RSMV vs VFMO

RSMVDRelative Strength Managed Volatility Strategy ETF

VFMOAVanguard U.S. Momentum Factor ETF

In short

RSMV Momentum with a brake pedal. RSMV rides US large-cap growth leaders on relative strength, then can duck into cash, Treasuries, or investment-grade bonds when volatility spikes. An active take on a corner of the market dominated by index funds.

VFMO Vanguard doing active. A quant team buys the strongest recent performers across the entire US market, roughly 600 names deep, at 0.13% a year for a job that usually costs several times more.

Stated mandate

RSMV The Fund seeks capital appreciation through an actively managed portfolio primarily invested in common stocks of U.S. growth companies, generally emphasizing large-cap issuers. It may move into cash, U.S. Treasuries, or investment-grade fixed income for defensive purposes during periods of high volatility.

VFMO The Fund seeks long-term capital appreciation by investing in U.S. stocks with strong recent performance selected through the advisor’s quantitative process.

Why people hold it

• RSMV The mandate is explicit: in high-volatility stretches the manager can move into cash, US Treasuries, or investment-grade bonds rather than ride a drawdown out in stocks.teucrium.com
• Actively run rather than index-tracking, so the portfolio can shift on the manager's read of relative strength instead of waiting for a fixed reconstitution date.
• Its risk readings so far sit at the calmer end of the systematic US momentum group, though the record covers only about a year.

• VFMO Costs 0.13% a year, sitting with the cheapest systematic momentum funds (JMOM 0.12%, SPMO 0.13%, MTUM 0.15%) and well under the group's typical fee.
• Hunts winners across the full Russell 3000, small and mid caps included, and spreads the bet over about 600 stocks rather than a short list of mega caps.vanguard.com
• Actively run through Vanguard's quantitative process: the Russell 3000 is the yardstick, not a rulebook the fund has to copy on index-review day.vanguard.com
• A multi-billion-dollar fund paying quarterly, and one of the stronger implementations in the US momentum group on cost and portfolio construction.

Worth knowing

• RSMV At 0.95% a year it runs well above the 0.69% median for systematic US momentum funds, and index rivals like MTUM and SPMO charge 0.15% and 0.13%.
• Launched in January 2025, still small and thinly traded, which can mean wider bid-ask spreads and more price impact on bigger orders.
• No published tracking index to measure the manager against, and the defensive switch cuts both ways: it can sit in bonds or cash while equities are climbing.

• VFMO Momentum by design owns what has already run. When market leadership flips, this style tends to take the turn harder than a plain total-market fund.
• No index to hide behind. Results ride on Vanguard's model, and the portfolio can look very different from the Russell 3000 in either direction.
• Trading activity is moderate rather than category-leading, which shows up in spreads on large orders more than small ones.

Full RSMV profile⁠

Full VFMO profile⁠