TCAF vs VXUS

Quick Verdict

VXUS has a lower expense ratio. VXUS delivered stronger 1-year returns. VXUS offers more diversification with 7861 holdings.

Lower Fees: VXUSHigher Returns: VXUSMore Diversified: VXUS

Side-by-Side Comparison

MetricTCAFVXUSWinner
Expense Ratio0.31%0.05%
AUM$7.9B$156.5B
Dividend Yield0.47%2.60%
Holdings3478,747
YTD Return+12.25%+13.40%
1Y Return+18.27%+27.42%
3Y Return (annualized)+18.44%+18.54%
5Y Return (annualized)-+9.05%
Volatility (annualized)12.3%15.1%
Max Drawdown-16.6%-39.9%
Fund FamilyT.Rowe PriceVanguard (US)
CategoryEquityEquity
InceptionJun 14, 2023Jan 26, 2011

TCAF vs VXUS Performance

T. Rowe Price Capital Appreciation Equity ETF (TCAF) is a ETF from T.Rowe Price and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year TCAF returned +18.27% while VXUS returned +27.42%. Year to date, TCAF is up 12.25% versus a gain of 13.40% for VXUS.

Over three years, TCAF compounded at +18.44% per year against +18.54% for VXUS. Across the full 3-year window we track, TCAF has the edge at +18.11% annualized vs +4.79%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 12.3% for TCAF. 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 -16.6% for TCAF 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 0.69. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

TCAF charges 0.31% per year while VXUS charges 0.05%. On a $10,000 position that is $31 vs $5 annually, a gap of $26 per year that compounds over a long holding period. On income, TCAF currently yields 0.47% against 2.60% for VXUS.

Holdings Overlap

0.0%overlap

TCAF and VXUS share 0 holdings out of 8023 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, TCAF or VXUS?

TCAF has an expense ratio of 0.31% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $26 per year of difference.

Which performed better, TCAF or VXUS?

Over the past year TCAF returned +18.27% vs +27.42% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (3 years), TCAF annualized +18.11% vs +4.79% for VXUS. Past performance does not guarantee future results.

Which is riskier, TCAF or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 12.3% for TCAF. Worst drawdown: TCAF -16.6% vs VXUS -39.9%.

Should I hold both TCAF and VXUS?

TCAF and VXUS have a monthly-return correlation of 0.69, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between TCAF and VXUS?

TCAF and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 8023 unique securities.

Which pays a higher dividend, TCAF or VXUS?

TCAF yields 0.47% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

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