VTI vs XLY
Vanguard Morningstar Total Stock Market ETF vs State Street Consumer Discretionary Select Sector SPDR ETF
Which is better, VTI or XLY?
Large Cap Blend against Large Cap Growth.
VTI has a lower expense ratio. VTI led over 1Y, 3Y and 5Y, XLY over the full window. The two have moved almost in lockstep, correlation 0.90. VTI is less concentrated, with 33.5% of the fund in its ten largest positions against 68.6%.
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 | VTI | XLY |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.08% |
| AUM | $689.2B | $21.5B |
| Dividend Yield | 1.06% | 0.77% |
| Holdings | 3,524 | 100 |
| YTD Return | +13.02%Best | -5.20% |
| 1Y Return | +16.63%Best | -4.06% |
| 3Y Return (annualized) | +21.97%Best | +12.29% |
| 5Y Return (annualized) | +11.99%Best | +4.55% |
| Volatility (annualized) | 15.3%Best | 18.9% |
| Max Drawdown | -56.6%Best | -60.1% |
| $10,000 over 5 years | $17,616Best | $12,492 |
| Top 10 Weight | 33.5%Best | 68.6% |
| Fund Family | Vanguard (US) | SPDR State Street Global Advisors |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | May 24, 2001 | Dec 16, 1998 |
Volatility and max drawdown are measured over the window both funds cover: May 31, 2001 to Oct 14, 2026 (25.4 years).
VTI vs XLY 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 25.4 years both funds cover.
VTI vs XLY Performance
Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US) and State Street Consumer Discretionary Select Sector SPDR ETF (XLY) is an ETF from SPDR State Street Global Advisors. Over the past year VTI returned +16.63% while XLY returned -4.06%. Year to date, VTI is up 13.02% versus a loss of 5.20% for XLY.
Over three years, VTI compounded at +21.97% per year against +12.29% for XLY; over five years the annualized figures are +11.99% and +4.55% respectively. Across the full 25-year window we track, XLY has the edge at +8.73% annualized vs +8.04%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XLY has been the more volatile fund, with annualized monthly volatility of 18.9% compared with 15.3% 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 -56.6% for VTI and -60.1% for XLY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.90. 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 XLY charges 0.08%. On a $10,000 position that is $3 vs $8 annually, a gap of $5 per year that compounds over a long holding period. On income, VTI currently yields 1.06% against 0.77% for XLY.
Holdings Overlap
8.1% of VTI's money is in holdings XLY also owns. 98.9% of XLY's money is in holdings VTI also owns.
Most of XLY is already inside VTI. Owning both mostly buys the same companies twice.
45 positions in common, counted across the 3,441 positions we hold weights for in VTI and 48 in XLY, against full books of 3,524 and 100.
What only one of them owns
Our book lists 2 positions for XLY that do not appear in our book for VTI (0.3% of the fund), and 1,111 for VTI that do not appear in XLY (89.5%).
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 VTI | Weight in XLY | Difference |
|---|---|---|---|
| AMZNAmazon.Com Inc | 3.41% | 24.91% | 21.50% |
| TSLATesla Inc | 1.40% | 17.75% | 16.35% |
| HDHome Depot Inc/The | 0.44% | 5.31% | 4.87% |
| MCDMcdonald'S Corp | 0.25% | 4.04% | 3.79% |
| BKNGBooking Holdings, Inc. | 0.21% | 3.49% | 3.28% |
| TJXTjx Cos., Inc. | 0.20% | 3.40% | 3.20% |
| SBUXStarbucks Corp | 0.16% | 2.91% | 2.75% |
| LOWLowes Cos., Inc. | 0.16% | 2.85% | 2.69% |
| GMGeneral Motors Co | 0.11% | 2.00% | 1.89% |
| DASHDoordash Inc - A | 0.12% | 1.98% | 1.86% |
98.9% of XLY 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, VTI or XLY?
VTI has an expense ratio of 0.03% while XLY charges 0.08%. VTI is the cheaper option, by $5 a year on a $10,000 investment.
Which performed better, VTI or XLY?
Over the past year VTI returned +16.63% vs -4.06% for XLY, so VTI leads on 1-year performance. Over the longest common window we track (25 years), VTI annualized +8.04% vs +8.73% for XLY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VTI or XLY?
XLY has been the more volatile fund at 18.9% annualized versus 15.3% for VTI. Worst drawdown: VTI -56.6% vs XLY -60.1%.
Should I hold both VTI and XLY?
VTI and XLY have a monthly-return correlation of 0.90, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between VTI and XLY?
98.9% of XLY's money is in holdings VTI also owns. 98.9% of XLY's is in holdings VTI also owns. They hold 45 positions in common, counted across the 3,441 positions we hold weights for in VTI and 48 in XLY.
Which pays a higher dividend, VTI or XLY?
VTI yields 1.06% while XLY yields 0.77%, so VTI currently pays the higher dividend yield.
Is XLY better than VTI?
VTI has a lower expense ratio. VTI led over 1Y, 3Y and 5Y, XLY over the full window. The two have moved almost in lockstep, correlation 0.90. VTI is less concentrated, with 33.5% of the fund in its ten largest positions against 68.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.