VXUS vs WEBS

VXUS vs WEBS
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Quick Verdict

VXUS has a lower expense ratio. VXUS delivered stronger 1-year returns. VXUS offers more diversification with 8,747 holdings.

Lower Fees: VXUSHigher Returns: VXUSMore Diversified: VXUS

Side-by-Side Comparison

MetricVXUSWEBSWinner
Expense Ratio0.05%1.07%
AUM$158.1B$7M
Dividend Yield2.59%3.20%
Holdings8,7476
YTD Return+15.52%-33.47%
1Y Return+26.73%-27.91%
3Y Return (annualized)+20.35%-51.19%
5Y Return (annualized)+9.40%-35.39%
Volatility (annualized)15.1%65.6%
Max Drawdown-39.9%-99.7%
Fund FamilyVanguard (US)Direxion Shares ETF Trust
CategoryEquityAlternative
InceptionJan 26, 2011Nov 7, 2019

VXUS vs WEBS Performance

Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US) and Direxion Daily Dow Jones Internet Bear 3X ETF (WEBS) is a ETF from Direxion Shares ETF Trust. Over the past year VXUS returned +26.73% while WEBS returned -27.91%. Year to date, VXUS is up 15.52% versus a loss of 33.47% for WEBS.

Over three years, VXUS compounded at +20.35% per year against -51.19% for WEBS; over five years the annualized figures are +9.40% and -35.39% respectively. Across the full 7-year window we track, VXUS has the edge at +4.90% annualized vs -52.50%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

WEBS has been the more volatile fund, with annualized monthly volatility of 65.6% compared with 15.1% 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 -39.9% for VXUS and -99.7% for WEBS. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at -0.55. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VXUS charges 0.05% per year while WEBS charges 1.07%. On a $10,000 position that is $5 vs $107 annually, a gap of $102 per year that compounds over a long holding period. On income, VXUS currently yields 2.59% against 3.20% for WEBS.

Holdings Overlap

0.0%overlap

VXUS and WEBS share 0 holdings out of 7871 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, VXUS or WEBS?

VXUS has an expense ratio of 0.05% while WEBS charges 1.07%. VXUS is the cheaper option. On a $10,000 investment, that is $102 per year of difference.

Which performed better, VXUS or WEBS?

Over the past year VXUS returned +26.73% vs -27.91% for WEBS, so VXUS leads on 1-year performance. Over the longest common window we track (7 years), VXUS annualized +4.90% vs -52.50% for WEBS. Past performance does not guarantee future results.

Which is riskier, VXUS or WEBS?

WEBS has been the more volatile fund at 65.6% annualized versus 15.1% for VXUS. Worst drawdown: VXUS -39.9% vs WEBS -99.7%.

Should I hold both VXUS and WEBS?

VXUS and WEBS have a monthly-return correlation of -0.55, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VXUS and WEBS?

VXUS and WEBS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 7871 unique securities.

Which pays a higher dividend, VXUS or WEBS?

VXUS yields 2.59% while WEBS yields 3.20%, so WEBS currently pays the higher dividend yield.

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