FEM vs VXUS
First Trust Emerging Markets AlphaDEX Fund vs Vanguard Total International Stock ETF
Which is better, FEM or VXUS?
Each has led over a different period.
VXUS has a lower expense ratio. FEM led over 1Y, VXUS over 3Y, 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 | FEM | VXUS |
|---|---|---|
| Expense Ratio | 0.80% | 0.05%Best |
| AUM | $734M | $163.2B |
| Dividend Yield | 2.32% | 2.38% |
| Holdings | 344 | 9,293 |
| YTD Return | +12.27%Best | +8.79% |
| 1Y Return | +14.28%Best | +11.84% |
| 3Y Return (annualized) | +17.50% | +18.90%Best |
| 5Y Return (annualized) | +7.70% | +7.84%Best |
| Volatility (annualized) | 19.6% | 15.1%Best |
| Max Drawdown | -49.8% | -39.9%Best |
| $10,000 over 5 years | $14,490 | $14,585Best |
| Fund Family | First Trust Portfolios (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Apr 18, 2011 | Jan 26, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Apr 19, 2011 to Nov 12, 2026 (15.6 years).
FEM 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.
FEM vs VXUS Performance
First Trust Emerging Markets AlphaDEX Fund (FEM) is an ETF from First Trust Portfolios (US) and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year FEM returned +14.28% while VXUS returned +11.84%. Year to date, FEM is up 12.27% versus a gain of 8.79% for VXUS.
Over three years, FEM compounded at +17.50% per year against +18.90% for VXUS; over five years the annualized figures are +7.70% and +7.84% respectively. Across the full 16-year window we track, VXUS has the edge at +4.28% annualized vs +1.85%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FEM has been the more volatile fund, with annualized monthly volatility of 19.6% 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 -49.8% for FEM 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 0.88. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FEM charges 0.80% per year while VXUS charges 0.05%. On a $10,000 position that is $80 vs $5 annually, a gap of $75 per year that compounds over a long holding period. On income, FEM currently yields 2.32% against 2.38% for VXUS.
Holdings Overlap
At least 62.8% of FEM's money is in holdings VXUS also owns.
Stated as a floor: for VXUS, our book for it covers 89.2% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
The two portfolios partly overlap.
93 positions in common, counted across the 153 positions we hold weights for in FEM and 8,463 in VXUS, against full books of 344 and 9,293.
Top Shared Holdings
| Stock | Weight in FEM | Weight in VXUS | Difference |
|---|---|---|---|
| PGE:PLPGE Polska Grupa Energetyczna S.A. Pge Polska Grupa Energetyczna Sa | 1.23% | 0.01% | 1.22% |
| 2615:TWWan Hai Lines Ltd | 1.19% | 0.01% | 1.18% |
| 6213:TWIteq Corp | 1.17% | 0.01% | 1.16% |
| 2887:TWTaishin Financial Holding Co Ltd | 1.10% | 0.07% | 1.03% |
| FUNO11:MXFibra Uno Administracion Sa De | 1.16% | 0.01% | 1.15% |
| 2357:TWAsustek Computer Inc | 1.11% | 0.05% | 1.06% |
| AADI:IDPt Adaro Andalan Indonesia Tbk | 1.16% | 0.00% | 1.16% |
| TUPRS:TRTupras-Turkiye Petrol Rafine | 1.14% | 0.02% | 1.12% |
| CMPC:CLEmpresas Cmpc Sa | 1.15% | 0.00% | 1.15% |
| ASII:IDPt Astra International Tbk | 1.14% | 0.01% | 1.13% |
62.8% of FEM is already inside VXUS.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FEM or VXUS?
FEM has an expense ratio of 0.80% while VXUS charges 0.05%. VXUS is the cheaper option, by $75 a year on a $10,000 investment.
Which performed better, FEM or VXUS?
Over the past year FEM returned +14.28% vs +11.84% for VXUS, so FEM leads on 1-year performance. Over the longest common window we track (16 years), FEM annualized +1.85% vs +4.28% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FEM or VXUS?
FEM has been the more volatile fund at 19.6% annualized versus 15.1% for VXUS. Worst drawdown: FEM -49.8% vs VXUS -39.9%.
Should I hold both FEM and VXUS?
FEM and VXUS have a monthly-return correlation of 0.88, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between FEM and VXUS?
At least 62.8% of FEM's money is in holdings VXUS also owns. Our book for VXUS is partial, so the real figure is this or higher. They hold 93 positions in common, counted across the 153 positions we hold weights for in FEM and 8,463 in VXUS.
Which pays a higher dividend, FEM or VXUS?
FEM yields 2.32% while VXUS yields 2.38%, so VXUS currently pays the higher dividend yield.
Is VXUS better than FEM?
VXUS has a lower expense ratio. FEM led over 1Y, VXUS over 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.