LCTD vs VXUS

LCTD vs VXUS

Which is better, LCTD or VXUS?

Nearly the same fund. VXUS costs less.

VXUS has a lower expense ratio. VXUS led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97.

Lower Fees: VXUSHigher Returns: VXUS

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricLCTDVXUS
Expense Ratio0.22%0.05%Best
AUM$297M$158.1B
Dividend Yield3.30%2.59%
Holdings3658,747
YTD Return+11.39%+15.57%Best
1Y Return+20.89%+27.46%Best
3Y Return (annualized)+17.44%+20.30%Best
5Y Return (annualized)+7.71%+8.96%Best
Volatility (annualized)15.1%14.7%Best
Max Drawdown-29.8%-29.4%Best
$10,000 over 5 years$14,497$15,358Best
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Blend
InceptionApr 6, 2021Jan 26, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Apr 8, 2021 to Sep 3, 2026 (5.4 years).

LCTD vs VXUS growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 5.4 years both funds cover.

LCTD vs VXUS Performance

iShares World ex US Carbon Transition Readiness Aware Active ETF (LCTD) is an ETF from iShares by BlackRock (US) and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year LCTD returned +20.89% while VXUS returned +27.46%. Year to date, LCTD is up 11.39% versus a gain of 15.57% for VXUS.

Over three years, LCTD compounded at +17.44% per year against +20.30% for VXUS; over five years the annualized figures are +7.71% and +8.96% respectively.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

LCTD has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 14.7% 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 -29.8% for LCTD and -29.4% for VXUS. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.97. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

LCTD charges 0.22% per year while VXUS charges 0.05%. On a $10,000 position that is $22 vs $5 annually, a gap of $17 per year that compounds over a long holding period. On income, LCTD currently yields 3.30% against 2.59% for VXUS.

Holdings Overlap

LCTD already in VXUS70.7%

At least 70.7% of LCTD's money is in holdings VXUS also owns.

Stated as a floor: for VXUS, our book for it covers 87.7% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

Most of LCTD is already inside VXUS. Owning both mostly buys the same companies twice.

233 positions in common, counted across the 347 positions we hold weights for in LCTD and 8,094 in VXUS, against full books of 365 and 8,747.

Top Shared Holdings

StockWeight in LCTDWeight in VXUSDifference
ASML:ASASML Holding NV - Ordinary Shares2.72%1.70%1.02%
RY:CARoyal Bank Of Canada2.16%0.64%1.52%
NOVN:SMNovartis Ag – Class N1.56%0.65%0.91%
HSBA:LNHsbc Securities Inc1.37%0.72%0.65%
NESN:SMNestle Sa1.18%0.59%0.59%
AZN:LNAstraZeneca PLC1.15%0.62%0.53%
SIE:SGSiemens Ag1.11%0.52%0.59%
SAP:FFSap Se, Sponsored Adr1.28%0.35%0.93%
BMO:CABank Of Montreal1.10%0.28%0.82%
RD:CAThe Toronto-Dominion Bank0.91%0.45%0.46%

70.7% of LCTD is already inside VXUS.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

LCTDVXUS

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, LCTD or VXUS?

LCTD has an expense ratio of 0.22% while VXUS charges 0.05%. VXUS is the cheaper option, by $17 a year on a $10,000 investment.

Which performed better, LCTD or VXUS?

Over the past year LCTD returned +20.89% vs +27.46% for VXUS, so VXUS leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, LCTD or VXUS?

LCTD has been the more volatile fund at 15.1% annualized versus 14.7% for VXUS. Worst drawdown: LCTD -29.8% vs VXUS -29.4%.

Should I hold both LCTD and VXUS?

LCTD and VXUS have a monthly-return correlation of 0.97, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between LCTD and VXUS?

At least 70.7% of LCTD's money is in holdings VXUS also owns. Our book for VXUS is partial, so the real figure is this or higher. They hold 233 positions in common, counted across the 347 positions we hold weights for in LCTD and 8,094 in VXUS.

Which pays a higher dividend, LCTD or VXUS?

LCTD yields 3.30% while VXUS yields 2.59%, so LCTD currently pays the higher dividend yield.

Is VXUS better than LCTD?

VXUS has a lower expense ratio. VXUS led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. Which one suits a particular account depends on what it is for. This is information, not a recommendation.