VGK vs VWO
Vanguard FTSE Europe ETF vs Vanguard FTSE Emerging Markets ETF
Which is better, VGK or VWO?
Each has led over a different period.
VGK led over 1Y, 3Y and 5Y, VWO 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 | VGK | VWO |
|---|---|---|
| Expense Ratio | 0.06%Tie | 0.06%Tie |
| AUM | $38.5B | $122.0B |
| Dividend Yield | 2.81% | 2.29% |
| Holdings | 1,240 | 6,334 |
| YTD Return | +7.69% | +9.25%Best |
| 1Y Return | +16.99%Best | +16.23% |
| 3Y Return (annualized) | +17.77%Best | +17.32% |
| 5Y Return (annualized) | +8.89%Best | +5.92% |
| Volatility (annualized) | 18.5%Best | 20.1% |
| Max Drawdown | -67.3%Best | -68.3% |
| $10,000 over 5 years | $15,309Best | $13,332 |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Mar 4, 2005 | Mar 4, 2005 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Mar 10, 2005 to Sep 10, 2026 (21.5 years).
VGK vs VWO 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 21.5 years both funds cover.
VGK vs VWO Performance
Vanguard FTSE Europe ETF (VGK) is an ETF from Vanguard (US) and Vanguard FTSE Emerging Markets ETF (VWO) is an ETF from Vanguard (US). Over the past year VGK returned +16.99% while VWO returned +16.23%. Year to date, VGK is up 7.69% versus a gain of 9.25% for VWO.
Over three years, VGK compounded at +17.77% per year against +17.32% for VWO; over five years the annualized figures are +8.89% and +5.92% respectively. Across the full 22-year window we track, VWO has the edge at +4.92% annualized vs +3.52%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VWO has been the more volatile fund, with annualized monthly volatility of 20.1% compared with 18.5% for VGK. 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 -68.3% for VWO. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.81. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VGK charges 0.06% per year while VWO charges 0.06%. On a $10,000 position that is $6 vs $6 annually. On income, VGK currently yields 2.81% against 2.29% for VWO.
Holdings Overlap
We hold position weights for 1,178 holdings in VGK and 4,694 in VWO, totalling 94.9% and 88.0% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 9 positions appear in both.
9 positions in common, counted across the 1,178 positions we hold weights for in VGK and 4,694 in VWO, against full books of 1,240 and 6,334.
Top Shared Holdings
| Stock | Weight in VGK | Weight in VWO | Difference |
|---|---|---|---|
| SAN:MABanco Santander S.a. | 1.27% | 0.01% | 1.26% |
| IDR:MAIndra Sistemas Sa | 0.03% | 0.00% | 0.03% |
| GBP:AUGlobal Petroleum Limited | 0.03% | 0.00% | 0.03% |
| BBOXT:LNTritax Big Box Reit Plc | 0.03% | 0.00% | 0.03% |
| JSW:PLJastrzebska Spolka Weglowa Sa | 0.00% | 0.03% | 0.03% |
| EUR:AUEuropean Lithium Ltd | 0.01% | 0.01% | 0.00% |
| PHP:LNPrimary Health Properties Plc | 0.02% | 0.00% | 0.02% |
| PLN:AUPioneer Lithium Limited | 0.01% | 0.00% | 0.01% |
| UDCD:QAUnited Development Co Qsc | 0.00% | 0.00% | 0.00% |
You are not choosing between two funds in isolation.
Whichever of VGK and VWO 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 VWO?
VGK has an expense ratio of 0.06% while VWO charges 0.06%. At the precision these are quoted to, they cost the same.
Which performed better, VGK or VWO?
Over the past year VGK returned +16.99% vs +16.23% for VWO, so VGK leads on 1-year performance. Over the longest common window we track (22 years), VGK annualized +3.52% vs +4.92% for VWO. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VGK or VWO?
VWO has been the more volatile fund at 20.1% annualized versus 18.5% for VGK. Worst drawdown: VGK -67.3% vs VWO -68.3%.
Should I hold both VGK and VWO?
VGK and VWO have a monthly-return correlation of 0.81, 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 VWO?
VGK yields 2.81% while VWO yields 2.29%, so VGK currently pays the higher dividend yield.
Is VWO better than VGK?
VGK led over 1Y, 3Y and 5Y, VWO over the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.