ESML vs VXUS
iShares ESG Aware MSCI USA Small-Cap ETF vs Vanguard Total International Stock ETF
Which is better, ESML or VXUS?
Small Cap Blend against Large Cap Blend.
VXUS has a lower expense ratio. ESML led over the full window, VXUS over 1Y, 3Y and 5Y.
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 | ESML | VXUS |
|---|---|---|
| Expense Ratio | 0.17% | 0.05%Best |
| AUM | $2.8B | $158.1B |
| Dividend Yield | 0.91% | 2.51% |
| Holdings | 913 | 8,747 |
| YTD Return | +14.07%Best | +12.82% |
| 1Y Return | +16.60% | +19.86%Best |
| 3Y Return (annualized) | +16.53% | +19.33%Best |
| 5Y Return (annualized) | +7.65% | +9.46%Best |
| Volatility (annualized) | 21.3% | 15.9%Best |
| Max Drawdown | -42.0% | -36.4%Best |
| $10,000 over 5 years | $14,457 | $15,714Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Blend |
| Inception | Apr 10, 2018 | Jan 26, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Apr 12, 2018 to Sep 18, 2026 (8.4 years).
ESML 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 8.4 years both funds cover.
ESML vs VXUS Performance
iShares ESG Aware MSCI USA Small-Cap ETF (ESML) is an ETF from iShares by BlackRock (US) and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year ESML returned +16.60% while VXUS returned +19.86%. Year to date, ESML is up 14.07% versus a gain of 12.82% for VXUS.
Over three years, ESML compounded at +16.53% per year against +19.33% for VXUS; over five years the annualized figures are +7.65% and +9.46% respectively. Across the full 8-year window we track, ESML has the edge at +9.80% annualized vs +7.05%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ESML has been the more volatile fund, with annualized monthly volatility of 21.3% compared with 15.9% 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 -42.0% for ESML and -36.4% 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 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
ESML charges 0.17% per year while VXUS charges 0.05%. On a $10,000 position that is $17 vs $5 annually, a gap of $12 per year that compounds over a long holding period. On income, ESML currently yields 0.91% against 2.51% for VXUS.
Holdings Overlap
At least 0.8% of ESML's money is in holdings VXUS also owns.
Stated as a floor: for VXUS, our book for it covers 88.8% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
8 positions in common, counted across the 854 positions we hold weights for in ESML and 8,082 in VXUS, against full books of 913 and 8,747.
Top Shared Holdings
| Stock | Weight in ESML | Weight in VXUS | Difference |
|---|---|---|---|
| JHX:AUJames Hardie Industries PLC | 0.27% | 0.03% | 0.24% |
| EGPEastgroup Properties Inc. Real Estate Investment Trust | 0.16% | 0.00% | 0.16% |
| AMAntero Midstream Corporationam | 0.12% | 0.01% | 0.11% |
| SIG:LNSignet Jewelers Limited Common Shares | 0.07% | 0.02% | 0.05% |
| SCLStepan Co | 0.07% | 0.00% | 0.07% |
| BILLBill.Com Holdings, Inc. Common Stock | 0.06% | 0.00% | 0.06% |
| PPTA:CAPerpetua Resources Corp | 0.05% | 0.00% | 0.05% |
| CASHMeta Financial Group Inc | 0.04% | 0.00% | 0.04% |
You are not choosing between two funds in isolation.
Whichever of ESML 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, ESML or VXUS?
ESML has an expense ratio of 0.17% while VXUS charges 0.05%. VXUS is the cheaper option, by $12 a year on a $10,000 investment.
Which performed better, ESML or VXUS?
Over the past year ESML returned +16.60% vs +19.86% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (8 years), ESML annualized +9.80% vs +7.05% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ESML or VXUS?
ESML has been the more volatile fund at 21.3% annualized versus 15.9% for VXUS. Worst drawdown: ESML -42.0% vs VXUS -36.4%.
Should I hold both ESML and VXUS?
ESML and VXUS have a monthly-return correlation of 0.83, 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, ESML or VXUS?
ESML yields 0.91% while VXUS yields 2.51%, so VXUS currently pays the higher dividend yield.
Is VXUS better than ESML?
VXUS has a lower expense ratio. ESML led over the full window, VXUS over 1Y, 3Y and 5Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.