TAXM vs VXUS

Quick Verdict

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

Lower Fees: VXUSHigher Returns: VXUSMore Diversified: VXUS

Side-by-Side Comparison

MetricTAXMVXUSWinner
Expense Ratio0.35%0.05%
AUM$39M$156.5B
Dividend Yield3.31%2.60%
Holdings1438,747
YTD Return+0.21%+13.57%
1Y Return+4.13%+28.78%
3Y Return (annualized)-+18.63%
5Y Return (annualized)-+9.05%
Volatility (annualized)3.6%15.1%
Max Drawdown-3.1%-39.9%
Fund FamilyBondBloxxVanguard (US)
CategoryTax PreferredEquity
InceptionMar 13, 2025Jan 26, 2011

TAXM vs VXUS Performance

BondBloxx IR+M Tax-Aware ETF for Massachusetts Residents (TAXM) is a ETF from BondBloxx and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year TAXM returned +4.13% while VXUS returned +28.78%. Year to date, TAXM is up 0.21% versus a gain of 13.57% for VXUS.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 3.6% for TAXM. 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 -3.1% for TAXM 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 0.68. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

TAXM charges 0.35% per year while VXUS charges 0.05%. On a $10,000 position that is $35 vs $5 annually, a gap of $30 per year that compounds over a long holding period. On income, TAXM currently yields 3.31% against 2.60% for VXUS.

Holdings Overlap

0.0%overlap

TAXM and VXUS share 0 holdings out of 7930 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, TAXM or VXUS?

TAXM has an expense ratio of 0.35% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $30 per year of difference.

Which performed better, TAXM or VXUS?

Over the past year TAXM returned +4.13% vs +28.78% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (1 years), TAXM annualized +2.82% vs +4.80% for VXUS. Past performance does not guarantee future results.

Which is riskier, TAXM or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 3.6% for TAXM. Worst drawdown: TAXM -3.1% vs VXUS -39.9%.

Should I hold both TAXM and VXUS?

TAXM and VXUS have a monthly-return correlation of 0.68, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between TAXM and VXUS?

TAXM and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 7930 unique securities.

Which pays a higher dividend, TAXM or VXUS?

TAXM yields 3.31% while VXUS yields 2.60%, so TAXM currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.

See inside every ETF you own
$29/moCancel anytime.
Try FundXLS →