MNA vs. VGK

Last updated Jun 9, 2026

MNA (IQ Merger Arbitrage ETF) and VGK (Vanguard FTSE Europe ETF) are both exchange-traded funds - MNA is a Hedge Fund fund tracking the IQ Merger Arbitrage Index, while VGK is a Europe Equities fund tracking the FTSE Developed Europe All Cap Index. Both are passively managed. Over the past 10 years, MNA returned 2.74%/yr vs 9.63%/yr for VGK. At a 0.36 correlation, their price movements are largely independent. MNA charges 0.77%/yr vs 0.06%/yr for VGK.

Performance

MNA vs. VGK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in IQ Merger Arbitrage ETF (MNA) and Vanguard FTSE Europe ETF (VGK). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MNA achieves a 1.79% return, which is significantly lower than VGK's 5.17% return. Over the past 10 years, MNA has underperformed VGK with an annualized return of 2.74%, while VGK has yielded a comparatively higher 9.63% annualized return.

MNA

• 1D: -0.08%
• 1M: -0.14%
• YTD: 1.79%
• 6M: 1.97%
• 1Y: 4.47%
• 3Y*: 5.95%
• 5Y*: 1.83%
• 10Y*: 2.74%

VGK

• 1D: 0.45%
• 1M: -0.68%
• YTD: 5.17%
• 6M: 8.47%
• 1Y: 16.29%
• 3Y*: 16.24%
• 5Y*: 8.08%
• 10Y*: 9.63%

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

MNA vs. VGK - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MNA IQ Merger Arbitrage ETF	1.79%	8.59%	4.93%	0.18%	-1.61%	-3.24%	2.72%	4.70%	2.13%	5.97%
VGK Vanguard FTSE Europe ETF	5.17%	35.83%	1.88%	20.19%	-15.98%	16.89%	5.43%	24.85%	-14.89%	26.98%

Correlation

The correlation between MNA and VGK is 0.44, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.44
Correlation (3Y) Calculated over the trailing 3-year period	0.42
Correlation (5Y) Calculated over the trailing 5-year period	0.46
Correlation (10Y) Calculated over the trailing 10-year period	0.38
Correlation (All Time) Calculated using the full available price history since Nov 18, 2009	0.36

The correlation between MNA and VGK shifts across timeframes, from 0.36 (all time) to 0.46 (5 years), reflecting how their relationship changes across market environments.

MNA vs. VGK - Sectors Allocation Comparison

Sectors	MNA	VGK
Industrials	22.3%	19.3%
Utilities	15.3%	4.7%
Financial Services	11.4%	23.6%
Healthcare	11.3%	11.9%
Basic Materials	10.3%	5.3%
Communication Services	9.2%	3.3%
Technology	8.3%	8.2%
Real Estate	5.1%	1.5%
Consumer Defensive	4.4%	8.4%
Consumer Cyclical	2.4%	6.8%
Energy	-	5.3%

Return for Risk

MNA vs. VGK — Risk / Return Rank

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

MNA

MNA Risk / Return Rank: 41
MNA Sharpe Ratio Rank: 29
MNA Sortino Ratio Rank: 28
MNA Omega Ratio Rank: 28
MNA Calmar Ratio Rank: 71
MNA Martin Ratio Rank: 52

VGK

VGK Risk / Return Rank: 32
VGK Sharpe Ratio Rank: 32
VGK Sortino Ratio Rank: 32
VGK Omega Ratio Rank: 31
VGK Calmar Ratio Rank: 30
VGK Martin Ratio Rank: 36

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.

MNA vs. VGK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for IQ Merger Arbitrage ETF (MNA) and Vanguard FTSE Europe ETF (VGK). 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.

