Quick Verdict

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

Lower Fees: VXUSHigher Returns: ICOWMore Diversified: VXUS

Side-by-Side Comparison

MetricICOWVXUSWinner
Expense Ratio0.65%0.05%
AUM$1.8B$156.5B
Dividend Yield2.36%2.60%
Holdings1088,747
YTD Return+15.52%+14.57%
1Y Return+30.65%+27.82%
3Y Return (annualized)+17.07%+19.27%
5Y Return (annualized)+10.52%+9.28%
Volatility (annualized)18.0%15.1%
Max Drawdown-43.5%-39.9%
Fund FamilyPacer ETFsVanguard (US)
CategoryEquityEquity
InceptionJun 16, 2017Jan 26, 2011

ICOW vs VXUS Performance

Pacer Developed Markets International Cash Cows 100 ETF (ICOW) is a ETF from Pacer ETFs and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year ICOW returned +30.65% while VXUS returned +27.82%. Year to date, ICOW is up 15.52% versus a gain of 14.57% for VXUS.

Over three years, ICOW compounded at +17.07% per year against +19.27% for VXUS; over five years the annualized figures are +10.52% and +9.28% respectively. Across the full 9-year window we track, ICOW has the edge at +9.70% annualized vs +4.86%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

ICOW has been the more volatile fund, with annualized monthly volatility of 18.0% 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 -43.5% for ICOW 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

ICOW charges 0.65% per year while VXUS charges 0.05%. On a $10,000 position that is $65 vs $5 annually, a gap of $60 per year that compounds over a long holding period. On income, ICOW currently yields 2.36% against 2.60% for VXUS.

Holdings Overlap

3.3%overlap

ICOW and VXUS share 66 holdings out of 7897 unique holdings combined, representing a 3.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in ICOWWeight in VXUSDifference
SHEL:LN1.86%0.54%1.32%
9433:JP2.12%0.11%2.01%
SU:CA1.82%0.40%1.42%
AD:ASProProPro
SGO:PAProProPro
BPProProPro
IAG:LNProProPro
8267:JPProProPro
VOD:LNProProPro
4689:JPProProPro
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Frequently Asked Questions

Which is cheaper, ICOW or VXUS?

ICOW has an expense ratio of 0.65% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $60 per year of difference.

Which performed better, ICOW or VXUS?

Over the past year ICOW returned +30.65% vs +27.82% for VXUS, so ICOW leads on 1-year performance. Over the longest common window we track (9 years), ICOW annualized +9.70% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, ICOW or VXUS?

ICOW has been the more volatile fund at 18.0% annualized versus 15.1% for VXUS. Worst drawdown: ICOW -43.5% vs VXUS -39.9%.

Should I hold both ICOW and VXUS?

ICOW and VXUS have a monthly-return correlation of 0.91, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between ICOW and VXUS?

ICOW and VXUS share 66 common holdings with a 3.3% weight overlap. Combined, they hold 7897 unique securities.

Which pays a higher dividend, ICOW or VXUS?

ICOW yields 2.36% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

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