KNCT vs VXUS

Quick Verdict

VXUS has a lower expense ratio. KNCT delivered stronger 1-year returns. VXUS offers more diversification with 7860 holdings.

Lower Fees: VXUSHigher Returns: KNCTMore Diversified: VXUS

Side-by-Side Comparison

MetricKNCTVXUSWinner
Expense Ratio0.40%0.05%
AUM$155M$156.5B
Dividend Yield0.60%2.60%
Holdings1128,747
YTD Return+37.43%+11.13%
1Y Return+62.25%+27.13%
3Y Return (annualized)+32.99%+17.24%
5Y Return (annualized)+16.23%+8.71%
Volatility (annualized)22.3%15.1%
Max Drawdown-57.2%-39.9%
Fund FamilyInvesco (US)Vanguard (US)
CategoryEquityEquity
InceptionJun 23, 2005Jan 26, 2011

KNCT vs VXUS Performance

Invesco Next Gen Connectivity ETF (KNCT) is a ETF from Invesco (US) and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year KNCT returned +62.25% while VXUS returned +27.13%. Year to date, KNCT is up 37.43% versus a gain of 11.13% for VXUS.

Over three years, KNCT compounded at +32.99% per year against +17.24% for VXUS; over five years the annualized figures are +16.23% and +8.71% respectively. Across the full 16-year window we track, KNCT has the edge at +12.98% annualized vs +4.66%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

KNCT has been the more volatile fund, with annualized monthly volatility of 22.3% 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 -57.2% for KNCT and -39.9% for VXUS. 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 0.65. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

KNCT charges 0.40% per year while VXUS charges 0.05%. On a $10,000 position that is $40 vs $5 annually, a gap of $35 per year that compounds over a long holding period. On income, KNCT currently yields 0.60% against 2.60% for VXUS.

Holdings Overlap

1.6%overlap

KNCT and VXUS share 24 holdings out of 7934 unique holdings combined, representing a 1.6% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in KNCTWeight in VXUSDifference
DTE:FF0.68%0.31%0.37%
NOKIA:FI0.71%0.09%0.62%
UMC0.64%0.05%0.59%
5803:TKProProPro
9433:JPProProPro
2345:TWProProPro
SFTBYProProPro
6701:JPProProPro
TSEMProProPro
CRMJF:TWProProPro
See all 10 holdings KNCT shares with VXUS
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, KNCT or VXUS?

KNCT has an expense ratio of 0.40% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $35 per year of difference.

Which performed better, KNCT or VXUS?

Over the past year KNCT returned +62.25% vs +27.13% for VXUS, so KNCT leads on 1-year performance. Over the longest common window we track (16 years), KNCT annualized +12.98% vs +4.66% for VXUS. Past performance does not guarantee future results.

Which is riskier, KNCT or VXUS?

KNCT has been the more volatile fund at 22.3% annualized versus 15.1% for VXUS. Worst drawdown: KNCT -57.2% vs VXUS -39.9%.

Should I hold both KNCT and VXUS?

KNCT and VXUS have a monthly-return correlation of 0.65, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between KNCT and VXUS?

KNCT and VXUS share 24 common holdings with a 1.6% weight overlap. Combined, they hold 7934 unique securities.

Which pays a higher dividend, KNCT or VXUS?

KNCT yields 0.60% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

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