	MNA	VGK	Difference
Sharpe ratio: Return per unit of total volatility	0.95	1.05	-0.11
Sortino ratio: Return per unit of downside risk	1.41	1.55	-0.15
Omega ratio: Gain probability vs. loss probability	1.17	1.19	-0.02
Calmar ratio: Return relative to maximum drawdown	3.22	1.35	+1.86
Martin ratio: Return relative to average drawdown	7.99	5.01	+2.98
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MNA vs. VGK - Sharpe Ratio Comparison

The current MNA Sharpe Ratio is 0.95, which is comparable to the VGK Sharpe Ratio of 1.05. The chart below compares the historical Sharpe Ratios of MNA and VGK, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	MNA	VGK	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.95	1.05	-0.11
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.37	0.45	-0.08
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.42	0.51	-0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.36	0.28	+0.08

Drawdowns

MNA vs. VGK - Drawdown Comparison

The maximum MNA drawdown since its inception was -16.68%, smaller than the maximum VGK drawdown of -63.61%. Use the drawdown chart below to compare losses from any high point for MNA and VGK.

Drawdown Indicators

	MNA	VGK	Difference
Max Drawdown Largest peak-to-trough decline	-16.68%	-63.61%	+46.93%
Max Drawdown (1Y) Largest decline over 1 year	-1.40%	-12.09%	+10.69%
Max Drawdown (3Y) Largest decline over 3 years	-3.01%	-14.31%	+11.30%
Max Drawdown (5Y) Largest decline over 5 years	-10.45%	-32.74%	+22.29%
Max Drawdown (10Y) Largest decline over 10 years	-16.68%	-37.24%	+20.56%
Current Drawdown Current decline from peak	-0.55%	-2.83%	+2.28%
Average Drawdown Average peak-to-trough decline	-2.83%	-13.34%	+10.51%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.56%	3.26%	-2.70%

Volatility

MNA vs. VGK - Volatility Comparison

The current volatility for IQ Merger Arbitrage ETF (MNA) is 1.66%, while Vanguard FTSE Europe ETF (VGK) has a volatility of 4.86%. This indicates that MNA experiences smaller price fluctuations and is considered to be less risky than VGK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MNA	VGK	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.66%	4.86%	-3.20%
Volatility (6M) Calculated over the trailing 6-month period	3.59%	12.97%	-9.38%
Volatility (1Y) Calculated over the trailing 1-year period	4.75%	15.57%	-10.82%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.98%	17.92%	-12.94%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.55%	18.97%	-12.42%

MNA vs. VGK - Expense Ratio Comparison

MNA has a 0.77% expense ratio, which is higher than VGK's 0.06% expense ratio.

Dividends

MNA vs. VGK - Dividend Comparison

MNA has not paid dividends to shareholders, while VGK's dividend yield for the trailing twelve months is around 2.83%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MNA IQ Merger Arbitrage ETF	0.00%	0.00%	0.00%	1.20%	0.00%	0.00%	2.30%	0.00%	0.00%	0.00%	0.21%	0.87%
VGK Vanguard FTSE Europe ETF	2.83%	2.86%	3.61%	3.15%	3.25%	3.05%	2.11%	3.27%	3.95%	2.70%	3.52%	3.25%

Frequently Asked Questions

Can I hold both MNA and VGK in my portfolio?

MNA and VGK have a correlation of 0.44, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MNA or VGK?

VGK has higher volatility (4.86%) compared to MNA (1.66%). In terms of maximum drawdown, MNA dropped -16.68% vs VGK's -63.61%.

Which ETF is better, MNA or VGK?

On 10-year performance, VGK leads with 9.63% vs 2.74% for MNA. On fees, VGK is cheaper at 0.06% per year. On volatility, MNA has been the lower-risk option at 1.66%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, MNA or VGK?

Over the 10-year period, VGK has performed better with a 9.63% return vs 2.74%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, MNA or VGK?

VGK is cheaper with a 0.06% expense ratio, compared with 0.77% for MNA.

Which ETF pays a higher dividend yield, MNA or VGK?

VGK has the higher dividend yield at 2.83%, compared with 0.00% for MNA.

What is the main difference between MNA and VGK?

MNA is categorized as Hedge Fund, while VGK is Europe Equities. MNA tracks IQ Merger Arbitrage Index, while VGK tracks FTSE Developed Europe All Cap Index. They also come from different issuers: New York Life and Vanguard. Their fees differ too: 0.77% for MNA and 0.06% for VGK.

Which has better risk-adjusted returns?

VGK currently has the higher Sharpe Ratio (1.05 vs 0.95), 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.