VGK vs VIG
Vanguard FTSE Europe ETF vs Vanguard Dividend Appreciation ETF
Which is better, VGK or VIG?
Each has led over a different period.
VIG has a lower expense ratio. VGK led over 1Y and 3Y, VIG over 5Y and the full window. VGK is less concentrated, with 18.4% of the fund in its ten largest positions against 33.4%.
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 | VGK | VIG |
|---|---|---|
| Expense Ratio | 0.06% | 0.04%Best |
| AUM | $38.5B | $111.4B |
| Dividend Yield | 2.81% | 1.48% |
| Holdings | 1,240 | 335 |
| YTD Return | +7.47% | +8.93%Best |
| 1Y Return | +15.45%Best | +11.85% |
| 3Y Return (annualized) | +18.54%Best | +16.73% |
| 5Y Return (annualized) | +9.34% | +10.86%Best |
| Volatility (annualized) | 18.8% | 13.3%Best |
| Max Drawdown | -67.3% | -48.2%Best |
| $10,000 over 5 years | $15,628 | $16,745Best |
| Top 10 Weight | 18.4%Best | 33.4% |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Mar 4, 2005 | Apr 21, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Apr 27, 2006 to Sep 21, 2026 (20.4 years).
VGK 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 20.4 years both funds cover.
VGK vs VIG Performance
Vanguard FTSE Europe ETF (VGK) is an ETF from Vanguard (US) and Vanguard Dividend Appreciation ETF (VIG) is an ETF from Vanguard (US). Over the past year VGK returned +15.45% while VIG returned +11.85%. Year to date, VGK is up 7.47% versus a gain of 8.93% for VIG.
Over three years, VGK compounded at +18.54% per year against +16.73% for VIG; over five years the annualized figures are +9.34% and +10.86% respectively. Across the full 20-year window we track, VIG has the edge at +8.48% annualized vs +2.81%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VGK has been the more volatile fund, with annualized monthly volatility of 18.8% compared with 13.3% 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 -67.3% for VGK 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 0.84. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VGK charges 0.06% per year while VIG charges 0.04%. On a $10,000 position that is $6 vs $4 annually, a gap of $2 per year that compounds over a long holding period. On income, VGK currently yields 2.81% against 1.48% for VIG.
Holdings Overlap
1.0% of VGK's money is in holdings VIG also owns. 0.6% of VIG's money is in holdings VGK 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 1,101 positions we hold weights for in VGK and 322 in VIG, against full books of 1,240 and 335.
What only one of them owns
Our book lists 297 positions for VIG that do not appear in our book for VGK (98.9% of the fund), and 11 for VGK that do not appear in VIG (2.4%).
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 VGK 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, VGK or VIG?
VGK has an expense ratio of 0.06% while VIG charges 0.04%. VIG is the cheaper option, by $2 a year on a $10,000 investment.
Which performed better, VGK or VIG?
Over the past year VGK returned +15.45% vs +11.85% for VIG, so VGK leads on 1-year performance. Over the longest common window we track (20 years), VGK annualized +2.81% vs +8.48% for VIG. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VGK or VIG?
VGK has been the more volatile fund at 18.8% annualized versus 13.3% for VIG. Worst drawdown: VGK -67.3% vs VIG -48.2%.
Should I hold both VGK and VIG?
VGK and VIG have a monthly-return correlation of 0.84, 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, VGK or VIG?
VGK yields 2.81% while VIG yields 1.48%, so VGK currently pays the higher dividend yield.
Is VIG better than VGK?
VIG has a lower expense ratio. VGK led over 1Y and 3Y, VIG over 5Y and the full window. VGK is less concentrated, with 18.4% of the fund in its ten largest positions against 33.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.