FTXO vs VXUS

FTXO vs VXUS
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Quick Verdict

VXUS has a lower expense ratio. FTXO delivered stronger 1-year returns. VXUS offers more diversification with 8,747 holdings.

Lower Fees: VXUSHigher Returns: FTXOMore Diversified: VXUS

Side-by-Side Comparison

MetricFTXOVXUSWinner
Expense Ratio0.60%0.05%
AUM$321M$158.1B
Dividend Yield1.72%2.59%
Holdings518,747
YTD Return+14.16%+13.56%
1Y Return+29.71%+24.30%
3Y Return (annualized)+29.13%+20.24%
5Y Return (annualized)+9.74%+9.37%
Volatility (annualized)27.1%15.1%
Max Drawdown-57.8%-39.9%
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryEquityEquity
InceptionSep 20, 2016Jan 26, 2011

FTXO vs VXUS Performance

First Trust Nasdaq Bank ETF (FTXO) is a ETF from First Trust Portfolios (US) and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year FTXO returned +29.71% while VXUS returned +24.30%. Year to date, FTXO is up 14.16% versus a gain of 13.56% for VXUS.

Over three years, FTXO compounded at +29.13% per year against +20.24% for VXUS; over five years the annualized figures are +9.74% and +9.37% respectively. Across the full 10-year window we track, FTXO has the edge at +9.33% annualized vs +4.79%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FTXO has been the more volatile fund, with annualized monthly volatility of 27.1% 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 -57.8% for FTXO 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 0.61. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FTXO charges 0.60% per year while VXUS charges 0.05%. On a $10,000 position that is $60 vs $5 annually, a gap of $55 per year that compounds over a long holding period. On income, FTXO currently yields 1.72% against 2.59% for VXUS.

Holdings Overlap

0.1%overlap

FTXO and VXUS share 1 holdings out of 7918 unique holdings combined, representing a 0.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FTXOWeight in VXUSDifference
HBAN3.04%0.05%2.99%

Frequently Asked Questions

Which is cheaper, FTXO or VXUS?

FTXO has an expense ratio of 0.60% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $55 per year of difference.

Which performed better, FTXO or VXUS?

Over the past year FTXO returned +29.71% vs +24.30% for VXUS, so FTXO leads on 1-year performance. Over the longest common window we track (10 years), FTXO annualized +9.33% vs +4.79% for VXUS. Past performance does not guarantee future results.

Which is riskier, FTXO or VXUS?

FTXO has been the more volatile fund at 27.1% annualized versus 15.1% for VXUS. Worst drawdown: FTXO -57.8% vs VXUS -39.9%.

Should I hold both FTXO and VXUS?

FTXO and VXUS have a monthly-return correlation of 0.61, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FTXO and VXUS?

FTXO and VXUS share 1 common holdings with a 0.1% weight overlap. Combined, they hold 7918 unique securities.

Which pays a higher dividend, FTXO or VXUS?

FTXO yields 1.72% while VXUS yields 2.59%, so VXUS currently pays the higher dividend yield.

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