EDD vs VXUS
Morgan Stanley Emerging Markets Domestic Debt Fund Inc. vs Vanguard Total International Stock ETF
Which is better, EDD or VXUS?
Emerging Markets Bond against Large Cap Blend.
VXUS has a lower expense ratio. EDD led over 3Y, VXUS over 1Y, 5Y and the full window.
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
| Metric | EDD | VXUS |
|---|---|---|
| Expense Ratio | 1.90% | 0.05%Best |
| AUM | - | $158.1B |
| Dividend Yield | 10.73% | 2.59% |
| Holdings | 684 | 8,747 |
| YTD Return | +14.46% | +16.15%Best |
| 1Y Return | +23.09% | +27.58%Best |
| 3Y Return (annualized) | +20.78%Best | +20.48% |
| 5Y Return (annualized) | +8.18% | +9.09%Best |
| Volatility (annualized) | 18.1% | 15.0%Best |
| Max Drawdown | -77.2% | -39.9%Best |
| $10,000 over 5 years | $14,816 | $15,450Best |
| Fund Family | Morgan Stanley Investment Management | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Emerging Markets Bond | Large Cap Blend |
| Inception | Apr 24, 2007 | Jan 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).
EDD 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.
EDD vs VXUS Performance
Morgan Stanley Emerging Markets Domestic Debt Fund Inc. (EDD) is an ETF from Morgan Stanley Investment Management and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year EDD returned +23.09% while VXUS returned +27.58%. Year to date, EDD is up 14.46% versus a gain of 16.15% for VXUS.
Over three years, EDD compounded at +20.78% per year against +20.48% for VXUS; over five years the annualized figures are +8.18% and +9.09% respectively. Across the full 16-year window we track, VXUS has the edge at +4.93% annualized vs -3.20%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
EDD has been the more volatile fund, with annualized monthly volatility of 18.1% compared with 15.0% 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 -77.2% for EDD 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 0.80. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
EDD charges 1.90% per year while VXUS charges 0.05%. On a $10,000 position that is $190 vs $5 annually, a gap of $185 per year that compounds over a long holding period. On income, EDD currently yields 10.73% against 2.59% for VXUS.
Holdings Overlap
We hold position weights for 9 holdings in EDD and 8,094 in VXUS, totalling 4.1% and 87.7% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 1 positions appear in both.
The two holdings books were reported 150 days apart, EDD as of Jan 31, 2026 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.
1 positions in common, counted across the 9 positions we hold weights for in EDD and 8,094 in VXUS, against full books of 684 and 8,747.
Top Shared Holdings
| Stock | Weight in EDD | Weight in VXUS | Difference |
|---|---|---|---|
| TBCG:GETbc Bank Jsc | 0.32% | 0.01% | 0.31% |
You are not choosing between two funds in isolation.
Whichever of EDD and VXUS you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, EDD or VXUS?
EDD has an expense ratio of 1.90% while VXUS charges 0.05%. VXUS is the cheaper option, by $185 a year on a $10,000 investment.
Which performed better, EDD or VXUS?
Over the past year EDD returned +23.09% vs +27.58% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (16 years), EDD annualized -3.20% vs +4.93% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, EDD or VXUS?
EDD has been the more volatile fund at 18.1% annualized versus 15.0% for VXUS. Worst drawdown: EDD -77.2% vs VXUS -39.9%.
Should I hold both EDD and VXUS?
EDD and VXUS have a monthly-return correlation of 0.80, 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, EDD or VXUS?
EDD yields 10.73% while VXUS yields 2.59%, so EDD currently pays the higher dividend yield.
Is VXUS better than EDD?
VXUS has a lower expense ratio. EDD led over 3Y, VXUS over 1Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.