USDU 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

MetricUSDUVXUSWinner
Expense Ratio0.51%0.05%
AUM$464M$156.5B
Dividend Yield3.70%2.60%
Holdings28,747
YTD Return+2.01%+14.57%
1Y Return+4.24%+27.82%
3Y Return (annualized)+4.53%+19.27%
5Y Return (annualized)+5.02%+9.28%
Volatility (annualized)6.2%15.1%
Max Drawdown-14.5%-39.9%
Fund FamilyWisdomTree InvestmentsVanguard (US)
CategoryAlternativeEquity
InceptionDec 18, 2013Jan 26, 2011

USDU vs VXUS Performance

WisdomTree Bloomberg US Dollar Bullish Fund (USDU) is a ETF from WisdomTree Investments and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year USDU returned +4.24% while VXUS returned +27.82%. Year to date, USDU is up 2.01% versus a gain of 14.57% for VXUS.

Over three years, USDU compounded at +4.53% per year against +19.27% for VXUS; over five years the annualized figures are +5.02% and +9.28% respectively. Across the full 13-year window we track, VXUS has the edge at +4.86% annualized vs +3.17%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 6.2% for USDU. 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 -14.5% for USDU 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 -0.68. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

USDU charges 0.51% per year while VXUS charges 0.05%. On a $10,000 position that is $51 vs $5 annually, a gap of $46 per year that compounds over a long holding period. On income, USDU currently yields 3.70% against 2.60% for VXUS.

Holdings Overlap

0.0%overlap

USDU and VXUS share 0 holdings out of 7862 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, USDU or VXUS?

USDU has an expense ratio of 0.51% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $46 per year of difference.

Which performed better, USDU or VXUS?

Over the past year USDU returned +4.24% vs +27.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (13 years), USDU annualized +3.17% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, USDU or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 6.2% for USDU. Worst drawdown: USDU -14.5% vs VXUS -39.9%.

Should I hold both USDU and VXUS?

USDU and VXUS have a monthly-return correlation of -0.68, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between USDU and VXUS?

USDU and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 7862 unique securities.

Which pays a higher dividend, USDU or VXUS?

USDU yields 3.70% while VXUS yields 2.60%, so USDU currently pays the higher dividend yield.

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