LVHD vs. VTI

Last updated Jun 5, 2026

LVHD (Legg Mason Low Volatility High Dividend ETF) and VTI (Vanguard Total Stock Market ETF) are both exchange-traded funds - LVHD is a Volatility Hedged Equity fund tracking the QS Low Volatility High Dividend Index, while VTI is a Large Cap Blend Equities fund tracking the CRSP US Total Market Index. Both are passively managed. Over the past 10 years, LVHD returned 8.04%/yr vs 15.04%/yr for VTI. A 0.61 correlation means they provide meaningful diversification when combined. LVHD charges 0.27%/yr vs 0.03%/yr for VTI.

Performance

LVHD vs. VTI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Legg Mason Low Volatility High Dividend ETF (LVHD) and Vanguard Total Stock Market ETF (VTI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, LVHD achieves a 7.25% return, which is significantly lower than VTI's 11.72% return. Over the past 10 years, LVHD has underperformed VTI with an annualized return of 8.04%, while VTI has yielded a comparatively higher 15.04% annualized return.

LVHD

• 1D: 0.50%
• 1M: -1.09%
• YTD: 7.25%
• 6M: 7.40%
• 1Y: 10.89%
• 3Y*: 9.64%
• 5Y*: 6.16%
• 10Y*: 8.04%

VTI

• 1D: 0.47%
• 1M: 4.59%
• YTD: 11.72%
• 6M: 11.43%
• 1Y: 28.79%
• 3Y*: 22.37%
• 5Y*: 12.80%
• 10Y*: 15.04%

*Multi-year figures are annualized to reflect compound growth (CAGR)

LVHD vs. VTI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
LVHD Legg Mason Low Volatility High Dividend ETF	7.25%	7.50%	10.18%	-0.95%	-1.82%	26.90%	-1.28%	22.91%	-5.58%	14.25%
VTI Vanguard Total Stock Market ETF	11.72%	17.10%	23.81%	26.05%	-19.52%	25.68%	21.08%	30.67%	-5.23%	21.21%

Correlation

The correlation between LVHD and VTI is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.26
Correlation (3Y) Calculated over the trailing 3-year period	0.41
Correlation (5Y) Calculated over the trailing 5-year period	0.54
Correlation (10Y) Calculated over the trailing 10-year period	0.61
Correlation (All Time) Calculated using the full available price history since Dec 30, 2015	0.61

Over the past year, the correlation between LVHD and VTI has dropped to 0.26 - well below their long-term average of 0.61, suggesting their price drivers have been diverging.

LVHD vs. VTI - Sectors Allocation Comparison

Sectors	LVHD	VTI
Utilities	25.5%	2.3%
Consumer Defensive	18.5%	4.7%
Real Estate	15.0%	2.4%
Financial Services	8.6%	12.0%
Consumer Cyclical	6.8%	10.0%
Energy	6.7%	3.7%
Technology	5.9%	33.5%
Industrials	4.6%	9.8%
Healthcare	4.6%	9.2%
Communication Services	3.8%	10.3%
Basic Materials	-	2.0%

Return for Risk

LVHD vs. VTI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

LVHD

LVHD Risk / Return Rank: 33
LVHD Sharpe Ratio Rank: 33
LVHD Sortino Ratio Rank: 33
LVHD Omega Ratio Rank: 30
LVHD Calmar Ratio Rank: 37
LVHD Martin Ratio Rank: 31

VTI

VTI Risk / Return Rank: 73
VTI Sharpe Ratio Rank: 74
VTI Sortino Ratio Rank: 73
VTI Omega Ratio Rank: 73
VTI Calmar Ratio Rank: 66
VTI Martin Ratio Rank: 78

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.

LVHD vs. VTI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Legg Mason Low Volatility High Dividend ETF (LVHD) 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.

