As many people plan for their long-term financial futures, one niche they tend to focus on is mutual funds. Mutual funds have been around for a very long time, and two of the most successful mutual funds to date are FSKAX vs. VTSAX. Let’s get to know them and see which one fits your plans.
To help you out, we will do a comprehensive analysis of both funds. And hopefully, in the end, you will get a much clearer choice between these two funds.
Investing in a total index stock fund like FSKAX and VTSAX is similar to owning the whole US equity market. This is because mutual funds deal with all the stocks in the market, emphasizing Fortune 500 companies that have the most valuable stocks in the market.
When you invest in mutual funds, you invest money today with the possibility of making gains in the future. And when you read analytical reports by top financial publications, you will notice how funds like FSKAX and VTSAX have been doing well over the past years.
These funds charge extremely low expense ratios, and they rely on different methodologies to track the US stock market.
So due to their consistent results, it will not be out of place if you are looking to invest in FSKAX or VTSAX. Both are excellent retirement portfolios, and they are also red efficient. With a meager investment today, you stand a chance to earn good returns on your investment year in year out.
So with that out of the way, let’s begin our review of FSKAX vs. VTSAX.
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FSKAX: Fidelity® Total Market Index Fund
FSKAX is a mutual fund whose full name is Fidelity Total Market Index Fund. This fund was created by world-renowned Fidelity Investments, one of the most successful stock brokerage firms in the world.
Since its creation, the fund has performed well and remains one of the most successful funds by Fidelity. FSKAX provides investment funding to the total return of a wide range of stocks in the US stock market.
The fund seeks to spread its assets on common stocks registered in the Dow Jones. And as you know, the Dow Jones is the US Total Stock Market Index representing the performance of a wide range of stocks that cover different industries, representing around 80% of the total equity market.
FSKAX is low-cost because it has a low expense ratio of 0.04%. And currently, the fund holds more than 3,000 stocks. With so many different shares under its belt, it can be considered as one of the most diversified mutual funds.
FSKAX top 10 holdings representing 22.92% of total assets:
| Asset | Percentage |
| Apple Inc. | 4.96% |
| Microsoft Corp. | 4.73% |
| Amazon.com Inc. | 3.19% |
| Alphabet Inc. Class A | 1.81% |
| Meta Platforms Inc. | 1.80% |
| Alphabet Inc. Class C | 1.66% |
| Tesla Inc. | 1.40% |
| NVIDIA Corp. | 1.15% |
| Berkshire Hathaway Class B | 1.13% |
| JPMorgan Chase & Co. | 1.09% |
VTSAX or Vanguard Total Stock Market Index Fund Admiral Shares is another top-performing mutual fund by Vanguard Securities. This fund uses the total market benchmark to measure the investment returns of stocks in the entire stock market. VTSAX uses an indexing approach to track stock performances in the CRSP Total Market Index.
The managers then accumulate good securities that reflect the index with this information.
Vanguard Securities is another respected investment arm with a very strong profile, like Fidelity Investments. Most of its funds do quite well, just like their Exchange-Traded Funds (ETFs). VTSAX tracks the CRSP to provide investors exposure to the US stock market.
So even with minimal investment, you can still afford to own even a fraction of stocks in all the companies listed in the US Total Stock Market. Some of VTSAX’S top holdings are Apple, Amazon, Microsoft, Johnson & Johnson, and many more.
As of writing, VTSAX had stock holdings worth about $1.3 trillion, a total of 4,124 different companies and stock categories. This figure places it in the top category of highly capitalized mutual funds. In addition, since it has a very low expense ratio of 0.04%, many investors find it attractive.
The only downside to investing in VTSAX is that you need a minimum investment of at least $3,000 to invest in it. Besides that, the projected return on the fund is positive.
Also, when you review its holdings in detail, you will notice how they are spread across different industries. That is great since highly diversified funds are less susceptible to risks caused by a single company or industry.
Since 1992 when Vanguard first launched, it has been doing quite well. Besides that, Vanguard is the largest mutual funds provider in the US, offering a wide array of ETFs and funds. VTSAX is one of their most successful funds for low cost and high-performance returns.
