VFQY vs. VTV

Last updated Jun 26, 2026

VFQY (Vanguard U.S. Quality Factor ETF) and VTV (Vanguard Value ETF) are both exchange-traded funds - VFQY is a Mid Cap Blend Equities fund actively managed by Vanguard, while VTV is a Large Cap Value Equities fund tracking the CRSP US Large Cap Value Index. VFQY is actively managed, while VTV is passively managed. Over the past 5 years, VFQY returned 8.54%/yr vs 12.39%/yr for VTV. Their correlation of 0.85 suggests significant overlap in exposure. VFQY charges 0.13%/yr vs 0.04%/yr for VTV.

Performance

VFQY vs. VTV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard U.S. Quality Factor ETF (VFQY) and Vanguard Value ETF (VTV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VFQY achieves a 9.93% return, which is significantly lower than VTV's 16.08% return.

VFQY

• 1D: 0.65%
• 1M: 2.78%
• YTD: 9.93%
• 6M: 7.73%
• 1Y: 20.32%
• 3Y*: 16.45%
• 5Y*: 8.54%
• 10Y*: —

VTV

• 1D: 1.33%
• 1M: 3.94%
• YTD: 16.08%
• 6M: 14.95%
• 1Y: 28.72%
• 3Y*: 19.06%
• 5Y*: 12.39%
• 10Y*: 13.32%

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

VFQY vs. VTV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
VFQY Vanguard U.S. Quality Factor ETF	9.93%	10.24%	12.93%	22.48%	-15.74%	27.96%	16.97%	25.75%	-8.19%
VTV Vanguard Value ETF	16.08%	15.27%	15.95%	9.32%	-2.09%	26.53%	2.33%	25.66%	-5.47%

Correlation

The correlation between VFQY and VTV is 0.80, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.80
Correlation (3Y) Calculated over the trailing 3-year period	0.85
Correlation (5Y) Calculated over the trailing 5-year period	0.86
Correlation (All Time) Calculated using the full available price history since Feb 15, 2018	0.86

The correlation between VFQY and VTV has been stable across timeframes, ranging from 0.80 to 0.86 - a consistent structural relationship.

VFQY vs. VTV - Sectors Allocation Comparison

Sectors	VFQY	VTV
Technology	25.8%	16.4%
Financial Services	18.9%	21.5%
Industrials	16.8%	13.9%
Consumer Cyclical	13.3%	4.0%
Consumer Defensive	9.2%	8.9%
Healthcare	8.9%	14.1%
Communication Services	2.8%	3.1%
Basic Materials	2.2%	3.0%
Energy	2.2%	7.4%
Real Estate	-	2.7%
Utilities	-	4.8%

Return for Risk

VFQY vs. VTV — Risk / Return Rank

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

VFQY

VFQY Risk / Return Rank: 51
VFQY Sharpe Ratio Rank: 50
VFQY Sortino Ratio Rank: 51
VFQY Omega Ratio Rank: 45
VFQY Calmar Ratio Rank: 52
VFQY Martin Ratio Rank: 55

VTV

VTV Risk / Return Rank: 91
VTV Sharpe Ratio Rank: 92
VTV Sortino Ratio Rank: 93
VTV Omega Ratio Rank: 90
VTV Calmar Ratio Rank: 88
VTV Martin Ratio Rank: 89

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.

VFQY vs. VTV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard U.S. Quality Factor ETF (VFQY) and Vanguard Value ETF (VTV). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	VFQY	VTV	Difference
Sharpe ratio: Return per unit of total volatility	1.51	2.77	-1.26
Sortino ratio: Return per unit of downside risk	2.19	3.95	-1.76
Omega ratio: Gain probability vs. loss probability	1.26	1.50	-0.24
Calmar ratio: Return relative to maximum drawdown	2.24	4.54	-2.30
Martin ratio: Return relative to average drawdown	8.31	17.12	-8.81

VFQY vs. VTV - Sharpe Ratio Comparison

The current VFQY Sharpe Ratio is 1.51, which is lower than the VTV Sharpe Ratio of 2.77. The chart below compares the historical Sharpe Ratios of VFQY and VTV, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

VFQY vs. VTV - Drawdown Comparison

The maximum VFQY drawdown since its inception was -37.41%, smaller than the maximum VTV drawdown of -59.27%. Use the drawdown chart below to compare losses from any high point for VFQY and VTV.

