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ESG vs. VTI
Performance
Return for Risk
Drawdowns
Volatility
Dividends

ESG vs. VTI

Last updated Jun 4, 2026

ESG (FlexShares STOXX US ESG Select Index Fund) and VTI (Vanguard Total Stock Market ETF) are both exchange-traded funds - ESG is a Large Cap Growth Equities fund tracking the STOXX USA ESG Select KPIs Index, while VTI is a Large Cap Blend Equities fund tracking the CRSP US Total Market Index. Both are passively managed. Over the past 5 years, ESG returned 12.73%/yr vs 12.69%/yr for VTI. Their correlation of 0.88 suggests significant overlap in exposure. ESG charges 0.32%/yr vs 0.03%/yr for VTI.

Performance

ESG vs. VTI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares STOXX US ESG Select Index Fund (ESG) and Vanguard Total Stock Market ETF (VTI). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, ESG achieves a 12.20% return, which is significantly higher than VTI's 11.20% return.

ESG

1D
-0.45%
1M
7.28%
YTD
12.20%
6M
13.15%
1Y
25.90%
3Y*
20.72%
5Y*
12.73%
10Y*
—

VTI

1D
-0.72%
1M
4.99%
YTD
11.20%
6M
11.09%
1Y
28.18%
3Y*
22.07%
5Y*
12.69%
10Y*
15.05%
*Multi-year figures are annualized to reflect compound growth (CAGR)

ESG vs. VTI - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
ESG
FlexShares STOXX US ESG Select Index Fund		12.20%16.04%20.22%27.86%-19.89%28.48%20.75%31.74%-5.17%22.78%
VTI
Vanguard Total Stock Market ETF		11.20%17.10%23.81%26.05%-19.52%25.68%21.08%30.67%-5.23%21.21%

Correlation

The correlation between ESG and VTI is 0.96 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.96

Correlation (3Y)
Calculated over the trailing 3-year period

0.96

Correlation (5Y)
Calculated over the trailing 5-year period

0.97

Correlation (All Time)
Calculated using the full available price history since Jul 15, 2016

0.88

The correlation between ESG and VTI has been stable across timeframes, ranging from 0.88 to 0.97 - a consistent structural relationship.

ESG vs. VTI - Sectors Allocation Comparison

Sectors
ESG
VTI

Technology

36.7%
33.5%

Financial Services

16.9%
12.0%

Healthcare

11.2%
9.2%

Consumer Cyclical

10.0%
10.0%

Consumer Defensive

9.2%
4.7%

Industrials

4.5%
9.8%

Energy

3.1%
3.7%

Basic Materials

3.0%
2.0%

Real Estate

2.7%
2.4%

Communication Services

1.0%
10.3%

Utilities

0.7%
2.3%

Technology

ESG
36.7%
VTI
33.5%

Financial Services

ESG
16.9%
VTI
12.0%

Healthcare

ESG
11.2%
VTI
9.2%

Consumer Cyclical

ESG
10.0%
VTI
10.0%

Consumer Defensive

ESG
9.2%
VTI
4.7%

Industrials

ESG
4.5%
VTI
9.8%

Energy

ESG
3.1%
VTI
3.7%

Basic Materials

ESG
3.0%
VTI
2.0%

Real Estate

ESG
2.7%
VTI
2.4%

Communication Services

ESG
1.0%
VTI
10.3%

Utilities

ESG
0.7%
VTI
2.3%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

FlexShares STOXX US ESG Select Index Fund

Vanguard Total Stock Market ETF

Often compared with ESG:
ESG vs. SPYESG vs. QQQESG vs. VOOESG vs. SCHDESG vs. 4UBQ.DEESG vs. USSGESG vs. MSCI
Often compared with VTI:
VTI vs. VOOVTI vs. VXUSVTI vs. SPYVTI vs. VTVTI vs. SCHDVTI vs. FZROXVTI vs. QQQ

Return for Risk

ESG vs. VTI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
ESG
ESG Risk / Return Rank: 6767
Overall Rank
ESG Sharpe Ratio Rank: 7070
Sharpe Ratio Rank
ESG Sortino Ratio Rank: 7070
Sortino Ratio Rank
ESG Omega Ratio Rank: 6767
Omega Ratio Rank
ESG Calmar Ratio Rank: 6060
Calmar Ratio Rank
ESG Martin Ratio Rank: 7070
Martin Ratio Rank
VTI
VTI Risk / Return Rank: 6868
Overall Rank
VTI Sharpe Ratio Rank: 6969
Sharpe Ratio Rank
VTI Sortino Ratio Rank: 6868
Sortino Ratio Rank
VTI Omega Ratio Rank: 6767
Omega Ratio Rank
VTI Calmar Ratio Rank: 6262
Calmar Ratio Rank
VTI Martin Ratio Rank: 7575
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

