MSFD vs VXUS

MSFD vs VXUS
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Quick Verdict

VXUS has a lower expense ratio. VXUS delivered stronger 1-year returns. VXUS offers more diversification with 8,747 holdings.

Lower Fees: VXUSHigher Returns: VXUSMore Diversified: VXUS

Side-by-Side Comparison

MetricMSFDVXUSWinner
Expense Ratio1.02%0.05%
AUM$18M$158.1B
Dividend Yield4.03%2.59%
Holdings68,747
YTD Return-7.97%+14.26%
1Y Return-0.03%+25.40%
3Y Return (annualized)-13.29%+20.47%
5Y Return (annualized)-+9.76%
Volatility (annualized)26.1%15.1%
Max Drawdown-59.9%-39.9%
Fund FamilyDirexion Shares ETF TrustVanguard (US)
CategoryAlternativeEquity
InceptionSep 7, 2022Jan 26, 2011

MSFD vs VXUS Performance

Direxion Daily MSFT Bear 1X ETF (MSFD) is a ETF from Direxion Shares ETF Trust and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year MSFD returned -0.03% while VXUS returned +25.40%. Year to date, MSFD is down 7.97% versus a gain of 14.26% for VXUS.

Over three years, MSFD compounded at -13.29% per year against +20.47% for VXUS. Across the full 4-year window we track, VXUS has the edge at +4.83% annualized vs -16.12%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

MSFD has been the more volatile fund, with annualized monthly volatility of 26.1% 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 -59.9% for MSFD 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 -0.26. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

MSFD charges 1.02% per year while VXUS charges 0.05%. On a $10,000 position that is $102 vs $5 annually, a gap of $97 per year that compounds over a long holding period. On income, MSFD currently yields 4.03% against 2.59% for VXUS.

Holdings Overlap

0.0%overlap

MSFD and VXUS share 0 holdings out of 7872 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, MSFD or VXUS?

MSFD has an expense ratio of 1.02% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $97 per year of difference.

Which performed better, MSFD or VXUS?

Over the past year MSFD returned -0.03% vs +25.40% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (4 years), MSFD annualized -16.12% vs +4.83% for VXUS. Past performance does not guarantee future results.

Which is riskier, MSFD or VXUS?

MSFD has been the more volatile fund at 26.1% annualized versus 15.1% for VXUS. Worst drawdown: MSFD -59.9% vs VXUS -39.9%.

Should I hold both MSFD and VXUS?

MSFD and VXUS have a monthly-return correlation of -0.26, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between MSFD and VXUS?

MSFD and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 7872 unique securities.

Which pays a higher dividend, MSFD or VXUS?

MSFD yields 4.03% while VXUS yields 2.59%, so MSFD currently pays the higher dividend yield.

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