PortfoliosLab logoPortfoliosLab logo

Documentation

Upgrade your plan
VDIPX vs. IEFA
Performance
Return for Risk
Drawdowns
Volatility
Dividends

VDIPX vs. IEFA

Last updated Jun 5, 2026

VDIPX (Vanguard Developed Markets Index Fund Institutional Plus Shares) and IEFA (iShares Core MSCI EAFE ETF) are both Foreign Large Cap Equities funds. Over the past 10 years, VDIPX returned 10.20%/yr vs 9.25%/yr for IEFA. With a 0.98 correlation, they move nearly in lockstep. VDIPX charges 0.04%/yr vs 0.07%/yr for IEFA.

Performance

VDIPX vs. IEFA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Developed Markets Index Fund Institutional Plus Shares (VDIPX) and iShares Core MSCI EAFE ETF (IEFA). The values are adjusted to include any dividend payments, if applicable.

Loading charts...

Returns By Period

In the year-to-date period, VDIPX achieves a 15.16% return, which is significantly higher than IEFA's 9.67% return. Over the past 10 years, VDIPX has outperformed IEFA with an annualized return of 10.20%, while IEFA has yielded a comparatively lower 9.25% annualized return.

VDIPX

1D
-0.66%
1M
4.06%
YTD
15.16%
6M
18.09%
1Y
32.08%
3Y*
19.97%
5Y*
9.65%
10Y*
10.20%

IEFA

1D
0.75%
1M
2.81%
YTD
9.67%
6M
12.00%
1Y
22.30%
3Y*
17.24%
5Y*
8.23%
10Y*
9.25%
*Multi-year figures are annualized to reflect compound growth (CAGR)

VDIPX vs. IEFA - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
VDIPX
Vanguard Developed Markets Index Fund Institutional Plus Shares		15.16%35.15%3.08%17.78%-15.35%11.45%10.26%22.06%-14.48%26.48%
IEFA
iShares Core MSCI EAFE ETF		9.67%32.08%3.26%17.95%-15.24%11.63%8.18%22.64%-14.14%26.57%

Correlation

The correlation between VDIPX and IEFA is 0.93, 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

0.93

Correlation (3Y)
Calculated over the trailing 3-year period

0.97

Correlation (5Y)
Calculated over the trailing 5-year period

0.98

Correlation (10Y)
Calculated over the trailing 10-year period

0.98

Correlation (All Time)
Calculated using the full available price history since Jan 5, 2015

0.98

The correlation between VDIPX and IEFA has been stable across timeframes, ranging from 0.93 to 0.98 - a consistent structural relationship.

VDIPX vs. IEFA - Sectors Allocation Comparison

Sectors
VDIPX
IEFA

Financial Services

23.3%
22.5%

Industrials

19.2%
20.1%

Technology

13.8%
10.8%

Healthcare

8.2%
9.5%

Basic Materials

7.5%
7.0%

Consumer Cyclical

7.5%
8.0%

Consumer Defensive

5.6%
6.6%

Energy

5.4%
3.8%

Communication Services

3.4%
4.4%

Utilities

3.3%
3.6%

Real Estate

2.7%
3.0%

Financial Services

VDIPX
23.3%
IEFA
22.5%

Industrials

VDIPX
19.2%
IEFA
20.1%

Technology

VDIPX
13.8%
IEFA
10.8%

Healthcare

VDIPX
8.2%
IEFA
9.5%

Basic Materials

VDIPX
7.5%
IEFA
7.0%

Consumer Cyclical

VDIPX
7.5%
IEFA
8.0%

Consumer Defensive

VDIPX
5.6%
IEFA
6.6%

Energy

VDIPX
5.4%
IEFA
3.8%

Communication Services

VDIPX
3.4%
IEFA
4.4%

Utilities

VDIPX
3.3%
IEFA
3.6%

Real Estate

VDIPX
2.7%
IEFA
3.0%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

Vanguard Developed Markets Index Fund Institutional Plus Shares

iShares Core MSCI EAFE ETF

Often compared with VDIPX:
VDIPX vs. VEMIXVDIPX vs. VTIAXVDIPX vs. VIEIXVDIPX vs. FSPSXVDIPX vs. VOOVDIPX vs. VIGIXVDIPX vs. DODGX
Often compared with IEFA:
IEFA vs. VEAIEFA vs. VXUSIEFA vs. EFAIEFA vs. FSPSXIEFA vs. IEMGIEFA vs. XEF.TOIEFA vs. IXUS

