FMCE vs VXUS

Quick Verdict

VXUS has a lower expense ratio. VXUS delivered stronger 1-year returns. VXUS offers more diversification with 7861 holdings.

Lower Fees: VXUSHigher Returns: VXUSMore Diversified: VXUS

Side-by-Side Comparison

MetricFMCEVXUSWinner
Expense Ratio0.72%0.05%
AUM$67M$156.5B
Dividend Yield2.82%2.60%
Holdings308,747
YTD Return+11.00%+15.00%
1Y Return+14.36%+26.87%
3Y Return (annualized)-+19.79%
5Y Return (annualized)-+9.26%
Volatility (annualized)11.7%15.1%
Max Drawdown-11.7%-39.9%
Fund FamilyFirst ManhattanVanguard (US)
CategoryEquityEquity
InceptionNov 8, 2024Jan 26, 2011

FMCE vs VXUS Performance

FM Compounders Equity ETF (FMCE) is a ETF from First Manhattan and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year FMCE returned +14.36% while VXUS returned +26.87%. Year to date, FMCE is up 11.00% versus a gain of 15.00% for VXUS.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 11.7% for FMCE. 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 -11.7% for FMCE 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 0.76. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FMCE charges 0.72% per year while VXUS charges 0.05%. On a $10,000 position that is $72 vs $5 annually, a gap of $67 per year that compounds over a long holding period. On income, FMCE currently yields 2.82% against 2.60% for VXUS.

Holdings Overlap

1.6%overlap

FMCE and VXUS share 2 holdings out of 7890 unique holdings combined, representing a 1.6% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FMCEWeight in VXUSDifference
ASML:AS2.83%1.29%1.54%
6758:JP0.96%0.31%0.65%

Frequently Asked Questions

Which is cheaper, FMCE or VXUS?

FMCE has an expense ratio of 0.72% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $67 per year of difference.

Which performed better, FMCE or VXUS?

Over the past year FMCE returned +14.36% vs +26.87% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (2 years), FMCE annualized +11.03% vs +4.88% for VXUS. Past performance does not guarantee future results.

Which is riskier, FMCE or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 11.7% for FMCE. Worst drawdown: FMCE -11.7% vs VXUS -39.9%.

Should I hold both FMCE and VXUS?

FMCE and VXUS have a monthly-return correlation of 0.76, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FMCE and VXUS?

FMCE and VXUS share 2 common holdings with a 1.6% weight overlap. Combined, they hold 7890 unique securities.

Which pays a higher dividend, FMCE or VXUS?

FMCE yields 2.82% while VXUS yields 2.60%, so FMCE currently pays the higher dividend yield.

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