VEU vs XLV
Vanguard FTSE All World Ex US ETF vs State Street Health Care Select Sector SPDR ETF
Which is better, VEU or XLV?
Each has led over a different period.
VEU has a lower expense ratio. VEU led over 1Y, 3Y and 5Y, XLV over 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 | XLV |
|---|---|---|
| Expense Ratio | 0.04%Best | 0.08% |
| AUM | $68.4B | $44.5B |
| Dividend Yield | 2.48% | 1.49% |
| Holdings | 3,928 | 63 |
| YTD Return | +14.75%Best | +7.24% |
| 1Y Return | +22.92%Best | +20.42% |
| 3Y Return (annualized) | +20.30%Best | +9.41% |
| 5Y Return (annualized) | +9.19%Best | +6.27% |
| Volatility (annualized) | 17.7% | 14.3%Best |
| Max Drawdown | -62.8% | -40.6%Best |
| $10,000 over 5 years | $15,521Best | $13,554 |
| Fund Family | Vanguard (US) | SPDR State Street Global Advisors |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Mar 2, 2007 | Dec 16, 1998 |
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 11, 2026 (19.5 years).
VEU vs XLV 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 XLV Performance
Vanguard FTSE All World Ex US ETF (VEU) is an ETF from Vanguard (US) and State Street Health Care Select Sector SPDR ETF (XLV) is an ETF from SPDR State Street Global Advisors. Over the past year VEU returned +22.92% while XLV returned +20.42%. Year to date, VEU is up 14.75% versus a gain of 7.24% for XLV.
Over three years, VEU compounded at +20.30% per year against +9.41% for XLV; over five years the annualized figures are +9.19% and +6.27% respectively. Across the full 20-year window we track, XLV has the edge at +9.01% annualized vs +3.55%.
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 14.3% for XLV. 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 -40.6% for XLV. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.65. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VEU charges 0.04% per year while XLV charges 0.08%. On a $10,000 position that is $4 vs $8 annually, a gap of $4 per year that compounds over a long holding period. On income, VEU currently yields 2.48% against 1.49% for XLV.
Holdings Overlap
We hold position weights for 3,655 holdings in VEU and 61 in XLV, totalling 94.0% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 3,655 positions we hold weights for in VEU and 61 in XLV, against full books of 3,928 and 63.
What only one of them owns
Measured across the 3,655 and 61 positions we hold weights for.
VEU holds 46 positions XLV does not, 4.5% of the fund.
Largest: VEA 1.13%, SHEL 0.53%, CNH 0.48%, IBDRY 0.41%, ASX 0.18%
You are not choosing between two funds in isolation.
Whichever of VEU and XLV 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 XLV?
VEU has an expense ratio of 0.04% while XLV charges 0.08%. VEU is the cheaper option, by $4 a year on a $10,000 investment.
Which performed better, VEU or XLV?
Over the past year VEU returned +22.92% vs +20.42% for XLV, so VEU leads on 1-year performance. Over the longest common window we track (20 years), VEU annualized +3.55% vs +9.01% for XLV. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VEU or XLV?
VEU has been the more volatile fund at 17.7% annualized versus 14.3% for XLV. Worst drawdown: VEU -62.8% vs XLV -40.6%.
Should I hold both VEU and XLV?
VEU and XLV have a monthly-return correlation of 0.65, 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 XLV?
VEU yields 2.48% while XLV yields 1.49%, so VEU currently pays the higher dividend yield.
Is XLV better than VEU?
VEU has a lower expense ratio. VEU led over 1Y, 3Y and 5Y, XLV over the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.