VTMSX vs. AVUV

Last updated Jun 23, 2026

VTMSX (Vanguard Tax-Managed Small-Cap Fund Admiral Shares) and AVUV (Avantis US Small Cap Value ETF) are both funds - VTMSX is a Small Cap Blend Equities fund managed by BlackRock, while AVUV is a Small Cap Value Equities fund actively managed by Avantis. Over the past 5 years, VTMSX returned 7.38%/yr vs 11.94%/yr for AVUV. With a 0.96 correlation, they move nearly in lockstep. VTMSX charges 0.09%/yr vs 0.25%/yr for AVUV.

Performance

VTMSX vs. AVUV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Tax-Managed Small-Cap Fund Admiral Shares (VTMSX) and Avantis US Small Cap Value ETF (AVUV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with VTMSX having a 20.05% return and AVUV slightly higher at 20.76%.

VTMSX

• 1D: 1.83%
• 1M: 4.61%
• YTD: 20.05%
• 6M: 16.98%
• 1Y: 36.96%
• 3Y*: 15.15%
• 5Y*: 7.38%
• 10Y*: 11.10%

AVUV

• 1D: 0.31%
• 1M: 2.33%
• YTD: 20.76%
• 6M: 18.15%
• 1Y: 39.60%
• 3Y*: 20.03%
• 5Y*: 11.94%
• 10Y*: —

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

VTMSX vs. AVUV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
VTMSX Vanguard Tax-Managed Small-Cap Fund Admiral Shares	20.05%	5.93%	8.61%	15.95%	-16.16%	27.08%	11.05%	6.45%
AVUV Avantis US Small Cap Value ETF	20.76%	7.44%	9.28%	22.82%	-4.91%	42.20%	6.43%	8.54%

Correlation

The correlation between VTMSX and AVUV is 0.94, 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	0.94
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (All Time) Calculated using the full available price history since Sep 26, 2019	0.96

The correlation between VTMSX and AVUV has been stable across timeframes, ranging from 0.94 to 0.96 - a consistent structural relationship.

VTMSX vs. AVUV - Sectors Allocation Comparison

Sectors	VTMSX	AVUV
Technology	17.1%	7.4%
Financial Services	16.4%	26.1%
Industrials	15.2%	13.6%
Consumer Cyclical	13.1%	18.7%
Healthcare	10.9%	4.8%
Real Estate	7.7%	0.7%
Energy	5.5%	15.8%
Basic Materials	5.1%	5.1%
Communication Services	3.6%	3.1%
Consumer Defensive	3.4%	4.7%
Utilities	1.9%	0.1%

Return for Risk

VTMSX vs. AVUV — Risk / Return Rank

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

VTMSX

VTMSX Risk / Return Rank: 69
VTMSX Sharpe Ratio Rank: 59
VTMSX Sortino Ratio Rank: 62
VTMSX Omega Ratio Rank: 50
VTMSX Calmar Ratio Rank: 90
VTMSX Martin Ratio Rank: 83

AVUV

AVUV Risk / Return Rank: 76
AVUV Sharpe Ratio Rank: 73
AVUV Sortino Ratio Rank: 75
AVUV Omega Ratio Rank: 68
AVUV Calmar Ratio Rank: 88
AVUV Martin Ratio Rank: 79

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.

VTMSX vs. AVUV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Tax-Managed Small-Cap Fund Admiral Shares (VTMSX) and Avantis US Small Cap Value ETF (AVUV). 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.

	VTMSX	AVUV	Difference
Sharpe ratio: Return per unit of total volatility	2.08	2.26	-0.17
Sortino ratio: Return per unit of downside risk	3.00	3.21	-0.21
Omega ratio: Gain probability vs. loss probability	1.36	1.39	-0.03
Calmar ratio: Return relative to maximum drawdown	4.31	5.00	-0.70
Martin ratio: Return relative to average drawdown	14.42	14.84	-0.43

VTMSX vs. AVUV - Sharpe Ratio Comparison

The current VTMSX Sharpe Ratio is 2.08, which is comparable to the AVUV Sharpe Ratio of 2.26. The chart below compares the historical Sharpe Ratios of VTMSX and AVUV, 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

VTMSX vs. AVUV - Drawdown Comparison

The maximum VTMSX drawdown since its inception was -57.84%, which is greater than AVUV's maximum drawdown of -49.42%. Use the drawdown chart below to compare losses from any high point for VTMSX and AVUV.

Drawdown Indicators

	VTMSX	AVUV	Difference
Max Drawdown Largest peak-to-trough decline	-57.84%	-49.42%	-8.42%
Max Drawdown (1Y) Largest decline over 1 year	-8.59%	-7.95%	-0.64%
Max Drawdown (3Y) Largest decline over 3 years	-27.93%	-28.79%	+0.86%
Max Drawdown (5Y) Largest decline over 5 years	-27.93%	-28.79%	+0.86%
Max Drawdown (10Y) Largest decline over 10 years	-43.88%	—	—
Current Drawdown Current decline from peak	-0.04%	-1.61%	+1.57%
Average Drawdown Average peak-to-trough decline	-8.91%	-7.90%	-1.01%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.56%	2.68%	-0.12%

Volatility

VTMSX vs. AVUV - Volatility Comparison

Vanguard Tax-Managed Small-Cap Fund Admiral Shares (VTMSX) has a higher volatility of 5.19% compared to Avantis US Small Cap Value ETF (AVUV) at 4.28%. This indicates that VTMSX's price experiences larger fluctuations and is considered to be riskier than AVUV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VTMSX	AVUV	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.19%	4.28%	+0.91%
Volatility (6M) Calculated over the trailing 6-month period	12.10%	11.39%	+0.71%
Volatility (1Y) Calculated over the trailing 1-year period	17.75%	17.67%	+0.08%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.47%	22.65%	-1.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.14%	28.23%	-5.09%

VTMSX vs. AVUV - Expense Ratio Comparison

VTMSX has a 0.09% expense ratio, which is lower than AVUV's 0.25% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VTMSX vs. AVUV - Dividend Comparison

VTMSX's dividend yield for the trailing twelve months is around 1.12%, less than AVUV's 1.63% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AVUV Avantis US Small Cap Value ETF	1.63%	1.58%	1.61%	1.65%	1.74%	1.28%	1.21%	0.38%	0.00%	0.00%	0.00%	0.00%
VTMSX Vanguard Tax-Managed Small-Cap Fund Admiral Shares	1.12%	1.28%	1.44%	1.50%	1.51%	1.16%	1.09%	1.15%	1.26%	1.11%	1.01%	1.26%

Frequently Asked Questions

Can I hold both VTMSX and AVUV in my portfolio?

With a correlation of 0.94, VTMSX and AVUV 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.

Which is riskier, VTMSX or AVUV?

VTMSX has higher volatility (5.19%) compared to AVUV (4.28%). In terms of maximum drawdown, VTMSX dropped -57.84% vs AVUV's -49.42%.

Which has better risk-adjusted returns?

AVUV currently has the higher Sharpe Ratio (2.26 vs 2.08), 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.