LEMB vs VXUS
iShares JP Morgan EM Local Currency Bond ETF vs Vanguard Total International Stock ETF
Which is better, LEMB or VXUS?
VXUS has been ahead.
VXUS has a lower expense ratio. VXUS led over 1Y, 3Y, 5Y and the full window.
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
| Metric | LEMB | VXUS |
|---|---|---|
| Expense Ratio | 0.30% | 0.05%Best |
| AUM | $720M | $158.1B |
| Dividend Yield | 2.37% | 2.51% |
| Holdings | 469 | 8,747 |
| YTD Return | +2.93% | +13.64%Best |
| 1Y Return | +5.95% | +20.82%Best |
| 3Y Return (annualized) | +7.60% | +19.58%Best |
| 5Y Return (annualized) | +1.56% | +9.14%Best |
| Volatility (annualized) | 10.0%Best | 14.5% |
| Max Drawdown | -31.1%Best | -39.9% |
| $10,000 over 5 years | $10,805 | $15,485Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Blend |
| Inception | Oct 18, 2011 | Jan 26, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 17, 2026 (14.9 years).
LEMB 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 14.9 years both funds cover.
LEMB vs VXUS Performance
iShares JP Morgan EM Local Currency Bond ETF (LEMB) 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 LEMB returned +5.95% while VXUS returned +20.82%. Year to date, LEMB is up 2.93% versus a gain of 13.64% for VXUS.
Over three years, LEMB compounded at +7.60% per year against +19.58% for VXUS; over five years the annualized figures are +1.56% and +9.14% respectively. Across the full 15-year window we track, VXUS has the edge at +6.01% annualized vs +0.52%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VXUS has been the more volatile fund, with annualized monthly volatility of 14.5% compared with 10.0% for LEMB. 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 -31.1% for LEMB and -39.9% 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 0.75. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
LEMB charges 0.30% per year while VXUS charges 0.05%. On a $10,000 position that is $30 vs $5 annually, a gap of $25 per year that compounds over a long holding period. On income, LEMB currently yields 2.37% against 2.51% for VXUS.
Holdings Overlap
We hold position weights for 3 holdings in LEMB and 8,082 in VXUS, totalling 2.4% and 88.8% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 3 positions we hold weights for in LEMB and 8,082 in VXUS, against full books of 469 and 8,747.
You are not choosing between two funds in isolation.
Whichever of LEMB and VXUS you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, LEMB or VXUS?
LEMB has an expense ratio of 0.30% while VXUS charges 0.05%. VXUS is the cheaper option, by $25 a year on a $10,000 investment.
Which performed better, LEMB or VXUS?
Over the past year LEMB returned +5.95% vs +20.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (15 years), LEMB annualized +0.52% vs +6.01% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LEMB or VXUS?
VXUS has been the more volatile fund at 14.5% annualized versus 10.0% for LEMB. Worst drawdown: LEMB -31.1% vs VXUS -39.9%.
Should I hold both LEMB and VXUS?
LEMB and VXUS have a monthly-return correlation of 0.75, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, LEMB or VXUS?
LEMB yields 2.37% while VXUS yields 2.51%, so VXUS currently pays the higher dividend yield.
Is VXUS better than LEMB?
VXUS has a lower expense ratio. VXUS led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.