TMFX vs VXUS

TMFX vs VXUS

Which is better, TMFX or VXUS?

Mid Cap Growth against Large Cap Blend.

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

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

MetricTMFXVXUS
Expense Ratio0.50%0.05%Best
AUM$35M$158.1B
Dividend Yield0.04%2.51%
Holdings2008,747
YTD Return+10.27%+14.49%Best
1Y Return+8.94%+21.52%Best
3Y Return (annualized)+17.79%+20.55%Best
5Y Return (annualized)-+9.57%
Volatility (annualized)20.3%15.2%Best
Max Drawdown-34.3%-28.4%Best
$10,000 over 4.7 years$12,057$15,671Best
Fund FamilyMotley Fool Asset ManagementVanguard (US)
CategoryEquityEquity
StyleMid Cap GrowthLarge Cap Blend
InceptionDec 30, 2021Jan 26, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown, and the $10,000 over 4.7 years row, are measured over the window both funds cover: Dec 31, 2021 to Sep 21, 2026 (4.7 years).

TMFX 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 4.7 years both funds cover.

TMFX vs VXUS Performance

Motley Fool Next Index ETF (TMFX) is an ETF from Motley Fool Asset Management and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year TMFX returned +8.94% while VXUS returned +21.52%. Year to date, TMFX is up 10.27% versus a gain of 14.49% for VXUS.

Over three years, TMFX compounded at +17.79% per year against +20.55% for VXUS.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TMFX has been the more volatile fund, with annualized monthly volatility of 20.3% compared with 15.2% 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 -34.3% for TMFX and -28.4% 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 0.73. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

TMFX charges 0.50% per year while VXUS charges 0.05%. On a $10,000 position that is $50 vs $5 annually, a gap of $45 per year that compounds over a long holding period. On income, TMFX currently yields 0.04% against 2.51% for VXUS.

Holdings Overlap

TMFX already in VXUS1.0%

At least 1.0% of TMFX's money is in holdings VXUS also owns.

Stated as a floor: for VXUS, our book for it covers 88.8% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

We cannot see either book well enough to say how much of this pair is duplicated.

1 positions in common, counted across the 197 positions we hold weights for in TMFX and 8,082 in VXUS, against full books of 200 and 8,747.

What only one of them owns

Measured across the 197 and 8,082 positions we hold weights for.

VXUS holds 34 positions TMFX does not, 1.6% of the fund.

Largest: SHEL 0.57%, VWO 0.11%, JD 0.09%, ALC 0.08%, SUNB 0.07%

Top Shared Holdings

StockWeight in TMFXWeight in VXUSDifference
MKLMarkel Group Inc0.99%0.76%0.23%

You are not choosing between two funds in isolation.

Whichever of TMFX and VXUS you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

TMFXVXUS

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Frequently Asked Questions

Which is cheaper, TMFX or VXUS?

TMFX has an expense ratio of 0.50% while VXUS charges 0.05%. VXUS is the cheaper option, by $45 a year on a $10,000 investment.

Which performed better, TMFX or VXUS?

Over the past year TMFX returned +8.94% vs +21.52% 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, TMFX or VXUS?

TMFX has been the more volatile fund at 20.3% annualized versus 15.2% for VXUS. Worst drawdown: TMFX -34.3% vs VXUS -28.4%.

Should I hold both TMFX and VXUS?

TMFX and VXUS have a monthly-return correlation of 0.73, 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, TMFX or VXUS?

TMFX yields 0.04% while VXUS yields 2.51%, so VXUS currently pays the higher dividend yield.

Is VXUS better than TMFX?

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