TSI 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

MetricTSIVXUSWinner
Expense Ratio1.03%0.05%
AUM-$156.5B
Dividend Yield6.21%2.60%
Holdings7468,747
YTD Return-6.84%+13.65%
1Y Return-3.69%+28.53%
3Y Return (annualized)+5.82%+18.64%
5Y Return (annualized)+1.67%+9.00%
Volatility (annualized)18.3%15.1%
Max Drawdown-83.3%-39.9%
Fund FamilyTCW FundsVanguard (US)
CategoryFixed IncomeEquity
InceptionMar 5, 1987Jan 26, 2011

TSI vs VXUS Performance

TCW Strategic Income Fund Inc. (TSI) is a ETF from TCW Funds and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year TSI returned -3.69% while VXUS returned +28.53%. Year to date, TSI is down 6.84% versus a gain of 13.65% for VXUS.

Over three years, TSI compounded at +5.82% per year against +18.64% for VXUS; over five years the annualized figures are +1.67% and +9.00% respectively. Across the full 16-year window we track, VXUS has the edge at +4.81% annualized vs +0.21%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TSI has been the more volatile fund, with annualized monthly volatility of 18.3% 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 -83.3% for TSI 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 0.49. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

TSI charges 1.03% per year while VXUS charges 0.05%. On a $10,000 position that is $103 vs $5 annually, a gap of $98 per year that compounds over a long holding period. On income, TSI currently yields 6.21% against 2.60% for VXUS.

Holdings Overlap

0.0%overlap

TSI and VXUS share 0 holdings out of 8107 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, TSI or VXUS?

TSI has an expense ratio of 1.03% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $98 per year of difference.

Which performed better, TSI or VXUS?

Over the past year TSI returned -3.69% vs +28.53% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (16 years), TSI annualized +0.21% vs +4.81% for VXUS. Past performance does not guarantee future results.

Which is riskier, TSI or VXUS?

TSI has been the more volatile fund at 18.3% annualized versus 15.1% for VXUS. Worst drawdown: TSI -83.3% vs VXUS -39.9%.

Should I hold both TSI and VXUS?

TSI and VXUS have a monthly-return correlation of 0.49, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between TSI and VXUS?

TSI and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 8107 unique securities.

Which pays a higher dividend, TSI or VXUS?

TSI yields 6.21% while VXUS yields 2.60%, so TSI currently pays the higher dividend yield.

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