TSME vs VTI
Thrivent Small-Mid Cap Equity ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, TSME or VTI?
Mid Cap Growth against Large Cap Blend.
VTI has a lower expense ratio. VTI led over 1Y, 3Y and the full window. TSME is less concentrated, with 20.5% 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 | TSME | VTI |
|---|---|---|
| Expense Ratio | 0.65% | 0.03%Best |
| AUM | $903M | $689.2B |
| Dividend Yield | 0.15% | 1.06% |
| Holdings | 148 | 3,524 |
| YTD Return | +6.89% | +13.02%Best |
| 1Y Return | +10.16% | +16.63%Best |
| 3Y Return (annualized) | +18.44% | +21.97%Best |
| 5Y Return (annualized) | - | +11.99% |
| Volatility (annualized) | 21.2% | 13.2%Best |
| Max Drawdown | -26.6% | -19.3%Best |
| $10,000 over 4 years | $17,716 | $20,902Best |
| Top 10 Weight | 20.5%Best | 33.5% |
| Fund Family | Thrivent Funds | Vanguard (US) |
| Category | Equity | Equity |
| Style | Mid Cap Growth | Large Cap Blend |
| Inception | Oct 5, 2022 | May 24, 2001 |
Volatility and max drawdown, and the $10,000 over 4 years row, are measured over the window both funds cover: Oct 5, 2022 to Oct 14, 2026 (4 years).
TSME 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 4 years both funds cover.
TSME vs VTI Performance
Thrivent Small-Mid Cap Equity ETF (TSME) is an ETF from Thrivent Funds and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year TSME returned +10.16% while VTI returned +16.63%. Year to date, TSME is up 6.89% versus a gain of 13.02% for VTI.
Over three years, TSME compounded at +18.44% per year against +21.97% for VTI. Across the full 4-year window we track, VTI has the edge at +20.24% annualized vs +15.37%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TSME has been the more volatile fund, with annualized monthly volatility of 21.2% compared with 13.2% 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 -26.6% for TSME 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 0.82. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
TSME charges 0.65% per year while VTI charges 0.03%. On a $10,000 position that is $65 vs $3 annually, a gap of $62 per year that compounds over a long holding period. On income, TSME currently yields 0.15% against 1.06% for VTI.
Holdings Overlap
84.6% of TSME's money is in holdings VTI also owns. 1.1% of VTI's money is in holdings TSME also owns.
Most of TSME is already inside VTI. Owning both mostly buys the same companies twice.
66 positions in common, counted across the 76 positions we hold weights for in TSME and 3,441 in VTI, against full books of 148 and 3,524.
What only one of them owns
Our book lists 1,116 positions for VTI that do not appear in our book for TSME (96.5% of the fund), and 5 for TSME that do not appear in VTI (7.8%).
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 TSME | Weight in VTI | Difference |
|---|---|---|---|
| LYTSLsi Industries, Inc. | 2.13% | 0.00% | 2.13% |
| WSTGWayside Technology Group Inc | 2.13% | 0.00% | 2.13% |
| ENVAEnova International Inc. (usd) | 2.12% | 0.01% | 2.11% |
| IDCCInterdigital Inc | 2.06% | 0.01% | 2.05% |
| AGMFederal Agricultural Mortgage Corp | 2.01% | 0.00% | 2.01% |
| OPCHOption Care Health Inc | 1.94% | 0.00% | 1.94% |
| PENGPenguin Solutions Inc Common Stock Usd.01 | 1.82% | 0.00% | 1.82% |
| CORCencora Inc | 1.71% | 0.08% | 1.63% |
| LFUSLittelfuse Inc | 1.73% | 0.01% | 1.72% |
| LHLabcorp Holdings Inc | 1.67% | 0.04% | 1.63% |
84.6% of TSME 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, TSME or VTI?
TSME has an expense ratio of 0.65% while VTI charges 0.03%. VTI is the cheaper option, by $62 a year on a $10,000 investment.
Which performed better, TSME or VTI?
Over the past year TSME returned +10.16% vs +16.63% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (4 years), TSME annualized +15.37% vs +20.24% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, TSME or VTI?
TSME has been the more volatile fund at 21.2% annualized versus 13.2% for VTI. Worst drawdown: TSME -26.6% vs VTI -19.3%.
Should I hold both TSME and VTI?
TSME and VTI have a monthly-return correlation of 0.82, 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 TSME and VTI?
84.6% of TSME's money is in holdings VTI also owns. 1.1% of VTI's is in holdings TSME also owns. They hold 66 positions in common, counted across the 76 positions we hold weights for in TSME and 3,441 in VTI.
Which pays a higher dividend, TSME or VTI?
TSME yields 0.15% while VTI yields 1.06%, so VTI currently pays the higher dividend yield.
Is VTI better than TSME?
VTI has a lower expense ratio. VTI led over 1Y, 3Y and the full window. TSME is less concentrated, with 20.5% 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.