	LVHD	VTI	Difference
Sharpe ratio: Return per unit of total volatility	1.15	2.38	-1.23
Sortino ratio: Return per unit of downside risk	1.70	3.24	-1.54
Omega ratio: Gain probability vs. loss probability	1.20	1.43	-0.23
Calmar ratio: Return relative to maximum drawdown	1.77	3.24	-1.47
Martin ratio: Return relative to average drawdown	4.49	14.94	-10.46
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

LVHD vs. VTI - Sharpe Ratio Comparison

The current LVHD Sharpe Ratio is 1.15, which is lower than the VTI Sharpe Ratio of 2.38. The chart below compares the historical Sharpe Ratios of LVHD 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.

Sharpe Ratios by Period

	LVHD	VTI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.15	2.38	-1.23
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.48	0.74	-0.26
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.52	0.82	-0.30
Sharpe Ratio (All Time) Calculated using the full available price history	0.57	0.51	+0.06

Drawdowns

LVHD vs. VTI - Drawdown Comparison

The maximum LVHD drawdown since its inception was -37.32%, smaller than the maximum VTI drawdown of -55.45%. Use the drawdown chart below to compare losses from any high point for LVHD and VTI.

Drawdown Indicators

	LVHD	VTI	Difference
Max Drawdown Largest peak-to-trough decline	-37.32%	-55.45%	+18.13%
Max Drawdown (1Y) Largest decline over 1 year	-6.17%	-8.92%	+2.75%
Max Drawdown (3Y) Largest decline over 3 years	-14.29%	-19.30%	+5.01%
Max Drawdown (5Y) Largest decline over 5 years	-16.75%	-25.36%	+8.61%
Max Drawdown (10Y) Largest decline over 10 years	-37.32%	-35.00%	-2.32%
Current Drawdown Current decline from peak	-4.37%	-0.26%	-4.11%
Average Drawdown Average peak-to-trough decline	-4.05%	-8.03%	+3.98%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.43%	1.93%	+0.50%

Volatility

LVHD vs. VTI - Volatility Comparison

Legg Mason Low Volatility High Dividend ETF (LVHD) and Vanguard Total Stock Market ETF (VTI) have volatilities of 2.89% and 2.90%, 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.

Volatility by Period

	LVHD	VTI	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.89%	2.90%	-0.01%
Volatility (6M) Calculated over the trailing 6-month period	6.61%	9.13%	-2.52%
Volatility (1Y) Calculated over the trailing 1-year period	9.53%	12.17%	-2.64%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.87%	17.40%	-4.53%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.50%	18.30%	-2.80%

LVHD vs. VTI - Expense Ratio Comparison

LVHD has a 0.27% expense ratio, which is higher than VTI's 0.03% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

LVHD vs. VTI - Dividend Comparison

LVHD's dividend yield for the trailing twelve months is around 3.39%, more than VTI's 1.01% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
LVHD Legg Mason Low Volatility High Dividend ETF	3.39%	3.35%	4.23%	3.55%	3.30%	2.56%	3.27%	3.30%	3.82%	3.33%	2.48%	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

Can I hold both LVHD and VTI in my portfolio?

LVHD and VTI have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, LVHD or VTI?

VTI has higher volatility (2.90%) compared to LVHD (2.89%). In terms of maximum drawdown, LVHD dropped -37.32% vs VTI's -55.45%.

Which ETF is better, LVHD or VTI?

On 10-year performance, VTI leads with 15.04% vs 8.04% for LVHD. 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.

Which ETF has performed better, LVHD or VTI?

Over the 10-year period, VTI has performed better with a 15.04% return vs 8.04%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, LVHD or VTI?

VTI is cheaper with a 0.03% expense ratio, compared with 0.27% for LVHD.

Which ETF pays a higher dividend yield, LVHD or VTI?

LVHD has the higher dividend yield at 3.39%, compared with 1.01% for VTI.

What is the main difference between LVHD and VTI?

LVHD is categorized as Volatility Hedged Equity, while VTI is Large Cap Blend Equities. LVHD tracks QS Low Volatility High Dividend Index, while VTI tracks CRSP US Total Market Index. They also come from different issuers: Franklin Templeton and Vanguard. Their fees differ too: 0.27% for LVHD and 0.03% for VTI.

Which has better risk-adjusted returns?

VTI currently has the higher Sharpe Ratio (2.38 vs 1.15), 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.