IFV vs. VEU

Last updated Jun 24, 2026

IFV (First Trust Dorsey Wright International Focus 5 ETF) and VEU (Vanguard FTSE All-World ex-US ETF) are both Foreign Large Cap Equities funds - IFV tracks the Dorsey Wright International Focus Five Index while VEU tracks the FTSE All-World ex US Index. Both are passively managed. Over the past 10 years, IFV returned 7.40%/yr vs 10.40%/yr for VEU. Their correlation of 0.84 suggests significant overlap in exposure. IFV charges 1.06%/yr vs 0.04%/yr for VEU.

Performance

IFV vs. VEU - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Dorsey Wright International Focus 5 ETF (IFV) and Vanguard FTSE All-World ex-US ETF (VEU). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IFV achieves a 8.29% return, which is significantly lower than VEU's 13.01% return. Over the past 10 years, IFV has underperformed VEU with an annualized return of 7.40%, while VEU has yielded a comparatively higher 10.40% annualized return.

IFV

• 1D: -3.58%
• 1M: -2.64%
• YTD: 8.29%
• 6M: 8.20%
• 1Y: 22.90%
• 3Y*: 17.23%
• 5Y*: 4.13%
• 10Y*: 7.40%

VEU

• 1D: -3.06%
• 1M: 0.69%
• YTD: 13.01%
• 6M: 12.81%
• 1Y: 30.08%
• 3Y*: 19.26%
• 5Y*: 8.60%
• 10Y*: 10.40%

*Multi-year figures are annualized to reflect compound growth (CAGR)

IFV vs. VEU - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IFV First Trust Dorsey Wright International Focus 5 ETF	8.29%	32.26%	0.33%	20.45%	-25.39%	5.59%	6.15%	26.29%	-20.44%	32.58%
VEU Vanguard FTSE All-World ex-US ETF	13.01%	32.35%	5.56%	15.84%	-15.58%	8.27%	11.10%	21.83%	-14.18%	27.40%

Correlation

The correlation between IFV and VEU is 0.89, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.89
Correlation (3Y) Calculated over the trailing 3-year period	0.79
Correlation (5Y) Calculated over the trailing 5-year period	0.78
Correlation (10Y) Calculated over the trailing 10-year period	0.83
Correlation (All Time) Calculated using the full available price history since Jul 23, 2014	0.84

The correlation between IFV and VEU shifts across timeframes, from 0.78 (5 years) to 0.89 (1 year), reflecting how their relationship changes across market environments.

IFV vs. VEU - Sectors Allocation Comparison

Sectors	IFV	VEU
Industrials	30.7%	15.0%
Financial Services	11.2%	22.6%
Consumer Cyclical	10.0%	8.0%
Basic Materials	9.8%	7.1%
Technology	9.5%	21.6%
Energy	7.8%	4.7%
Real Estate	5.8%	1.9%
Utilities	5.1%	3.0%
Healthcare	3.9%	6.7%
Consumer Defensive	3.7%	4.9%
Communication Services	2.5%	4.5%

Return for Risk

IFV vs. VEU — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

IFV

IFV Risk / Return Rank: 40
IFV Sharpe Ratio Rank: 40
IFV Sortino Ratio Rank: 38
IFV Omega Ratio Rank: 41
IFV Calmar Ratio Rank: 39
IFV Martin Ratio Rank: 44

VEU

VEU Risk / Return Rank: 56
VEU Sharpe Ratio Rank: 56
VEU Sortino Ratio Rank: 54
VEU Omega Ratio Rank: 57
VEU Calmar Ratio Rank: 55
VEU Martin Ratio Rank: 59

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

IFV vs. VEU - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Dorsey Wright International Focus 5 ETF (IFV) and Vanguard FTSE All-World ex-US ETF (VEU). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	IFV	VEU	Difference
Sharpe ratio: Return per unit of total volatility	1.33	1.84	-0.51
Sortino ratio: Return per unit of downside risk	1.88	2.52	-0.64
Omega ratio: Gain probability vs. loss probability	1.25	1.34	-0.09
Calmar ratio: Return relative to maximum drawdown	1.83	2.64	-0.81
Martin ratio: Return relative to average drawdown	6.73	10.12	-3.40

