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

MetricILOWVXUSWinner
Expense Ratio0.50%0.05%
AUM$1.8B$156.5B
Dividend Yield0.65%2.60%
Holdings2028,747
YTD Return+11.29%+14.57%
1Y Return+16.60%+27.82%
3Y Return (annualized)-+19.27%
5Y Return (annualized)-+9.28%
Volatility (annualized)10.1%15.1%
Max Drawdown-10.4%-39.9%
Fund FamilyAllianceBernstein L.P.Vanguard (US)
CategoryEquityEquity
InceptionJul 15, 2024Jan 26, 2011

ILOW vs VXUS Performance

AB International Low Volatility Equity ETF (ILOW) is a ETF from AllianceBernstein L.P. and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year ILOW returned +16.60% while VXUS returned +27.82%. Year to date, ILOW is up 11.29% versus a gain of 14.57% for VXUS.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 10.1% for ILOW. 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 -10.4% for ILOW 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 0.85. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

ILOW charges 0.50% per year while VXUS charges 0.05%. On a $10,000 position that is $50 vs $5 annually, a gap of $45 per year that compounds over a long holding period. On income, ILOW currently yields 0.65% against 2.60% for VXUS.

Holdings Overlap

13.5%overlap

ILOW and VXUS share 68 holdings out of 7880 unique holdings combined, representing a 13.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in ILOWWeight in VXUSDifference
2330:TW2.22%3.41%1.19%
ASML:AS1.87%1.29%0.58%
AZN:LN2.11%0.71%1.40%
NOVN:SMProProPro
BAES:LNProProPro
ROG:SMProProPro
SHEL:LNProProPro
TSCO:LNProProPro
O39:SIProProPro
ENEI:MIProProPro
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Frequently Asked Questions

Which is cheaper, ILOW or VXUS?

ILOW has an expense ratio of 0.50% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $45 per year of difference.

Which performed better, ILOW or VXUS?

Over the past year ILOW returned +16.60% vs +27.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (2 years), ILOW annualized +17.84% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, ILOW or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 10.1% for ILOW. Worst drawdown: ILOW -10.4% vs VXUS -39.9%.

Should I hold both ILOW and VXUS?

ILOW and VXUS have a monthly-return correlation of 0.85, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between ILOW and VXUS?

ILOW and VXUS share 68 common holdings with a 13.5% weight overlap. Combined, they hold 7880 unique securities.

Which pays a higher dividend, ILOW or VXUS?

ILOW yields 0.65% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

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