BUFT vs VXUS

Quick Verdict

VXUS has a lower expense ratio. VXUS delivered stronger 1-year returns. VXUS offers more diversification with 7861 holdings.

Lower Fees: VXUSHigher Returns: VXUSMore Diversified: VXUS

Side-by-Side Comparison

MetricBUFTVXUSWinner
Expense Ratio1.21%0.05%
AUM$156M$156.5B
Dividend Yield0.00%2.60%
Holdings88,747
YTD Return+6.50%+14.57%
1Y Return+10.10%+27.82%
3Y Return (annualized)+9.45%+19.27%
5Y Return (annualized)-+9.28%
Volatility (annualized)5.6%15.1%
Max Drawdown-10.4%-39.9%
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryAlternativeEquity
InceptionOct 26, 2021Jan 26, 2011

BUFT vs VXUS Performance

FT Vest Buffered Allocation Defensive ETF (BUFT) is a ETF from First Trust Portfolios (US) and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year BUFT returned +10.10% while VXUS returned +27.82%. Year to date, BUFT is up 6.50% versus a gain of 14.57% for VXUS.

Over three years, BUFT compounded at +9.45% per year against +19.27% for VXUS. Across the full 5-year window we track, BUFT has the edge at +5.83% annualized vs +4.86%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 5.6% for BUFT. 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 -10.4% for BUFT and -39.9% for VXUS. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.76. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

BUFT charges 1.21% per year while VXUS charges 0.05%. On a $10,000 position that is $121 vs $5 annually, a gap of $116 per year that compounds over a long holding period. On income, BUFT currently yields 0.00% against 2.60% for VXUS.

Holdings Overlap

0.0%overlap

BUFT and VXUS share 0 holdings out of 7868 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, BUFT or VXUS?

BUFT has an expense ratio of 1.21% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $116 per year of difference.

Which performed better, BUFT or VXUS?

Over the past year BUFT returned +10.10% vs +27.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (5 years), BUFT annualized +5.83% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, BUFT or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 5.6% for BUFT. Worst drawdown: BUFT -10.4% vs VXUS -39.9%.

Should I hold both BUFT and VXUS?

BUFT and VXUS have a monthly-return correlation of 0.76, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between BUFT and VXUS?

BUFT and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 7868 unique securities.

Which pays a higher dividend, BUFT or VXUS?

BUFT yields 0.00% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

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