VIXY vs VTV Fund Comparison

A comparison between VIXY and VTV based on their expense ratio, growth, holdings and how well they match their benchmark performance.

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Minafi's Take on VIXY vs VTV

Here's an in depth look at the differences between ProShares VIX Short-Term Futures ETF ($VIXY) and Vanguard Value Index Fund ETF Shares ($VTV).

To start off, here's a look at the basics of each fund. Keep an eye on the FI Score. That's a custom score from 0 to 100 that we generate based on how good this fund is for the casual investor. Most investors only need a handful of total funds in their portfolio. The higher the score, the more likely this is one of those few. Score alone isn't enough! Keep reading on to see how different (or perhaps similar) these two funds are.

46% FI Score
  • vixy
  • ETF
  • Alternative
  • Volatility

ProShares VIX Short-Term Futures ETF

Expenses: 0.87% (Better than 1% of similar funds)

This is a bad choice for a Volatility Alternative fund. See why »

88% FI Score
  • vtv
  • ETF
  • US Stocks
  • Large Value

Vanguard Value Index Fund ETF Shares

Expenses: 0.04% (Better than 1% of similar funds)

This is an OK choice for a Large Value US Stocks fund. See why »

Both $VIXY and $VTV are categorized as ETFs. ETFs have an added bonus over mutual funds of being more widely available. Mutual funds are often limited to only the issuing investment brokerage. Since these are both ETFs, you may be able to find these at a wider number of investment apps and websites.

The biggest disadvantage of ETFs is that some platforms only allow you to purchase ETFs in whole shares. So if an ETF is going for $75, you may need to invest in increments of $75. Most 401(k)'s allow for investing down to the penny, but you'll want to verify your platform allows for "fractional ETF Shares".

To learn more about the difference between these two, you can read about the difference between ETFs and Mutual Funds.

When evaluating a fund, the first things I look at are:

  • What it invests in
  • How much it charges in fees
  • How large the fund is

Let's look into these criteria one by one and see if either of these funds stands out.

Fund Holdings Comparison

Minafi's FI Score algorithm takes into account the category and market. The more niche a fund is, the lower the score. This doesn't mean it's a worse fund, but it does mean you should stop and make sure this a fund you need to diversify your portfolio.

VIXY VTV
Market Score 6.0 /10 10.0 /10
Category Score 0.0 /10 8.0 /10
Total 6.0 18.0

A score of 10 means this is a solid market and category that almost every investor will want to have investments in. The lower the score, the more specific the investment. These scores are based on when most investors would add these funds to their portfolio. A score of 10 means that this fund (or one like it) belongs in a three-fund portfolio. The lower the score, the farther down in your portfolio a fund would go.

Winner: $VTV

Fee Comparison

Fees are one of the biggest killers of portfolio growth. The difference between a 2% fee and a 0.04% fee over 30 years can result in your portfolio having half the total value!

If you're just getting started investing and learning how fees impact your portfolio, I'd encourage you to read through my free investment course (specifically '2.2 - All About Fees') where I go over all the different types of fees you can be charged and how to lower them.

For these two funds, VIXY has an expense ratio of 0.87% while VTV has an expense ratio of 0.04%. In this case, both of these funds have a similar fee.

Winner: $VTV (barely)

Fund Size Comparison

One place these two funds differ is in their total assets under management. This is a good indication of how many other investors trust this fund. A large fund by itself doesn't mean it's a good fund, but it is one thing to consider when figuring out how to choose the right fund.

In the case of these two funds, VIXY is a medium fund with 171 Million in assets under management. VTV, on the other hand, is a large fund with 79 Billion in assets under management.

Winner: $VTV, Vanguard Value Index Fund ETF Shares

Which Should You Choose? VIXY or VTV?

Comparing these two funds isn't an apples to apples comparison. VIXY is a Alternative Volatility fund, while VTV is a US Stocks Large Value fund.

If you're aiming to build a diversified, low-fee, tax-optimized portfolio you likely won't be choosing between these two funds since they're different enough.

Running both of these funds through Minafi's FI Score algorithm, gives VIXY a score of 46 and VTV a score of 88.

Winner: Neither, I'd research more funds if you're looking to invest for retirement.

$VIXY

ProShares VIX Short-Term Futures ETF

46

Read More
Ratings
Rating Type Rating
Expense Ratio Score 8 /10
Expense Rating 1 /10
Market Score 6 /10
Category Score 0 /10
Overview
Overview Details
Fund Type ETF
Inception Date Jan-3-2011
Exchange NYSE ARCA
Expense Ratio 0.870%
Net Assets 171 Million
Yield 0.00%
Holdings
Description Info
Market Alternative
Category Volatility
Sectors
  • Basic Materials 0.00%
  • Communication Services 0.00%
  • Consumer Cyclicals 0.00%
  • Consumer Defensive 0.00%
  • Energy 0.00%
  • Financial Services 0.00%
  • Healthcare 0.00%
  • Industrials 0.00%
  • Real Estate 0.00%
  • Technology 0.00%
  • Utilities 0.00%

$VTV

Vanguard Value Index Fund ETF Shares

88

Read More
Ratings
Rating Type Rating
Diversification Score 6 /10
Expense Ratio Score 10 /10
Expense Rating 10 /10
Market Score 10 /10
Category Score 8 /10
Overview
Overview Details
Fund Type ETF
Inception Date Dec-31-1994
Exchange NYSE ARCA
Expense Ratio 0.040%
Net Assets 79 Billion
Yield 2.98%
Holdings
Description Info
Market US Stocks
Category Large Value
Sectors
  • Basic Materials 2.37%
  • Communication Services 6.66%
  • Consumer Cyclicals 3.13%
  • Consumer Defensive 12.78%
  • Energy 5.60%
  • Financial Services 19.00%
  • Healthcare 23.26%
  • Industrials 10.00%
  • Real Estate 1.41%
  • Technology 8.92%
  • Utilities 6.88%
Regions
  • Asia Developed 0.10%
  • Asia Emerging 0.16%
  • Europe Developed 0.98%
  • North America 98.49%
  • United Kingdom 0.28%

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