VXUS vs. VT: Go International-Only or Include U.S. Stocks?

2 hours ago 1

Sara Appino, The Motley Fool

Sat, December 27, 2025 astatine 7:48 AM CST 5 min read

VXUS has delivered a higher one-year instrumentality and output than VT, but experienced a steeper five-year drawdown.
Both funds connection wide planetary diversification, but VT includes U.S. stocks portion VXUS excludes them.
Expense ratios are astir identical, making outgo differences negligible for astir investors.
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Vanguard Total World Stock ETF (NYSEMKT:VT) covers some U.S. and planetary equities, portion Vanguard Total International Stock ETF (NASDAQ:VXUS) focuses solely connected non-U.S. stocks, starring to notable differences successful caller returns, yield, and assemblage exposure.

Both Vanguard Total World Stock ETF (VT) and Vanguard Total International Stock ETF (VXUS) are designed for investors seeking low-cost, broad-market exposure, but their approaches diverge: VT holds stocks from astir the satellite including the United States, portion VXUS intentionally omits U.S. companies to ore connected developed and emerging planetary markets. This examination highlights however these differences play retired successful cost, performance, and portfolio makeup.

Metric

VXUS

Issuer	Vanguard	Vanguard
Expense ratio	0.06%	0.05%
1-yr instrumentality (as of Dec. 16, 2025)	15.2%	22.7%
Dividend yield	1.7%	2.7%
Beta	1.02	1.01

Beta measures terms volatility comparative to the S&P 500; beta is calculated from five-year play returns. The 1-yr instrumentality represents full instrumentality implicit the trailing 12 months.

VXUS is somewhat much affordable than VT with a little disbursal ratio, and it besides offers a higher output implicit the past year, making it appealing for cost-conscious investors who worth income.

Metric

VXUS

Max drawdown (5 y)	(26.38%)	(29.44%)
Growth of $1,000 implicit 5 years	$1,520	$1,247

Vanguard Total International Stock ETF (VXUS) delivers vulnerability to 8,663 planetary stocks. Its apical holdings see Taiwan Semiconductor Manufacturing (NYSE:TSM), Tencent (OTC:TCEHY), and ASML (NASDAQ:ASML). The money has a astir 15-year way grounds and aims to replicate the show of the FTSE Global All Cap ex US Index, providing wide sum of some developed and emerging markets extracurricular the United States.

In contrast, VT spans 9,957 stocks crossed some U.S. and planetary markets. Its largest positions are Nvidia (NASDAQ:NVDA), Apple (NASDAQ:AAPL), and Microsoft (NASDAQ:MSFT), reflecting the value of the U.S. tech assemblage successful planetary indices. This broader scope means VT captures some home and planetary equity trends.

For much guidance connected ETF investing, cheque retired the afloat usher astatine this link.