ESG vs. VTI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares STOXX US ESG Select Index Fund (ESG) and Vanguard Total Stock Market ETF (VTI). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

ESGVTIDifference
Sharpe ratioReturn per unit of total volatility
2.33
2.33

+0.01

Sortino ratioReturn per unit of downside risk
3.23
3.18

+0.05

Omega ratioGain probability vs. loss probability

1.41

1.42

0.00

Calmar ratioReturn relative to maximum drawdown

3.00

3.17

-0.18

Martin ratioReturn relative to average drawdown

13.02

14.62

-1.61

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ESG vs. VTI - Sharpe Ratio Comparison

The current ESG Sharpe Ratio is 2.33, which is comparable to the VTI Sharpe Ratio of 2.33. The chart below compares the historical Sharpe Ratios of ESG and VTI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Sharpe Ratios by Period

ESGVTIDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.33

2.33

+0.01

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.76

0.73

+0.03

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

—

0.82

—

Sharpe Ratio (All Time)

Calculated using the full available price history

0.83

0.51

+0.32

Drawdowns

ESG vs. VTI - Drawdown Comparison

The maximum ESG drawdown since its inception was -32.53%, smaller than the maximum VTI drawdown of -55.45%. Use the drawdown chart below to compare losses from any high point for ESG and VTI.

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Drawdown Indicators

ESGVTIDifference

Max Drawdown

Largest peak-to-trough decline

-32.53%

-55.45%

+22.92%

Max Drawdown (1Y)

Largest decline over 1 year

-8.68%

-8.92%

+0.24%

Max Drawdown (3Y)

Largest decline over 3 years

-18.32%

-19.30%

+0.98%

Max Drawdown (5Y)

Largest decline over 5 years

-26.04%

-25.36%

-0.68%

Max Drawdown (10Y)

Largest decline over 10 years

—

-35.00%

—

Current Drawdown

Current decline from peak

-0.45%

-0.72%

+0.27%

Average Drawdown

Average peak-to-trough decline

-5.07%

-8.03%

+2.96%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.99%

1.93%

+0.06%

Volatility

ESG vs. VTI - Volatility Comparison

FlexShares STOXX US ESG Select Index Fund (ESG) and Vanguard Total Stock Market ETF (VTI) have volatilities of 2.94% and 2.96%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

ESGVTIDifference

Volatility (1M)

Calculated over the trailing 1-month period

2.94%

2.96%

-0.02%

Volatility (6M)

Calculated over the trailing 6-month period

8.46%

9.13%

-0.67%

Volatility (1Y)

Calculated over the trailing 1-year period

11.16%

12.17%

-1.01%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

16.73%

17.40%

-0.67%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

18.36%

18.30%

+0.06%

ESG vs. VTI - Expense Ratio Comparison

ESG has a 0.32% expense ratio, which is higher than VTI's 0.03% expense ratio.

Dividends

ESG vs. VTI - Dividend Comparison

ESG's dividend yield for the trailing twelve months is around 0.87%, less than VTI's 1.01% yield.

PositionTTM20252024202320222021202020192018201720162015
ESG
FlexShares STOXX US ESG Select Index Fund		0.87%0.96%1.18%1.10%1.38%1.03%1.33%1.51%1.72%1.52%0.92%0.00%
VTI
Vanguard Total Stock Market ETF		1.01%1.12%1.27%1.44%1.66%1.21%1.42%1.78%2.04%1.71%1.92%1.98%

Frequently Asked Questions

With a correlation of 0.96, ESG and VTI move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

VTI has higher volatility (2.96%) compared to ESG (2.94%). In terms of maximum drawdown, ESG dropped -32.53% vs VTI's -55.45%.

On 5-year performance, ESG leads with 12.73% vs 12.69% for VTI. On fees, VTI is cheaper at 0.03% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, ESG has performed better with a 12.73% return vs 12.69%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

VTI is cheaper with a 0.03% expense ratio, compared with 0.32% for ESG.

VTI has the higher dividend yield at 1.01%, compared with 0.87% for ESG.

ESG is categorized as Large Cap Growth Equities, while VTI is Large Cap Blend Equities. ESG tracks STOXX USA ESG Select KPIs Index, while VTI tracks CRSP US Total Market Index. They also come from different issuers: Northern Trust and Vanguard. Their fees differ too: 0.32% for ESG and 0.03% for VTI.

ESG currently has the higher Sharpe Ratio (2.33 vs 2.33), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.

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