VLU vs VXUS

VLU vs VXUS

Which is better, VLU or VXUS?

Large Cap Value against Large Cap Blend.

VXUS has a lower expense ratio. VLU led over 1Y, 3Y, 5Y and the full window.

Lower Fees: VXUSHigher Returns: VLU

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

MetricVLUVXUS
Expense Ratio0.12%0.05%Best
AUM$761M$158.1B
Dividend Yield1.57%2.51%
Holdings1,4768,747
YTD Return+17.56%Best+14.48%
1Y Return+23.16%Best+22.28%
3Y Return (annualized)+20.26%Best+20.00%
5Y Return (annualized)+12.97%Best+8.91%
Volatility (annualized)15.8%14.3%Best
Max Drawdown-37.9%Best-39.9%
$10,000 over 5 years$18,400Best$15,323
Fund FamilyState Street Investment ManagementVanguard (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Blend
InceptionOct 24, 2012Jan 26, 2011

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Oct 25, 2012 to Sep 11, 2026 (13.9 years).

VLU vs VXUS 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 13.9 years both funds cover.

VLU vs VXUS Performance

State Street SPDR S&P 1500 Value Tilt ETF (VLU) is an ETF from State Street Investment Management and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year VLU returned +23.16% while VXUS returned +22.28%. Year to date, VLU is up 17.56% versus a gain of 14.48% for VXUS.

Over three years, VLU compounded at +20.26% per year against +20.00% for VXUS; over five years the annualized figures are +12.97% and +8.91% respectively. Across the full 14-year window we track, VLU has the edge at +11.57% annualized vs +6.19%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VLU has been the more volatile fund, with annualized monthly volatility of 15.8% compared with 14.3% for VXUS. 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 -37.9% for VLU and -39.9% for VXUS. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.80. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

VLU charges 0.12% per year while VXUS charges 0.05%. On a $10,000 position that is $12 vs $5 annually, a gap of $7 per year that compounds over a long holding period. On income, VLU currently yields 1.57% against 2.51% for VXUS.

Holdings Overlap

VLU already in VXUS0.6%

At least 0.6% of VLU's money is in holdings VXUS also owns.

Stated as a floor: for VXUS, our book for it covers 88.8% 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.

12 positions in common, counted across the 1,454 positions we hold weights for in VLU and 8,082 in VXUS, against full books of 1,476 and 8,747.

Top Shared Holdings

StockWeight in VLUWeight in VXUSDifference
KRKroger Co.0.22%0.00%0.22%
HBANHuntington Bancshares Inc./Oh0.09%0.05%0.04%
SRESempra Common Stock0.10%0.00%0.10%
HALHalliburton Co.0.07%0.02%0.05%
RBA:CARb Global, Inc0.02%0.05%0.03%
FBKFb Financial Corp0.01%0.04%0.03%
AMAntero Midstream Corporationam0.03%0.01%0.02%
SIG:LNSignet Jewelers Limited Common Shares0.02%0.02%0.00%
SMGScotts Miracle-Gro Company0.01%0.00%0.01%
CASHMeta Financial Group Inc0.01%0.00%0.01%

You are not choosing between two funds in isolation.

Whichever of VLU and VXUS you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

VLUVXUS

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, VLU or VXUS?

VLU has an expense ratio of 0.12% while VXUS charges 0.05%. VXUS is the cheaper option, by $7 a year on a $10,000 investment.

Which performed better, VLU or VXUS?

Over the past year VLU returned +23.16% vs +22.28% for VXUS, so VLU leads on 1-year performance. Over the longest common window we track (14 years), VLU annualized +11.57% vs +6.19% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, VLU or VXUS?

VLU has been the more volatile fund at 15.8% annualized versus 14.3% for VXUS. Worst drawdown: VLU -37.9% vs VXUS -39.9%.

Should I hold both VLU and VXUS?

VLU and VXUS have a monthly-return correlation of 0.80, 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, VLU or VXUS?

VLU yields 1.57% while VXUS yields 2.51%, so VXUS currently pays the higher dividend yield.

Is VXUS better than VLU?

VXUS has a lower expense ratio. VLU led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.