VTC vs VXUS
Vanguard Total Corporate Bond ETF vs Vanguard Total International Stock ETF
Which is better, VTC or VXUS?
Long Term Mid Quality against Large Cap Blend.
VTC 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 | VTC | VXUS |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.05% |
| AUM | $1.7B | $158.1B |
| Dividend Yield | 5.03% | 2.51% |
| Holdings | 5,356 | 8,747 |
| YTD Return | -1.78% | +12.88%Best |
| 1Y Return | -1.34% | +19.97%Best |
| 3Y Return (annualized) | +5.22% | +20.14%Best |
| 5Y Return (annualized) | -0.55% | +8.87%Best |
| Volatility (annualized) | 7.3%Best | 15.8% |
| Max Drawdown | -22.4%Best | -39.9% |
| $10,000 over 5 years | $9,728 | $15,295Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | Long Term Mid Quality | Large Cap Blend |
| Inception | Nov 7, 2017 | Jan 26, 2011 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Nov 9, 2017 to Sep 23, 2026 (8.9 years).
VTC 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 8.9 years both funds cover.
VTC vs VXUS Performance
Vanguard Total Corporate Bond ETF (VTC) is an ETF from Vanguard (US) and Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US). Over the past year VTC returned -1.34% while VXUS returned +19.97%. Year to date, VTC is down 1.78% versus a gain of 12.88% for VXUS.
Over three years, VTC compounded at +5.22% per year against +20.14% for VXUS; over five years the annualized figures are -0.55% and +8.87% respectively. Across the full 9-year window we track, VXUS has the edge at +6.96% annualized vs +0.81%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VXUS has been the more volatile fund, with annualized monthly volatility of 15.8% compared with 7.3% for VTC. 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 -22.4% for VTC 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 0.70. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VTC charges 0.03% per year while VXUS charges 0.05%. On a $10,000 position that is $3 vs $5 annually, a gap of $2 per year that compounds over a long holding period. On income, VTC currently yields 5.03% against 2.51% for VXUS.
Holdings Overlap
We hold position weights for 11 holdings in VTC and 8,082 in VXUS, totalling 0.8% and 88.8% 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, 2 positions appear in both.
2 positions in common, counted across the 11 positions we hold weights for in VTC and 8,082 in VXUS, against full books of 5,356 and 8,747.
You are not choosing between two funds in isolation.
Whichever of VTC 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, VTC or VXUS?
VTC has an expense ratio of 0.03% while VXUS charges 0.05%. VTC is the cheaper option, by $2 a year on a $10,000 investment.
Which performed better, VTC or VXUS?
Over the past year VTC returned -1.34% vs +19.97% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (9 years), VTC annualized +0.81% vs +6.96% for VXUS. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VTC or VXUS?
VXUS has been the more volatile fund at 15.8% annualized versus 7.3% for VTC. Worst drawdown: VTC -22.4% vs VXUS -39.9%.
Should I hold both VTC and VXUS?
VTC and VXUS have a monthly-return correlation of 0.70, 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, VTC or VXUS?
VTC yields 5.03% while VXUS yields 2.51%, so VTC currently pays the higher dividend yield.
Is VXUS better than VTC?
VTC 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.