BLW vs VXUS

BLW vs VXUS

Which is better, BLW or VXUS?

Short Term High Yield Bond against Large Cap Blend.

VXUS has a lower expense ratio. VXUS led over 1Y, 3Y, 5Y and the full window.

Lower Fees: VXUSHigher Returns: VXUS

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricBLWVXUS
Expense Ratio4.48%0.05%Best
AUM$515M$158.1B
Dividend Yield10.33%2.59%
Holdings2,0738,747
YTD Return-1.84%+16.15%Best
1Y Return-1.96%+27.58%Best
3Y Return (annualized)+8.40%+20.48%Best
5Y Return (annualized)+2.93%+9.09%Best
Volatility (annualized)11.3%Best15.0%
Max Drawdown-50.1%-39.9%Best
$10,000 over 5 years$11,553$15,450Best
Fund FamilyBlackRock, Inc. (US)Vanguard (US)
CategoryFixed IncomeEquity
StyleShort Term High Yield BondLarge Cap Blend
InceptionJul 31, 2003Jan 26, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Jan 28, 2011 to Sep 4, 2026 (15.6 years).

BLW vs VXUS growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 15.6 years both funds cover.

BLW vs VXUS Performance

BlackRock Limited Duration Income Trust (BLW) is an ETF from BlackRock, Inc. (US) and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year BLW returned -1.96% while VXUS returned +27.58%. Year to date, BLW is down 1.84% versus a gain of 16.15% for VXUS.

Over three years, BLW compounded at +8.40% per year against +20.48% for VXUS; over five years the annualized figures are +2.93% and +9.09% respectively. Across the full 16-year window we track, VXUS has the edge at +4.93% annualized vs +1.38%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.0% compared with 11.3% for BLW. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -50.1% for BLW and -39.9% for VXUS. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.71. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

BLW charges 4.48% per year while VXUS charges 0.05%. On a $10,000 position that is $448 vs $5 annually, a gap of $443 per year that compounds over a long holding period. On income, BLW currently yields 10.33% against 2.59% for VXUS.

Holdings Overlap

We hold position weights for 997 holdings in BLW and 8,094 in VXUS, totalling 102.8% and 87.7% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

The two holdings books were reported 181 days apart, BLW as of Dec 31, 2025 and VXUS as of Jun 30, 2026, so some of the difference between them is the time between the two reports rather than the funds.

0 positions in common, counted across the 997 positions we hold weights for in BLW and 8,094 in VXUS, against full books of 2,073 and 8,747.

You are not choosing between two funds in isolation.

Whichever of BLW and VXUS you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

BLWVXUS

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, BLW or VXUS?

BLW has an expense ratio of 4.48% while VXUS charges 0.05%. VXUS is the cheaper option, by $443 a year on a $10,000 investment.

Which performed better, BLW or VXUS?

Over the past year BLW returned -1.96% vs +27.58% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (16 years), BLW annualized +1.38% vs +4.93% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, BLW or VXUS?

VXUS has been the more volatile fund at 15.0% annualized versus 11.3% for BLW. Worst drawdown: BLW -50.1% vs VXUS -39.9%.

Should I hold both BLW and VXUS?

BLW and VXUS have a monthly-return correlation of 0.71, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, BLW or VXUS?

BLW yields 10.33% while VXUS yields 2.59%, so BLW currently pays the higher dividend yield.

Is VXUS better than BLW?

VXUS has a lower expense ratio. VXUS led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.