IFV vs. VEU - Sharpe Ratio Comparison

The current IFV Sharpe Ratio is 1.33, which is comparable to the VEU Sharpe Ratio of 1.84. The chart below compares the historical Sharpe Ratios of IFV and VEU, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

IFV vs. VEU - Drawdown Comparison

The maximum IFV drawdown since its inception was -48.89%, smaller than the maximum VEU drawdown of -61.52%. Use the drawdown chart below to compare losses from any high point for IFV and VEU.

Drawdown Indicators

	IFV	VEU	Difference
Max Drawdown Largest peak-to-trough decline	-48.89%	-61.52%	+12.63%
Max Drawdown (1Y) Largest decline over 1 year	-12.57%	-11.43%	-1.14%
Max Drawdown (3Y) Largest decline over 3 years	-14.66%	-13.69%	-0.97%
Max Drawdown (5Y) Largest decline over 5 years	-34.78%	-29.14%	-5.64%
Max Drawdown (10Y) Largest decline over 10 years	-48.89%	-34.98%	-13.91%
Current Drawdown Current decline from peak	-5.38%	-3.06%	-2.32%
Average Drawdown Average peak-to-trough decline	-13.19%	-13.10%	-0.09%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.41%	2.98%	+0.43%

Volatility

IFV vs. VEU - Volatility Comparison

First Trust Dorsey Wright International Focus 5 ETF (IFV) and Vanguard FTSE All-World ex-US ETF (VEU) have volatilities of 7.42% and 7.10%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IFV	VEU	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.42%	7.10%	+0.32%
Volatility (6M) Calculated over the trailing 6-month period	14.99%	14.47%	+0.52%
Volatility (1Y) Calculated over the trailing 1-year period	17.40%	16.44%	+0.96%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.19%	16.30%	+1.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.61%	17.08%	+3.53%

IFV vs. VEU - Expense Ratio Comparison

IFV has a 1.06% expense ratio, which is higher than VEU's 0.04% expense ratio.

Dividends

IFV vs. VEU - Dividend Comparison

IFV's dividend yield for the trailing twelve months is around 1.84%, less than VEU's 2.56% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IFV First Trust Dorsey Wright International Focus 5 ETF	1.84%	1.95%	2.31%	2.88%	3.79%	1.04%	1.53%	2.91%	1.86%	1.43%	1.10%	1.52%
VEU Vanguard FTSE All-World ex-US ETF	2.56%	3.09%	3.24%	3.32%	3.12%	3.08%	2.00%	3.10%	3.27%	2.66%	2.96%	2.95%

Frequently Asked Questions

Can I hold both IFV and VEU in my portfolio?

IFV and VEU have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IFV or VEU?

IFV has higher volatility (7.42%) compared to VEU (7.10%). In terms of maximum drawdown, IFV dropped -48.89% vs VEU's -61.52%.

Which ETF is better, IFV or VEU?

On 10-year performance, VEU leads with 10.40% vs 7.40% for IFV. On fees, VEU is cheaper at 0.04% per year. On volatility, VEU has been the lower-risk option at 7.10%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IFV or VEU?

Over the 10-year period, VEU has performed better with a 10.40% return vs 7.40%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IFV or VEU?

VEU is cheaper with a 0.04% expense ratio, compared with 1.06% for IFV.

Which ETF pays a higher dividend yield, IFV or VEU?

VEU has the higher dividend yield at 2.56%, compared with 1.84% for IFV.

What is the main difference between IFV and VEU?

IFV tracks Dorsey Wright International Focus Five Index, while VEU tracks FTSE All-World ex US Index. They also come from different issuers: First Trust and Vanguard. Their fees differ too: 1.06% for IFV and 0.04% for VEU.

Which has better risk-adjusted returns?

VEU currently has the higher Sharpe Ratio (1.84 vs 1.33), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.