DBEU vs VXUS

DBEU vs VXUS
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Quick Verdict

VXUS has a lower expense ratio. VXUS delivered stronger 1-year returns. VXUS offers more diversification with 8,747 holdings.

Lower Fees: VXUSHigher Returns: VXUSMore Diversified: VXUS

Side-by-Side Comparison

MetricDBEUVXUSWinner
Expense Ratio0.45%0.05%
AUM$800M$158.1B
Dividend Yield1.40%2.59%
Holdings4108,747
YTD Return+13.38%+15.22%
1Y Return+23.37%+26.86%
3Y Return (annualized)+17.58%+20.34%
5Y Return (annualized)+11.69%+9.38%
Volatility (annualized)12.7%15.1%
Max Drawdown-34.5%-39.9%
Fund FamilyXtrackers ETFsVanguard (US)
CategoryEquityEquity
InceptionOct 1, 2013Jan 26, 2011

DBEU vs VXUS Performance

Xtrackers MSCI Europe Hedged Equity ETF (DBEU) is a ETF from Xtrackers ETFs and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year DBEU returned +23.37% while VXUS returned +26.86%. Year to date, DBEU is up 13.38% versus a gain of 15.22% for VXUS.

Over three years, DBEU compounded at +17.58% per year against +20.34% for VXUS; over five years the annualized figures are +11.69% and +9.38% respectively. Across the full 13-year window we track, DBEU has the edge at +9.97% annualized vs +4.89%. 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 12.7% for DBEU. 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 -34.5% for DBEU 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 0.85. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

DBEU charges 0.45% per year while VXUS charges 0.05%. On a $10,000 position that is $45 vs $5 annually, a gap of $40 per year that compounds over a long holding period. On income, DBEU currently yields 1.40% against 2.59% for VXUS.

Holdings Overlap

21.4%overlap

DBEU and VXUS share 273 holdings out of 7995 unique holdings combined, representing a 21.4% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in DBEUWeight in VXUSDifference
ASML:AS4.78%1.29%3.49%
HSBA:LN2.46%0.72%1.74%
NOVN:SM1.97%0.73%1.24%
AZN:LNProProPro
NESN:SMProProPro
FP:PAProProPro
RR:LNProProPro
UBSG:SMProProPro
ABBN:SMProProPro
IBE:MAProProPro
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Frequently Asked Questions

Which is cheaper, DBEU or VXUS?

DBEU has an expense ratio of 0.45% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $40 per year of difference.

Which performed better, DBEU or VXUS?

Over the past year DBEU returned +23.37% vs +26.86% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (13 years), DBEU annualized +9.97% vs +4.89% for VXUS. Past performance does not guarantee future results.

Which is riskier, DBEU or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 12.7% for DBEU. Worst drawdown: DBEU -34.5% vs VXUS -39.9%.

Should I hold both DBEU and VXUS?

DBEU and VXUS have a monthly-return correlation of 0.85, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between DBEU and VXUS?

DBEU and VXUS share 273 common holdings with a 21.4% weight overlap. Combined, they hold 7995 unique securities.

Which pays a higher dividend, DBEU or VXUS?

DBEU yields 1.40% while VXUS yields 2.59%, so VXUS currently pays the higher dividend yield.

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