FPFD vs VXUS

FPFD 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

MetricFPFDVXUSWinner
Expense Ratio0.59%0.05%
AUM$81M$158.1B
Dividend Yield5.81%2.59%
Holdings3338,747
YTD Return-3.04%+15.22%
1Y Return-1.09%+26.86%
3Y Return (annualized)+5.71%+20.34%
5Y Return (annualized)+0.63%+9.38%
Volatility (annualized)8.4%15.1%
Max Drawdown-20.8%-39.9%
Fund FamilyFidelity Investments (US)Vanguard (US)
CategoryAllocation/BalancedEquity
InceptionJun 15, 2021Jan 26, 2011

FPFD vs VXUS Performance

Fidelity Preferred Securities & Income ETF (FPFD) is a ETF from Fidelity Investments (US) and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year FPFD returned -1.09% while VXUS returned +26.86%. Year to date, FPFD is down 3.04% versus a gain of 15.22% for VXUS.

Over three years, FPFD compounded at +5.71% per year against +20.34% for VXUS; over five years the annualized figures are +0.63% and +9.38% respectively. Across the full 5-year window we track, VXUS has the edge at +4.89% annualized vs +0.91%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 8.4% for FPFD. 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 -20.8% for FPFD 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 0.73. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FPFD charges 0.59% per year while VXUS charges 0.05%. On a $10,000 position that is $59 vs $5 annually, a gap of $54 per year that compounds over a long holding period. On income, FPFD currently yields 5.81% against 2.59% for VXUS.

Holdings Overlap

0.3%overlap

FPFD and VXUS share 6 holdings out of 7942 unique holdings combined, representing a 0.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FPFDWeight in VXUSDifference
BAC:AR0.72%0.01%0.71%
VOD:LN0.51%0.06%0.45%
TRP:CA0.21%0.15%0.06%
HBANProProPro
ALA:CAProProPro
AQN:CAProProPro
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Frequently Asked Questions

Which is cheaper, FPFD or VXUS?

FPFD has an expense ratio of 0.59% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $54 per year of difference.

Which performed better, FPFD or VXUS?

Over the past year FPFD returned -1.09% vs +26.86% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (5 years), FPFD annualized +0.91% vs +4.89% for VXUS. Past performance does not guarantee future results.

Which is riskier, FPFD or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 8.4% for FPFD. Worst drawdown: FPFD -20.8% vs VXUS -39.9%.

Should I hold both FPFD and VXUS?

FPFD and VXUS have a monthly-return correlation of 0.73, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FPFD and VXUS?

FPFD and VXUS share 6 common holdings with a 0.3% weight overlap. Combined, they hold 7942 unique securities.

Which pays a higher dividend, FPFD or VXUS?

FPFD yields 5.81% while VXUS yields 2.59%, so FPFD currently pays the higher dividend yield.

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