Drawdown Indicators

	VFQY	VTV	Difference
Max Drawdown Largest peak-to-trough decline	-37.41%	-59.27%	+21.86%
Max Drawdown (1Y) Largest decline over 1 year	-9.12%	-6.35%	-2.77%
Max Drawdown (3Y) Largest decline over 3 years	-20.67%	-14.52%	-6.15%
Max Drawdown (5Y) Largest decline over 5 years	-25.93%	-17.04%	-8.89%
Max Drawdown (10Y) Largest decline over 10 years	—	-36.78%	—
Current Drawdown Current decline from peak	-0.03%	0.00%	-0.03%
Average Drawdown Average peak-to-trough decline	-6.64%	-7.85%	+1.21%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.45%	1.68%	+0.77%

Volatility

VFQY vs. VTV - Volatility Comparison

Vanguard U.S. Quality Factor ETF (VFQY) has a higher volatility of 3.74% compared to Vanguard Value ETF (VTV) at 3.51%. This indicates that VFQY's price experiences larger fluctuations and is considered to be riskier than VTV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VFQY	VTV	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.74%	3.51%	+0.23%
Volatility (6M) Calculated over the trailing 6-month period	9.86%	7.91%	+1.95%
Volatility (1Y) Calculated over the trailing 1-year period	13.54%	10.43%	+3.11%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.35%	13.88%	+4.47%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.83%	16.64%	+4.19%

VFQY vs. VTV - Expense Ratio Comparison

VFQY has a 0.13% expense ratio, which is higher than VTV's 0.04% 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

VFQY vs. VTV - Dividend Comparison

VFQY's dividend yield for the trailing twelve months is around 1.07%, less than VTV's 1.80% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VFQY Vanguard U.S. Quality Factor ETF	1.07%	1.17%	1.34%	1.38%	1.43%	0.98%	1.22%	1.34%	1.31%	0.00%	0.00%	0.00%
VTV Vanguard Value ETF	1.80%	2.05%	2.31%	2.46%	2.52%	2.15%	2.56%	2.50%	2.73%	2.29%	2.44%	2.60%

Frequently Asked Questions

Can I hold both VFQY and VTV in my portfolio?

VFQY and VTV have a correlation of 0.80, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VFQY or VTV?

VFQY has higher volatility (3.74%) compared to VTV (3.51%). In terms of maximum drawdown, VFQY dropped -37.41% vs VTV's -59.27%.

Which ETF is better, VFQY or VTV?

On 5-year performance, VTV leads with 12.39% vs 8.54% for VFQY. On fees, VTV is cheaper at 0.04% per year. On volatility, VTV has been the lower-risk option at 3.51%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VFQY or VTV?

Over the 5-year period, VTV has performed better with a 12.39% return vs 8.54%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VFQY or VTV?

VTV is cheaper with a 0.04% expense ratio, compared with 0.13% for VFQY.

Which ETF pays a higher dividend yield, VFQY or VTV?

VTV has the higher dividend yield at 1.80%, compared with 1.07% for VFQY.

What is the main difference between VFQY and VTV?

VFQY is categorized as Mid Cap Blend Equities, while VTV is Large Cap Value Equities. Their fees differ too: 0.13% for VFQY and 0.04% for VTV.

Which has better risk-adjusted returns?

VTV currently has the higher Sharpe Ratio (2.77 vs 1.51), 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.