the more volatile fund, with annualized monthly volatility of 15.4% compared with 12.5% 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 -24.2% for MSSM and -19.3% 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 0.86. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
MSSM charges 0.62% per year while VTI charges 0.03%. On a $10,000 position that is $62 vs $3 annually, a gap of $59 per year that compounds over a long holding period. On income, MSSM currently yields 2.81% against 1.06% for VTI.
Holdings Overlap
89.9% of MSSM's money is in holdings VTI also owns. 9.9% of VTI's money is in holdings MSSM also owns.
Most of MSSM is already inside VTI. Owning both mostly buys the same companies twice.
1,678 positions in common, counted across the 1,822 positions we hold weights for in MSSM and 3,441 in VTI, against full books of 2,229 and 3,524.
What only one of them owns
Our book lists 459 positions for VTI that do not appear in our book for MSSM (87.8% of the fund), and 69 for MSSM that do not appear in VTI (4.8%).
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 MSSM | Weight in VTI | Difference |
|---|---|---|---|
| DTDynatrace Inc | 0.92% | 0.02% | 0.90% |
| VSATViasat Inc | 0.67% | 0.01% | 0.66% |
| VECOVeeco Instruments Inc | 0.67% | 0.00% | 0.67% |
| KBRKbr Inc | 0.59% | 0.01% | 0.58% |
| MRNAModerna therapeutics | 0.51% | 0.07% | 0.44% |
| 0RMV:LNTechnipfmc Plc Ordinary Shares | 0.53% | 0.04% | 0.49% |
| RMBSRambus Inc | 0.55% | 0.01% | 0.54% |
| PLXSPlexus Corp | 0.53% | 0.01% | 0.52% |
| HAEHaemonetics Corp | 0.52% | 0.01% | 0.51% |
| ITTItt Inc | 0.50% | 0.02% | 0.48% |
89.9% of MSSM 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, MSSM or VTI?
MSSM has an expense ratio of 0.62% while VTI charges 0.03%. VTI is the cheaper option, by $59 a year on a $10,000 investment.
Which performed better, MSSM or VTI?
Over the past year MSSM returned +13.05% vs +16.63% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (2 years), MSSM annualized +8.55% vs +14.53% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, MSSM or VTI?
MSSM has been the more volatile fund at 15.4% annualized versus 12.5% for VTI. Worst drawdown: MSSM -24.2% vs VTI -19.3%.
Should I hold both MSSM and VTI?
MSSM and VTI have a monthly-return correlation of 0.86, 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 MSSM and VTI?
89.9% of MSSM's money is in holdings VTI also owns. 9.9% of VTI's is in holdings MSSM also owns. They hold 1,678 positions in common, counted across the 1,822 positions we hold weights for in MSSM and 3,441 in VTI.
Which pays a higher dividend, MSSM or VTI?
MSSM yields 2.81% while VTI yields 1.06%, so MSSM currently pays the higher dividend yield.
Is VTI better than MSSM?
VTI has a lower expense ratio. VTI led over 1Y and the full window. MSSM is less concentrated, with 6.2% of the fund in its ten largest positions against 33.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.