FXP 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

MetricFXPVXUSWinner
Expense Ratio0.95%0.05%
AUM$6M$156.5B
Dividend Yield2.55%2.60%
Holdings68,747
YTD Return+16.13%+14.57%
1Y Return+1.49%+27.82%
3Y Return (annualized)-28.89%+19.27%
5Y Return (annualized)-20.78%+9.28%
Volatility (annualized)48.2%15.1%
Max Drawdown-99.9%-39.9%
Fund FamilyProSharesVanguard (US)
CategoryAlternativeEquity
InceptionNov 6, 2007Jan 26, 2011

FXP vs VXUS Performance

ProShares Ultrashort FTSE China 50 (FXP) is a ETF from ProShares and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year FXP returned +1.49% while VXUS returned +27.82%. Year to date, FXP is up 16.13% versus a gain of 14.57% for VXUS.

Over three years, FXP compounded at -28.89% per year against +19.27% for VXUS; over five years the annualized figures are -20.78% and +9.28% respectively. Across the full 16-year window we track, VXUS has the edge at +4.86% annualized vs -28.72%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FXP has been the more volatile fund, with annualized monthly volatility of 48.2% 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 -99.9% for FXP 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 -0.58. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FXP charges 0.95% per year while VXUS charges 0.05%. On a $10,000 position that is $95 vs $5 annually, a gap of $90 per year that compounds over a long holding period. On income, FXP currently yields 2.55% against 2.60% for VXUS.

Frequently Asked Questions

Which is cheaper, FXP or VXUS?

FXP has an expense ratio of 0.95% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $90 per year of difference.

Which performed better, FXP or VXUS?

Over the past year FXP returned +1.49% vs +27.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (16 years), FXP annualized -28.72% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, FXP or VXUS?

FXP has been the more volatile fund at 48.2% annualized versus 15.1% for VXUS. Worst drawdown: FXP -99.9% vs VXUS -39.9%.

Should I hold both FXP and VXUS?

FXP and VXUS have a monthly-return correlation of -0.58, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, FXP or VXUS?

FXP yields 2.55% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

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