RAYC vs VXUS

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

MetricRAYCVXUSWinner
Expense Ratio0.80%0.05%
AUM$82M$156.5B
Dividend Yield5.19%2.60%
Holdings768,747
YTD Return+31.98%+14.57%
1Y Return+22.93%+27.82%
3Y Return (annualized)+2.77%+19.27%
5Y Return (annualized)-5.51%+9.28%
Volatility (annualized)22.0%15.1%
Max Drawdown-57.6%-39.9%
Fund FamilyThe Advisors Inner Circle FundVanguard (US)
CategoryEquityEquity
InceptionDec 30, 2020Jan 26, 2011

RAYC vs VXUS Performance

Rayliant Quantamental China Equity ETF (RAYC) is a ETF from The Advisors Inner Circle Fund and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year RAYC returned +22.93% while VXUS returned +27.82%. Year to date, RAYC is up 31.98% versus a gain of 14.57% for VXUS.

Over three years, RAYC compounded at +2.77% per year against +19.27% for VXUS; over five years the annualized figures are -5.51% and +9.28% respectively. Across the full 5-year window we track, VXUS has the edge at +4.86% annualized vs -5.51%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

RAYC has been the more volatile fund, with annualized monthly volatility of 22.0% 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 -57.6% for RAYC 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 0.44. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

RAYC charges 0.80% per year while VXUS charges 0.05%. On a $10,000 position that is $80 vs $5 annually, a gap of $75 per year that compounds over a long holding period. On income, RAYC currently yields 5.19% against 2.60% for VXUS.

Holdings Overlap

0.3%overlap

RAYC and VXUS share 60 holdings out of 7873 unique holdings combined, representing a 0.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in RAYCWeight in VXUSDifference
300750:SH6.80%0.03%6.77%
600276:SH3.08%0.01%3.07%
601899:SH3.00%0.02%2.98%
688256:SHProProPro
603259:SHProProPro
600036:SHProProPro
601668:SHProProPro
600660:SHProProPro
601601:SHProProPro
600183:SHProProPro
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Frequently Asked Questions

Which is cheaper, RAYC or VXUS?

RAYC has an expense ratio of 0.80% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $75 per year of difference.

Which performed better, RAYC or VXUS?

Over the past year RAYC returned +22.93% vs +27.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (5 years), RAYC annualized -5.51% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, RAYC or VXUS?

RAYC has been the more volatile fund at 22.0% annualized versus 15.1% for VXUS. Worst drawdown: RAYC -57.6% vs VXUS -39.9%.

Should I hold both RAYC and VXUS?

RAYC and VXUS have a monthly-return correlation of 0.44, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between RAYC and VXUS?

RAYC and VXUS share 60 common holdings with a 0.3% weight overlap. Combined, they hold 7873 unique securities.

Which pays a higher dividend, RAYC or VXUS?

RAYC yields 5.19% while VXUS yields 2.60%, so RAYC currently pays the higher dividend yield.

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