IBIT 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

MetricIBITVXUSWinner
Expense Ratio0.25%0.05%
AUM$47.7B$156.5B
Dividend Yield0.00%2.60%
Holdings28,747
YTD Return-27.76%+14.57%
1Y Return-44.93%+27.82%
3Y Return (annualized)-+19.27%
5Y Return (annualized)-+9.28%
Volatility (annualized)52.8%15.1%
Max Drawdown-53.3%-39.9%
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryAlternativeEquity
InceptionJan 5, 2024Jan 26, 2011

IBIT vs VXUS Performance

iShares Bitcoin Trust ETF (IBIT) is a ETF from iShares by BlackRock (US) and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year IBIT returned -44.93% while VXUS returned +27.82%. Year to date, IBIT is down 27.76% versus a gain of 14.57% for VXUS.

Risk: Volatility and Drawdowns

IBIT has been the more volatile fund, with annualized monthly volatility of 52.8% 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 -53.3% for IBIT 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 0.09. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

IBIT charges 0.25% per year while VXUS charges 0.05%. On a $10,000 position that is $25 vs $5 annually, a gap of $20 per year that compounds over a long holding period. On income, IBIT currently yields 0.00% against 2.60% for VXUS.

Frequently Asked Questions

Which is cheaper, IBIT or VXUS?

IBIT has an expense ratio of 0.25% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $20 per year of difference.

Which performed better, IBIT or VXUS?

Over the past year IBIT returned -44.93% vs +27.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (3 years), IBIT annualized +13.41% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, IBIT or VXUS?

IBIT has been the more volatile fund at 52.8% annualized versus 15.1% for VXUS. Worst drawdown: IBIT -53.3% vs VXUS -39.9%.

Should I hold both IBIT and VXUS?

IBIT and VXUS have a monthly-return correlation of 0.09, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, IBIT or VXUS?

IBIT yields 0.00% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

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