VTMSX vs. FNDA

Last updated Aug 3, 2026

VTMSX (Vanguard Tax-Managed Small-Cap Fund Admiral Shares) and FNDA (Schwab Fundamental U.S. Small Company ETF) are both Small Cap Blend Equities funds - VTMSX tracks the S&P SmallCap 600 Index while FNDA tracks the RAFI Fundamental High Liquidity U.S. Small Index. Both are passively managed. Over the past 10 years, VTMSX returned 10.75%/yr vs 10.90%/yr for FNDA. Their 0.98 correlation means they have historically moved very closely together. VTMSX charges 0.05%/yr vs 0.25%/yr for FNDA.

Performance

VTMSX vs. FNDA - 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 Schwab Fundamental U.S. Small Company ETF (FNDA). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VTMSX achieves a 21.93% return, which is significantly higher than FNDA's 18.48% return. Both investments have delivered pretty close results over the past 10 years, with VTMSX having a 10.75% annualized return and FNDA not far ahead at 10.90%.

VTMSX

• 1D: 0.86%
• 1M: -0.56%
• 6M: 15.49%
• YTD: 21.93%
• 1Y: 36.13%
• 3Y*: 13.30%
• 5Y*: 7.52%
• 10Y*: 10.75%
• ALL TIME*: 10.61%

FNDA

• 1D: -0.09%
• 1M: -1.21%
• 6M: 11.94%
• YTD: 18.48%
• 1Y: 30.92%
• 3Y*: 13.16%
• 5Y*: 8.52%
• 10Y*: 10.90%
• ALL TIME*: 10.34%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
FNDA Schwab Fundamental U.S. Small Company ETF	$15.42M	$15.07M	$42.17M
VTMSX Vanguard Tax-Managed Small-Cap Fund Admiral Shares	$0.00	$0.00	$0.00

VTMSX vs. FNDA - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VTMSX Vanguard Tax-Managed Small-Cap Fund Admiral Shares	21.93%	5.93%	8.61%	15.95%	-16.16%	27.08%	11.05%	23.28%	-8.62%	13.05%
FNDA Schwab Fundamental U.S. Small Company ETF	18.48%	7.44%	9.00%	20.29%	-14.83%	31.12%	8.44%	24.34%	-12.12%	12.68%

Correlation

The correlation between VTMSX and FNDA is 0.98 - they have historically moved very closely together. At this level, their price movements offset little of one another.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.98
Correlation (3Y) Balances recent behavior with more history.	0.99
Correlation (5Y) Shows whether the relationship held over a longer period.	0.99
Correlation (10Y) Provides a long-term view across more market conditions.	0.98
Correlation (All Time) Calculated using the full available price history since Aug 15, 2013	0.98

The correlation between VTMSX and FNDA has been stable across timeframes, ranging from 0.98 to 0.99 - a consistent structural relationship.

VTMSX vs. FNDA - Sectors Allocation Comparison

Sectors	VTMSX	FNDA
Financial Services	17.1%	15.5%
Industrials	15.6%	18.6%
Technology	15.5%	14.6%
Consumer Cyclical	13.4%	11.7%
Healthcare	12.2%	7.7%
Real Estate	7.6%	10.2%
Energy	4.9%	5.6%
Basic Materials	4.8%	5.1%
Consumer Defensive	4.0%	4.2%
Communication Services	3.2%	3.8%
Utilities	1.7%	2.7%

Return for Risk

VTMSX vs. FNDA — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

VTMSX

VTMSX Risk / Return Rank: 84
VTMSX Sharpe Ratio Rank: 80
VTMSX Sortino Ratio Rank: 81
VTMSX Omega Ratio Rank: 76
VTMSX Calmar Ratio Rank: 93
VTMSX Martin Ratio Rank: 92

FNDA

FNDA Risk / Return Rank: 78
FNDA Sharpe Ratio Rank: 75
FNDA Sortino Ratio Rank: 78
FNDA Omega Ratio Rank: 72
FNDA Calmar Ratio Rank: 83
FNDA Martin Ratio Rank: 79

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

VTMSX vs. FNDA - 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 Schwab Fundamental U.S. Small Company ETF (FNDA). 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	FNDA	Difference
Sharpe ratio: Return per unit of total volatility	1.87	1.71	+0.16
Sortino ratio: Return per unit of downside risk	2.77	2.51	+0.26
Omega ratio: Gain probability vs. loss probability	1.32	1.30	+0.03
Calmar ratio: Return relative to maximum drawdown	3.79	3.10	+0.69
Martin ratio: Return relative to average drawdown	12.88	10.14	+2.74

VTMSX vs. FNDA - Sharpe Ratio Comparison

The current VTMSX Sharpe Ratio is 1.87, which is comparable to the FNDA Sharpe Ratio of 1.71. The chart below compares the historical Sharpe Ratios of VTMSX and FNDA, 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. FNDA - Drawdown Comparison

The maximum VTMSX drawdown since its inception was -57.84%, which is greater than FNDA's maximum drawdown of -44.64%. Use the drawdown chart below to compare losses from any high point for VTMSX and FNDA.

Drawdown Indicators

	VTMSX	FNDA	Difference
Max Drawdown Largest peak-to-trough decline	-57.84%	-44.64%	-13.20%
Max Drawdown (1Y) Largest decline over 1 year	-8.59%	-9.36%	+0.77%
Max Drawdown (3Y) Largest decline over 3 years	-27.93%	-25.92%	-2.01%
Max Drawdown (5Y) Largest decline over 5 years	-27.93%	-25.92%	-2.01%
Max Drawdown (10Y) Largest decline over 10 years	-43.88%	-44.64%	+0.76%
Current Drawdown Current decline from peak	-1.82%	-2.35%	+0.53%
Average Drawdown Average peak-to-trough decline	-8.88%	-6.62%	-2.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.53%	2.86%	-0.33%

Volatility

VTMSX vs. FNDA - Volatility Comparison

Vanguard Tax-Managed Small-Cap Fund Admiral Shares (VTMSX) and Schwab Fundamental U.S. Small Company ETF (FNDA) have volatilities of 3.47% and 3.40%, 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

	VTMSX	FNDA	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.47%	3.40%	+0.07%
Volatility (6M) Calculated over the trailing 6-month period	11.67%	11.81%	-0.14%
Volatility (1Y) Calculated over the trailing 1-year period	17.40%	17.02%	+0.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.32%	20.71%	+0.61%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.07%	22.31%	+0.76%

VTMSX vs. FNDA - Expense Ratio Comparison

VTMSX has a 0.05% expense ratio, which is lower than FNDA'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. FNDA - Dividend Comparison

VTMSX's dividend yield for the trailing twelve months is around 1.19%, more than FNDA's 1.12% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FNDA Schwab Fundamental U.S. Small Company ETF	1.12%	1.22%	1.53%	1.37%	1.38%	1.15%	1.31%	1.38%	1.64%	1.30%	1.18%	1.33%
VTMSX Vanguard Tax-Managed Small-Cap Fund Admiral Shares	1.19%	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 FNDA in my portfolio?

With a correlation of 0.98, VTMSX and FNDA 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 FNDA?

VTMSX has higher volatility (3.47%) compared to FNDA (3.40%). In terms of maximum drawdown, VTMSX dropped -57.84% vs FNDA's -44.64%.

Which has better risk-adjusted returns?

VTMSX currently has the higher Sharpe Ratio (1.87 vs 1.71), 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.