VNQ vs VXUS
Vanguard Real Estate ETF vs Vanguard Total International Stock ETF
Which is better, VNQ or VXUS?
Mid Cap Blend against Large Cap Blend.
VXUS has a lower expense ratio. VXUS led over 1Y, 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 | VNQ | VXUS |
|---|---|---|
| Expense Ratio | 0.13% | 0.05%Best |
| AUM | $39.3B | $158.1B |
| Dividend Yield | 3.49% | 2.51% |
| Holdings | 144 | 8,747 |
| YTD Return | +7.67% | +12.21%Best |
| 1Y Return | +5.35% | +19.22%Best |
| 3Y Return (annualized) | +9.11% | +19.10%Best |
| 5Y Return (annualized) | +1.08% | +8.63%Best |
| Volatility (annualized) | 17.1% | 15.0%Best |
| Max Drawdown | -42.8% | -39.9%Best |
| $10,000 over 5 years | $10,552 | $15,127Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Mid Cap Blend | Large Cap Blend |
| Inception | Sep 23, 2004 | Jan 26, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jan 28, 2011 to Sep 16, 2026 (15.6 years).
VNQ 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 15.6 years both funds cover.
VNQ vs VXUS Performance
Vanguard Real Estate ETF (VNQ) is an ETF from Vanguard (US) and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year VNQ returned +5.35% while VXUS returned +19.22%. Year to date, VNQ is up 7.67% versus a gain of 12.21% for VXUS.
Over three years, VNQ compounded at +9.11% per year against +19.10% for VXUS; over five years the annualized figures are +1.08% and +8.63% respectively. Across the full 16-year window we track, VXUS has the edge at +4.69% annualized vs +4.65%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VNQ has been the more volatile fund, with annualized monthly volatility of 17.1% compared with 15.0% 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 -42.8% for VNQ 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 0.68. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VNQ charges 0.13% per year while VXUS charges 0.05%. On a $10,000 position that is $13 vs $5 annually, a gap of $8 per year that compounds over a long holding period. On income, VNQ currently yields 3.49% against 2.51% for VXUS.
Holdings Overlap
At least 1.0% of VNQ'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.
VNQ and VXUS share little of their money.
2 positions in common, counted across the 139 positions we hold weights for in VNQ and 8,082 in VXUS, against full books of 144 and 8,747.
What only one of them owns
Measured across the 139 and 8,082 positions we hold weights for.
VXUS holds 34 positions VNQ does not, 1.6% of the fund.
Largest: SHEL 0.57%, VWO 0.11%, JD 0.09%, ALC 0.08%, SUNB 0.07%
You are not choosing between two funds in isolation.
Whichever of VNQ and VXUS 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, VNQ or VXUS?
VNQ has an expense ratio of 0.13% while VXUS charges 0.05%. VXUS is the cheaper option, by $8 a year on a $10,000 investment.
Which performed better, VNQ or VXUS?
Over the past year VNQ returned +5.35% vs +19.22% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (16 years), VNQ annualized +4.65% vs +4.69% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VNQ or VXUS?
VNQ has been the more volatile fund at 17.1% annualized versus 15.0% for VXUS. Worst drawdown: VNQ -42.8% vs VXUS -39.9%.
Should I hold both VNQ and VXUS?
VNQ and VXUS have a monthly-return correlation of 0.68, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between VNQ and VXUS?
At least 1.0% of VNQ's money is in holdings VXUS also owns. Our book for VXUS is partial, so the real figure is this or higher. They hold 2 positions in common, counted across the 139 positions we hold weights for in VNQ and 8,082 in VXUS.
Which pays a higher dividend, VNQ or VXUS?
VNQ yields 3.49% while VXUS yields 2.51%, so VNQ currently pays the higher dividend yield.
Is VXUS better than VNQ?
VXUS has a lower expense ratio. VXUS 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.