VEU vs VYM
VEU vs VYM
Vanguard FTSE All World Ex US ETF vs Vanguard High Dividend Yield ETF
Quick Verdict
VEU delivered stronger 1-year returns. VEU offers more diversification with 2818 holdings.
Side-by-Side Comparison
| Metric | VEU | VYM | Winner |
|---|---|---|---|
| Expense Ratio | 0.04% | 0.04% | |
| AUM | $67.3B | $79.0B | |
| Dividend Yield | 2.54% | 2.86% | |
| Holdings | 3,921 | 568 | |
| YTD Return | +13.93% | +15.45% | |
| 1Y Return | +29.24% | +26.05% | |
| 3Y Return (annualized) | +18.94% | +17.96% | |
| 5Y Return (annualized) | +9.28% | +12.54% | |
| Volatility (annualized) | 17.7% | 14.6% | |
| Max Drawdown | -62.8% | -58.8% | |
| Fund Family | Vanguard (US) | Vanguard (US) | |
| Category | Equity | Equity | |
| Inception | Mar 2, 2007 | Nov 10, 2006 |
VEU vs VYM Performance
Vanguard FTSE All World Ex US ETF (VEU) is a ETF from Vanguard (US) and Vanguard High Dividend Yield ETF (VYM) is a ETF from Vanguard (US). Over the past year VEU returned +29.24% while VYM returned +26.05%. Year to date, VEU is up 13.93% versus a gain of 15.45% for VYM.
Over three years, VEU compounded at +18.94% per year against +17.96% for VYM; over five years the annualized figures are +9.28% and +12.54% respectively. Across the full 19-year window we track, VYM has the edge at +7.06% annualized vs +3.53%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VEU has been the more volatile fund, with annualized monthly volatility of 17.7% compared with 14.6% for VYM. 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 -62.8% for VEU and -58.8% for VYM. 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 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VEU charges 0.04% per year while VYM charges 0.04%. On a $10,000 position that is $4 vs $4 annually. On income, VEU currently yields 2.54% against 2.86% for VYM.
Holdings Overlap
VEU and VYM share 7 holdings out of 3369 unique holdings combined, representing a 0.6% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in VEU | Weight in VYM | Difference |
|---|---|---|---|
| SLB | 0.90% | 0.34% | 0.56% |
| 2345:TW | 0.05% | 0.57% | 0.52% |
| CNHI:AS | 0.38% | 0.05% | 0.33% |
| HBAN | Pro | Pro | Pro |
| KR | Pro | Pro | Pro |
| BG | Pro | Pro | Pro |
| SIG:LN | Pro | Pro | Pro |
See all 7 holdings VEU shares with VYM Exact weights in each fund and the difference, for every overlapping position. Get FundXLS Pro: $29/moFirst 500 subscribers, then $49/mo. Cancel anytime. | |||
Frequently Asked Questions
Which is cheaper, VEU or VYM?
VEU has an expense ratio of 0.04% while VYM charges 0.04%. They cost the same. On a $10,000 investment, that is $0 per year of difference.
Which performed better, VEU or VYM?
Over the past year VEU returned +29.24% vs +26.05% for VYM, so VEU leads on 1-year performance. Over the longest common window we track (19 years), VEU annualized +3.53% vs +7.06% for VYM. Past performance does not guarantee future results.
Which is riskier, VEU or VYM?
VEU has been the more volatile fund at 17.7% annualized versus 14.6% for VYM. Worst drawdown: VEU -62.8% vs VYM -58.8%.
Should I hold both VEU and VYM?
VEU and VYM have a monthly-return correlation of 0.83, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between VEU and VYM?
VEU and VYM share 7 common holdings with a 0.6% weight overlap. Combined, they hold 3369 unique securities.
Which pays a higher dividend, VEU or VYM?
VEU yields 2.54% while VYM yields 2.86%, so VYM currently pays the higher dividend yield.
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