LVHI vs VXUS

LVHI vs VXUS

Which is better, LVHI or VXUS?

Large Cap Value against Large Cap Blend.

VXUS has a lower expense ratio. LVHI led over 3Y, 5Y and the full window, VXUS over 1Y.

Lower Fees: VXUSHigher Returns: split

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

MetricLVHIVXUS
Expense Ratio0.40%0.05%Best
AUM$5.8B$158.1B
Dividend Yield3.76%2.59%
Holdings3008,747
YTD Return+14.81%+16.15%Best
1Y Return+26.86%+27.58%Best
3Y Return (annualized)+22.19%Best+20.48%
5Y Return (annualized)+16.18%Best+9.09%
Volatility (annualized)11.0%Best14.8%
Max Drawdown-32.3%Best-39.9%
$10,000 over 5 years$21,167Best$15,450
Fund FamilyFranklin Templeton Investments (US)Vanguard (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Blend
InceptionJul 27, 2016Jan 26, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Jul 28, 2016 to Sep 4, 2026 (10.1 years).

LVHI 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 10.1 years both funds cover.

LVHI vs VXUS Performance

Franklin International Low Volatility High Dividend Index ETF (LVHI) is an ETF from Franklin Templeton Investments (US) and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year LVHI returned +26.86% while VXUS returned +27.58%. Year to date, LVHI is up 14.81% versus a gain of 16.15% for VXUS.

Over three years, LVHI compounded at +22.19% per year against +20.48% for VXUS; over five years the annualized figures are +16.18% and +9.09% respectively. Across the full 10-year window we track, LVHI has the edge at +11.39% annualized vs +8.45%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 14.8% compared with 11.0% for LVHI. 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 -32.3% for LVHI 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 0.79. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

LVHI charges 0.40% per year while VXUS charges 0.05%. On a $10,000 position that is $40 vs $5 annually, a gap of $35 per year that compounds over a long holding period. On income, LVHI currently yields 3.76% against 2.59% for VXUS.

Holdings Overlap

LVHI already in VXUS74.7%

At least 74.7% of LVHI'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 LVHI is already inside VXUS. Owning both mostly buys the same companies twice.

126 positions in common, counted across the 194 positions we hold weights for in LVHI and 8,094 in VXUS, against full books of 300 and 8,747.

Top Shared Holdings

StockWeight in LVHIWeight in VXUSDifference
SHELShell Plc2.57%0.48%2.09%
NOVN:SMNovartis Ag – Class N2.04%0.65%1.39%
ISP:MIIntesa Sanpaolo SpA Shs2.44%0.23%2.21%
BHP:AUBHP Group Limited Ordinary Shares2.23%0.30%1.93%
ULVR:LNUnilever Plc Ordinary Shares2.21%0.28%1.93%
CNQ:CACanadian Natural Resources Ltd2.27%0.18%2.09%
RIO:LNRio Tinto Plc Ordinary Shares2.17%0.22%1.95%
SU:CASuncor Energy, Inc.2.23%0.14%2.09%
BNS:CABank Of Nova Scotia/The Common Stock2.13%0.24%1.89%
NESN:SMNestle Sa1.65%0.59%1.06%

74.7% of LVHI 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.

LVHIVXUS

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Frequently Asked Questions

Which is cheaper, LVHI or VXUS?

LVHI has an expense ratio of 0.40% while VXUS charges 0.05%. VXUS is the cheaper option, by $35 a year on a $10,000 investment.

Which performed better, LVHI or VXUS?

Over the past year LVHI returned +26.86% vs +27.58% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (10 years), LVHI annualized +11.39% vs +8.45% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, LVHI or VXUS?

VXUS has been the more volatile fund at 14.8% annualized versus 11.0% for LVHI. Worst drawdown: LVHI -32.3% vs VXUS -39.9%.

Should I hold both LVHI and VXUS?

LVHI and VXUS have a monthly-return correlation of 0.79, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between LVHI and VXUS?

At least 74.7% of LVHI's money is in holdings VXUS also owns. Our book for VXUS is partial, so the real figure is this or higher. They hold 126 positions in common, counted across the 194 positions we hold weights for in LVHI and 8,094 in VXUS.

Which pays a higher dividend, LVHI or VXUS?

LVHI yields 3.76% while VXUS yields 2.59%, so LVHI currently pays the higher dividend yield.

Is VXUS better than LVHI?

VXUS has a lower expense ratio. LVHI led over 3Y, 5Y and the full window, VXUS over 1Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.