VEA vs VIG
Vanguard FTSE Developed Markets ETF vs Vanguard Dividend Appreciation ETF
Which is better, VEA or VIG?
Each has led over a different period.
VEA has a lower expense ratio. VEA led over 1Y and 3Y, VIG over 5Y and the full window.
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 | VEA | VIG |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.04% |
| AUM | $230.3B | $111.4B |
| Dividend Yield | 2.49% | 1.48% |
| Holdings | 3,886 | 335 |
| YTD Return | +13.73%Best | +8.31% |
| 1Y Return | +21.98%Best | +11.70% |
| 3Y Return (annualized) | +19.84%Best | +15.76% |
| 5Y Return (annualized) | +10.22% | +10.72%Best |
| Volatility (annualized) | 17.7% | 13.6%Best |
| Max Drawdown | -62.9% | -48.2%Best |
| $10,000 over 5 years | $16,267 | $16,639Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Jul 20, 2007 | Apr 21, 2006 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jul 26, 2007 to Sep 18, 2026 (19.1 years).
VEA vs VIG 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 19.1 years both funds cover.
VEA vs VIG Performance
Vanguard FTSE Developed Markets ETF (VEA) is an ETF from Vanguard (US) and Vanguard Dividend Appreciation ETF (VIG) is an ETF from Vanguard (US). Over the past year VEA returned +21.98% while VIG returned +11.70%. Year to date, VEA is up 13.73% versus a gain of 8.31% for VIG.
Over three years, VEA compounded at +19.84% per year against +15.76% for VIG; over five years the annualized figures are +10.22% and +10.72% respectively. Across the full 19-year window we track, VIG has the edge at +8.39% annualized vs +3.00%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VEA has been the more volatile fund, with annualized monthly volatility of 17.7% compared with 13.6% for VIG. 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 -62.9% for VEA and -48.2% for VIG. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.85. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VEA charges 0.03% per year while VIG charges 0.04%. On a $10,000 position that is $3 vs $4 annually, a gap of $1 per year that compounds over a long holding period. On income, VEA currently yields 2.49% against 1.48% for VIG.
Holdings Overlap
At least 0.5% of VIG's money is in holdings VEA also owns.
Stated as a floor: for VEA, our book for it covers 94.2% 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.
4 positions in common, counted across the 3,754 positions we hold weights for in VEA and 322 in VIG, against full books of 3,886 and 335.
You are not choosing between two funds in isolation.
Whichever of VEA and VIG 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, VEA or VIG?
VEA has an expense ratio of 0.03% while VIG charges 0.04%. VEA is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, VEA or VIG?
Over the past year VEA returned +21.98% vs +11.70% for VIG, so VEA leads on 1-year performance. Over the longest common window we track (19 years), VEA annualized +3.00% vs +8.39% for VIG. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VEA or VIG?
VEA has been the more volatile fund at 17.7% annualized versus 13.6% for VIG. Worst drawdown: VEA -62.9% vs VIG -48.2%.
Should I hold both VEA and VIG?
VEA and VIG have a monthly-return correlation of 0.85, 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, VEA or VIG?
VEA yields 2.49% while VIG yields 1.48%, so VEA currently pays the higher dividend yield.
Is VIG better than VEA?
VEA has a lower expense ratio. VEA led over 1Y and 3Y, VIG over 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.