DRIP vs VXUS

DRIP 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

MetricDRIPVXUSWinner
Expense Ratio1.01%0.05%
AUM$107M$158.1B
Dividend Yield3.97%2.59%
Holdings88,747
YTD Return-57.96%+15.52%
1Y Return-58.72%+26.73%
3Y Return (annualized)-27.39%+20.35%
5Y Return (annualized)-45.73%+9.40%
Volatility (annualized)91.5%15.1%
Max Drawdown-99.9%-39.9%
Fund FamilyDirexion Shares ETF TrustVanguard (US)
CategoryAlternativeEquity
InceptionMay 28, 2015Jan 26, 2011

DRIP vs VXUS Performance

Direxion Daily S&P Oil & Gas Exp. & Prod. Bear 2X ETF (DRIP) is a ETF from Direxion Shares ETF Trust and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year DRIP returned -58.72% while VXUS returned +26.73%. Year to date, DRIP is down 57.96% versus a gain of 15.52% for VXUS.

Over three years, DRIP compounded at -27.39% per year against +20.35% for VXUS; over five years the annualized figures are -45.73% and +9.40% respectively. Across the full 11-year window we track, VXUS has the edge at +4.90% annualized vs -41.68%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

DRIP has been the more volatile fund, with annualized monthly volatility of 91.5% compared with 15.1% for VXUS. 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 -99.9% for DRIP 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 -0.50. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

DRIP charges 1.01% per year while VXUS charges 0.05%. On a $10,000 position that is $101 vs $5 annually, a gap of $96 per year that compounds over a long holding period. On income, DRIP currently yields 3.97% against 2.59% for VXUS.

Holdings Overlap

0.0%overlap

DRIP and VXUS share 0 holdings out of 7872 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, DRIP or VXUS?

DRIP has an expense ratio of 1.01% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $96 per year of difference.

Which performed better, DRIP or VXUS?

Over the past year DRIP returned -58.72% vs +26.73% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (11 years), DRIP annualized -41.68% vs +4.90% for VXUS. Past performance does not guarantee future results.

Which is riskier, DRIP or VXUS?

DRIP has been the more volatile fund at 91.5% annualized versus 15.1% for VXUS. Worst drawdown: DRIP -99.9% vs VXUS -39.9%.

Should I hold both DRIP and VXUS?

DRIP and VXUS have a monthly-return correlation of -0.50, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between DRIP and VXUS?

DRIP and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 7872 unique securities.

Which pays a higher dividend, DRIP or VXUS?

DRIP yields 3.97% while VXUS yields 2.59%, so DRIP currently pays the higher dividend yield.

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