VXUS vs ZTWO
Vanguard Total International Stock ETF vs F/m 2-Year Investment Grade Corporate Bond ETF
Which is better, VXUS or ZTWO?
Large Cap Blend against Short Term Mid Quality.
VXUS has a lower expense ratio. VXUS led over 1Y 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 | VXUS | ZTWO |
|---|---|---|
| Expense Ratio | 0.05%Best | 0.15% |
| AUM | $158.1B | $18M |
| Dividend Yield | 2.51% | 4.45% |
| Holdings | 8,747 | 446 |
| YTD Return | +12.82%Best | +1.09% |
| 1Y Return | +19.86%Best | +2.29% |
| 3Y Return (annualized) | +19.33% | - |
| 5Y Return (annualized) | +9.46% | - |
| Volatility (annualized) | 11.1% | 1.5%Best |
| Max Drawdown | -13.6% | -0.9%Best |
| $10,000 over 2.7 years | $16,170Best | $11,204 |
| Fund Family | Vanguard (US) | F-m investments |
| Category | Equity | Fixed Income |
| Style | Large Cap Blend | Short Term Mid Quality |
| Inception | Jan 26, 2011 | Jan 10, 2024 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 2.7 years row, are measured over the window both funds cover: Jan 11, 2024 to Sep 18, 2026 (2.7 years).
VXUS vs ZTWO 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 2.7 years both funds cover.
VXUS vs ZTWO Performance
Vanguard Total International Stock ETF (VXUS) is an ETF from Vanguard (US) and F/m 2-Year Investment Grade Corporate Bond ETF (ZTWO) is an ETF from F-m investments. Over the past year VXUS returned +19.86% while ZTWO returned +2.29%. Year to date, VXUS is up 12.82% versus a gain of 1.09% for ZTWO.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VXUS has been the more volatile fund, with annualized monthly volatility of 11.1% compared with 1.5% for ZTWO. 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 -13.6% for VXUS and -0.9% for ZTWO. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.60. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VXUS charges 0.05% per year while ZTWO charges 0.15%. On a $10,000 position that is $5 vs $15 annually, a gap of $10 per year that compounds over a long holding period. On income, VXUS currently yields 2.51% against 4.45% for ZTWO.
Holdings Overlap
We hold position weights for 8,082 holdings in VXUS and 356 in ZTWO, totalling 88.8% and 79.3% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 8,082 positions we hold weights for in VXUS and 356 in ZTWO, against full books of 8,747 and 446.
You are not choosing between two funds in isolation.
Whichever of VXUS and ZTWO 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, VXUS or ZTWO?
VXUS has an expense ratio of 0.05% while ZTWO charges 0.15%. VXUS is the cheaper option, by $10 a year on a $10,000 investment.
Which performed better, VXUS or ZTWO?
Over the past year VXUS returned +19.86% vs +2.29% for ZTWO, so VXUS leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VXUS or ZTWO?
VXUS has been the more volatile fund at 11.1% annualized versus 1.5% for ZTWO. Worst drawdown: VXUS -13.6% vs ZTWO -0.9%.
Should I hold both VXUS and ZTWO?
VXUS and ZTWO have a monthly-return correlation of 0.60, 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, VXUS or ZTWO?
VXUS yields 2.51% while ZTWO yields 4.45%, so ZTWO currently pays the higher dividend yield.
Is ZTWO better than VXUS?
VXUS has a lower expense ratio. VXUS led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.