VEU vs VTI
Vanguard FTSE All World Ex US ETF vs Vanguard Morningstar Total Stock Market ETF
Which is better, VEU or VTI?
Each has led over a different period.
VTI has a lower expense ratio. VEU led over 1Y, VTI over 3Y, 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 | VEU | VTI |
|---|---|---|
| Expense Ratio | 0.04% | 0.03%Best |
| AUM | $68.4B | $666.9B |
| Dividend Yield | 2.48% | 1.03% |
| Holdings | 3,928 | 3,543 |
| YTD Return | +12.87%Best | +11.53% |
| 1Y Return | +20.38%Best | +15.74% |
| 3Y Return (annualized) | +19.50% | +20.67%Best |
| 5Y Return (annualized) | +8.86% | +11.59%Best |
| Volatility (annualized) | 17.7% | 16.0%Best |
| Max Drawdown | -62.8% | -56.6%Best |
| $10,000 over 5 years | $15,288 | $17,303Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Mar 2, 2007 | May 24, 2001 |
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 15, 2026 (19.5 years).
VEU vs VTI 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 VTI Performance
Vanguard FTSE All World Ex US ETF (VEU) is an ETF from Vanguard (US) and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year VEU returned +20.38% while VTI returned +15.74%. Year to date, VEU is up 12.87% versus a gain of 11.53% for VTI.
Over three years, VEU compounded at +19.50% per year against +20.67% for VTI; over five years the annualized figures are +8.86% and +11.59% respectively. Across the full 20-year window we track, VTI has the edge at +9.38% annualized vs +3.46%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VEU has been the more volatile fund, with annualized monthly volatility of 17.7% compared with 16.0% for VTI. 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 -56.6% for VTI. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.86. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VEU charges 0.04% per year while VTI charges 0.03%. On a $10,000 position that is $4 vs $3 annually, a gap of $1 per year that compounds over a long holding period. On income, VEU currently yields 2.48% against 1.03% for VTI.
Holdings Overlap
At least 0.3% of VTI'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.
We cannot see either book well enough to say how much of this pair is duplicated.
11 positions in common, counted across the 3,645 positions we hold weights for in VEU and 3,463 in VTI, against full books of 3,928 and 3,543.
Top Shared Holdings
| Stock | Weight in VEU | Weight in VTI | Difference |
|---|---|---|---|
| MKLMarkel Group Inc | 0.57% | 0.07% | 0.50% |
| WCN:CAWaste Connections Inc Common Stock Cad 0 | 0.10% | 0.06% | 0.04% |
| SUNBSunbelt Rentals | 0.07% | 0.04% | 0.03% |
| HBANHuntington Bancshares Inc./Oh | 0.05% | 0.05% | 0.00% |
| RBA:CARb Global, Inc | 0.05% | 0.03% | 0.02% |
| HALHalliburton Co. | 0.02% | 0.03% | 0.01% |
| FBKFb Financial Corp | 0.04% | 0.00% | 0.04% |
| SIG:LNSignet Jewelers Limited Common Shares | 0.03% | 0.01% | 0.02% |
| KRKroger Co. | 0.00% | 0.04% | 0.04% |
| SGP:AUStockland Corp. Ltd. | 0.02% | 0.00% | 0.02% |
You are not choosing between two funds in isolation.
Whichever of VEU and VTI 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, VEU or VTI?
VEU has an expense ratio of 0.04% while VTI charges 0.03%. VTI is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, VEU or VTI?
Over the past year VEU returned +20.38% vs +15.74% for VTI, so VEU leads on 1-year performance. Over the longest common window we track (20 years), VEU annualized +3.46% vs +9.38% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VEU or VTI?
VEU has been the more volatile fund at 17.7% annualized versus 16.0% for VTI. Worst drawdown: VEU -62.8% vs VTI -56.6%.
Should I hold both VEU and VTI?
VEU and VTI have a monthly-return correlation of 0.86, 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, VEU or VTI?
VEU yields 2.48% while VTI yields 1.03%, so VEU currently pays the higher dividend yield.
Is VTI better than VEU?
VTI has a lower expense ratio. VEU led over 1Y, VTI over 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.