VEU vs VGK
Vanguard FTSE All World Ex US ETF vs Vanguard FTSE Europe ETF
Which is better, VEU or VGK?
Nearly the same fund. VEU costs less.
VEU has a lower expense ratio. VEU led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.96.
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 | VEU | VGK |
|---|---|---|
| Expense Ratio | 0.04%Best | 0.06% |
| AUM | $68.4B | $38.5B |
| Dividend Yield | 2.48% | 2.81% |
| Holdings | 3,928 | 1,240 |
| YTD Return | +15.10%Best | +7.70% |
| 1Y Return | +22.59%Best | +15.70% |
| 3Y Return (annualized) | +21.15%Best | +18.93% |
| 5Y Return (annualized) | +9.75%Best | +9.18% |
| Volatility (annualized) | 17.7%Best | 19.2% |
| Max Drawdown | -62.8%Best | -67.3% |
| $10,000 over 5 years | $15,923Best | $15,514 |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Mar 2, 2007 | Mar 4, 2005 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Mar 8, 2007 to Sep 22, 2026 (19.5 years).
VEU 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 19.5 years both funds cover.
VEU vs VGK Performance
Vanguard FTSE All World Ex US ETF (VEU) is an ETF from Vanguard (US) and Vanguard FTSE Europe ETF (VGK) is an ETF from Vanguard (US). Over the past year VEU returned +22.59% while VGK returned +15.70%. Year to date, VEU is up 15.10% versus a gain of 7.70% for VGK.
Over three years, VEU compounded at +21.15% per year against +18.93% for VGK; over five years the annualized figures are +9.75% and +9.18% respectively. Across the full 20-year window we track, VEU has the edge at +3.56% annualized vs +2.36%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VGK has been the more volatile fund, with annualized monthly volatility of 19.2% compared with 17.7% for VEU. 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 -62.8% for VEU 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 0.96. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
VEU charges 0.04% per year while VGK charges 0.06%. On a $10,000 position that is $4 vs $6 annually, a gap of $2 per year that compounds over a long holding period. On income, VEU currently yields 2.48% against 2.81% for VGK.
Holdings Overlap
At least 78.4% of VGK's money is in holdings VEU also owns.
Stated as a floor: for VEU, 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.
Most of VGK is already inside VEU. Owning both mostly buys the same companies twice.
420 positions in common, counted across the 3,645 positions we hold weights for in VEU and 1,101 in VGK, against full books of 3,928 and 1,240.
Top Shared Holdings
| Stock | Weight in VEU | Weight in VGK | Difference |
|---|---|---|---|
| ASML:ASAsml Holding Nv | 1.56% | 3.91% | 2.35% |
| HSBA:LNHsbc Securities Inc | 0.89% | 2.25% | 1.36% |
| ROP:SMRoche Ps Par Ag | 0.75% | 1.89% | 1.14% |
| NOVN:SMNovartis Ag – Class N | 0.71% | 1.79% | 1.08% |
| NESN:SMNestle Sa | 0.63% | 1.58% | 0.95% |
| AZN:LNAstraZeneca PLC | 0.62% | 1.57% | 0.95% |
| SIE:SGSiemens Ag | 0.59% | 1.48% | 0.89% |
| SHELShell Plc | 0.63% | 1.44% | 0.81% |
| SAN:MABanco Santander S.a. | 0.50% | 1.27% | 0.77% |
| SAP:SGSap Se | 0.46% | 1.16% | 0.70% |
78.4% of VGK is already inside VEU.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, VEU or VGK?
VEU has an expense ratio of 0.04% while VGK charges 0.06%. VEU is the cheaper option, by $2 a year on a $10,000 investment.
Which performed better, VEU or VGK?
Over the past year VEU returned +22.59% vs +15.70% for VGK, so VEU leads on 1-year performance. Over the longest common window we track (20 years), VEU annualized +3.56% vs +2.36% for VGK. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VEU or VGK?
VGK has been the more volatile fund at 19.2% annualized versus 17.7% for VEU. Worst drawdown: VEU -62.8% vs VGK -67.3%.
Should I hold both VEU and VGK?
VEU and VGK have a monthly-return correlation of 0.96, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between VEU and VGK?
At least 78.4% of VGK's money is in holdings VEU also owns. Our book for VEU is partial, so the real figure is this or higher. They hold 420 positions in common, counted across the 3,645 positions we hold weights for in VEU and 1,101 in VGK.
Which pays a higher dividend, VEU or VGK?
VEU yields 2.48% while VGK yields 2.81%, so VGK currently pays the higher dividend yield.
Is VGK better than VEU?
VEU has a lower expense ratio. VEU led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.96. Which one suits a particular account depends on what it is for. This is information, not a recommendation.