VB vs VGK
Vanguard Morningstar Small-Cap ETF vs Vanguard FTSE Europe ETF
Which is better, VB or VGK?
Small Cap Blend against Large Cap Blend.
VB has a lower expense ratio. VB led over the full window, VGK over 1Y, 3Y and 5Y. VB is less concentrated, with 4.3% of the fund in its ten largest positions against 18.4%.
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
| Metric | VB | VGK |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.06% |
| AUM | $79.7B | $38.5B |
| Dividend Yield | 1.21% | 2.81% |
| Holdings | 1,319 | 1,240 |
| YTD Return | +11.98%Best | +7.63% |
| 1Y Return | +15.45% | +16.02%Best |
| 3Y Return (annualized) | +15.91% | +18.04%Best |
| 5Y Return (annualized) | +7.03% | +9.17%Best |
| Volatility (annualized) | 19.1% | 18.5%Best |
| Max Drawdown | -61.0%Best | -67.3% |
| $10,000 over 5 years | $14,045 | $15,507Best |
| Top 10 Weight | 4.3%Best | 18.4% |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Blend |
| Inception | Jan 26, 2004 | Mar 4, 2005 |
Volatility and max drawdown are measured over the window both funds cover: Mar 10, 2005 to Sep 17, 2026 (21.5 years).
VB vs VGK 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 21.5 years both funds cover.
VB vs VGK Performance
Vanguard Morningstar Small-Cap ETF (VB) is an ETF from Vanguard (US) and Vanguard FTSE Europe ETF (VGK) is an ETF from Vanguard (US). Over the past year VB returned +15.45% while VGK returned +16.02%. Year to date, VB is up 11.98% versus a gain of 7.63% for VGK.
Over three years, VB compounded at +15.91% per year against +18.04% for VGK; over five years the annualized figures are +7.03% and +9.17% respectively. Across the full 22-year window we track, VB has the edge at +8.46% annualized vs +3.52%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VB has been the more volatile fund, with annualized monthly volatility of 19.1% compared with 18.5% for VGK. 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 -61.0% for VB and -67.3% for VGK. 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
VB charges 0.03% per year while VGK charges 0.06%. On a $10,000 position that is $3 vs $6 annually, a gap of $3 per year that compounds over a long holding period. On income, VB currently yields 1.21% against 2.81% for VGK.
Holdings Overlap
0.2% of VB's money is in holdings VGK also owns. 0.1% of VGK's money is in holdings VB also owns.
We cannot see either book well enough to say how much of this pair is duplicated.
3 positions in common, counted across the 1,302 positions we hold weights for in VB and 1,101 in VGK, against full books of 1,319 and 1,240.
What only one of them owns
Our book lists 11 positions for VGK that do not appear in our book for VB (3.2% of the fund), and 1,242 for VB that do not appear in VGK (93.8%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of VB and VGK you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, VB or VGK?
VB has an expense ratio of 0.03% while VGK charges 0.06%. VB is the cheaper option, by $3 a year on a $10,000 investment.
Which performed better, VB or VGK?
Over the past year VB returned +15.45% vs +16.02% for VGK, so VGK leads on 1-year performance. Over the longest common window we track (22 years), VB annualized +8.46% vs +3.52% for VGK. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VB or VGK?
VB has been the more volatile fund at 19.1% annualized versus 18.5% for VGK. Worst drawdown: VB -61.0% vs VGK -67.3%.
Should I hold both VB and VGK?
VB and VGK 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.
Which pays a higher dividend, VB or VGK?
VB yields 1.21% while VGK yields 2.81%, so VGK currently pays the higher dividend yield.
Is VGK better than VB?
VB has a lower expense ratio. VB led over the full window, VGK over 1Y, 3Y and 5Y. VB is less concentrated, with 4.3% of the fund in its ten largest positions against 18.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.