VTSAX top 10 holdings representing 23.70% of total assets:
| Asset | Percentage |
| Microsoft Corp. | 5.24% |
| Apple Inc. | 4.95% |
| Amazon.com Inc. | 3.05% |
| Alphabet Inc. Class A | 1.88% |
| Tesla Inc. | 1.88% |
| Alphabet Inc. Class C | 1.69% |
| Meta Platforms Inc. | 1.62% |
| NVIDIA Corp. | 1.28% |
| JPMorgan Chase & Co. | 1.07% |
| Berkshire Hathaway Class B | 1.04% |
FSKAX Vs. VTSAX: Key Differences
FSKAX and VTSAX are very similar since they are mutual funds, but the only difference is that they track different indexes even though they invest in similar stocks. FSKAX tracks common stocks in the Dow Jones, while VTSAX tracks stocks in the CRSP index. Also, FSKAX was created and passively managed by Fidelity Investments, while VTSAX is the creation of Vanguard mutual fund managers.
In addition, they both have different expense ratios FSKAX (0.02%) and VTSAX (0.04%). Besides these few differences, they are similar in every aspect.
FSKAX Vs. VTSAX: Composition Differences
| Category | FSKAX | VTSAX |
| Type | Mutual Fund | Mutual Fund |
| Segment | Large Blend | Large Blend |
| Issuer | Fidelity Investments | Vanguard |
| Net Assets | $69.65 billion | $1.3 trillion |
| Expense Ratio | 0.02% | 0.04% |
| Style | Passive | Passive |
| Dividend | 1.11% | 1.19% |
| Minimum investment | N/A | $3,000 |
FSKAX Vs. VTSAX: Performance Differences
FSKAX and VTSAX have performed pretty much the same for the past few years based on the collected data on their performance and returns below. This will guide you further in choosing between these two mutual funds.
FSKAX Performance And Returns
| Period | Performance |
| YTD Returns | 19.27% |
| 1-Month Return | 3.42% |
| 3-Month Return | 0.21% |
| 1-Year Return | 26.46% |
| 3-Year Return | 20.18% |
| 5-Year Return | 17.50% |
| 10-Year Return | 15.91% |
VTSAX Performance And Returns
| Period | Performance |
| YTD Returns | 21.24% |
| 1-Month Return | 3.41% |
| 3-Month Return | 0.23% |
| 1-Year Return | 26.49% |
| 3-Year Return | 20.24% |
| 5-Year Return | 17.55% |
| 10-Year Return | 15.95% |
FSKAX Vs. VTSAX: Fees
Both funds have very low expense ratio fees, which is great because we know that the last thing you want is to pay a significant chunk of your earnings as commission to brokers.
FSKAX has a lower expense ratio but only slightly lower. Its ratio fee is 0.02% while VTSAX is 0.04%.
FSKAX Vs. VTSAX: Frequently Asked Questions
Here are some frequently asked questions to guide you more with FSKAX and VTSAX.
Is FSKAX Better Than VTSAX?
They are both similar and outstanding mutual funds. Although FSKAX has a slightly lower expense ratio of 0.02%, this is only slightly below VTSAX’s 0.04%.
Is FSKAX The Same As VTSAX?
They are very similar because they are both mutual funds created by Fidelity investment and Vanguard Securities. However, while FSKAX tracks the Dow Jones Total US Stock Market Index, VTSAX tracks the CRSP Total Market Index.
Is FSKAX A Good Investment?
With more than 3,800 holdings, this fund tracks all the S&P 500 and beyond. It has very low expense ratio fees and is one of Fidelity Investments’ best-performing mutual funds.
FSKAX Vs. VTSAX – Which Fund Performs Better?
Now that you have learned the details about FSKAX and VTSAX, it is time to assess which one can help you earn more money down the line. As part of your financial goals and plans, which one is more aligned and will help you in your investment journey.
But before you reach that decision, you need to consider your personal finances, as these investments will need time before you feel their dividends. This is a factor that you need to consider before investing.
Regardless of which mutual fund you consider based on your financial status, both can help you and your financial plans in life. You just need to conduct your due diligence to make an educated and risk-based decision. Always remember that investing, however small at the start, is a tried and tested way to increase your wealth. So start your journey now and realize your dreams sooner than later.
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- VOO Vs. SPY: A Comparison Of Two S&P 500 ETFs
- FZROX Vs. FSKAX – Which Fund Is For You?
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Marjolein is a financial consultant who has built over €4,000 monthly passive income and saves over 70% of her income. Read Radicals’ inspiring story, from stuck in the 9-to-5 to loving life. Feel free to send Radical a message at the bottom of this page