Return for Risk

VDIPX vs. IEFA — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
VDIPX
VDIPX Risk / Return Rank: 5353
Overall Rank
VDIPX Sharpe Ratio Rank: 5555
Sharpe Ratio Rank
VDIPX Sortino Ratio Rank: 5050
Sortino Ratio Rank
VDIPX Omega Ratio Rank: 5151
Omega Ratio Rank
VDIPX Calmar Ratio Rank: 5454
Calmar Ratio Rank
VDIPX Martin Ratio Rank: 5454
Martin Ratio Rank
IEFA
IEFA Risk / Return Rank: 4444
Overall Rank
IEFA Sharpe Ratio Rank: 4444
Sharpe Ratio Rank
IEFA Sortino Ratio Rank: 4444
Sortino Ratio Rank
IEFA Omega Ratio Rank: 4444
Omega Ratio Rank
IEFA Calmar Ratio Rank: 4141
Calmar Ratio Rank
IEFA Martin Ratio Rank: 4646
Martin Ratio Rank
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.

VDIPX vs. IEFA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Developed Markets Index Fund Institutional Plus Shares (VDIPX) and iShares Core MSCI EAFE ETF (IEFA). 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.

VDIPXIEFADifference
Sharpe ratioReturn per unit of total volatility
2.18
1.50

+0.68

Sortino ratioReturn per unit of downside risk
2.97
2.16

+0.81

Omega ratioGain probability vs. loss probability

1.39

1.27

+0.12

Calmar ratioReturn relative to maximum drawdown

2.82

1.95

+0.87

Martin ratioReturn relative to average drawdown

10.93

7.43

+3.50

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VDIPX vs. IEFA - Sharpe Ratio Comparison

The current VDIPX Sharpe Ratio is 2.18, which is higher than the IEFA Sharpe Ratio of 1.50. The chart below compares the historical Sharpe Ratios of VDIPX and IEFA, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Loading charts...

Sharpe Ratios by Period

VDIPXIEFADifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.18

1.50

+0.68

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.61

0.50

+0.11

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.62

0.54

+0.08

Sharpe Ratio (All Time)

Calculated using the full available price history

0.54

0.51

+0.03

Drawdowns

VDIPX vs. IEFA - Drawdown Comparison

The maximum VDIPX drawdown since its inception was -35.61%, roughly equal to the maximum IEFA drawdown of -34.78%. Use the drawdown chart below to compare losses from any high point for VDIPX and IEFA.

Loading charts...

Drawdown Indicators

VDIPXIEFADifference

Max Drawdown

Largest peak-to-trough decline

-35.61%

-34.78%

-0.83%

Max Drawdown (1Y)

Largest decline over 1 year

-11.67%

-11.50%

-0.17%

Max Drawdown (3Y)

Largest decline over 3 years

-13.15%

-13.76%

+0.61%

Max Drawdown (5Y)

Largest decline over 5 years

-29.69%

-30.41%

+0.72%

Max Drawdown (10Y)

Largest decline over 10 years

-35.61%

-34.78%

-0.83%

Current Drawdown

Current decline from peak

-0.66%

-0.46%

-0.20%

Average Drawdown

Average peak-to-trough decline

-7.20%

-6.69%

-0.51%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.00%

3.01%

-0.01%

Volatility

VDIPX vs. IEFA - Volatility Comparison

Vanguard Developed Markets Index Fund Institutional Plus Shares (VDIPX) and iShares Core MSCI EAFE ETF (IEFA) have volatilities of 4.97% and 4.75%, 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.

Loading charts...

Volatility by Period

VDIPXIEFADifference

Volatility (1M)

Calculated over the trailing 1-month period

4.97%

4.75%

+0.22%

Volatility (6M)

Calculated over the trailing 6-month period

12.53%

12.44%

+0.09%

Volatility (1Y)

Calculated over the trailing 1-year period

15.09%

14.94%

+0.15%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

15.88%

16.50%

-0.62%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

16.53%

17.29%

-0.76%

VDIPX vs. IEFA - Expense Ratio Comparison

VDIPX has a 0.04% expense ratio, which is lower than IEFA's 0.07% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VDIPX vs. IEFA - Dividend Comparison

VDIPX's dividend yield for the trailing twelve months is around 2.62%, less than IEFA's 3.24% yield.

PositionTTM20252024202320222021202020192018201720162015
IEFA
iShares Core MSCI EAFE ETF		3.24%3.55%3.47%3.20%2.70%3.32%1.90%3.18%3.46%2.57%2.96%2.63%
VDIPX
Vanguard Developed Markets Index Fund Institutional Plus Shares		2.62%3.23%3.37%3.16%2.92%3.17%2.05%3.05%3.36%2.79%3.08%2.95%

Frequently Asked Questions

With a correlation of 0.93, VDIPX and IEFA move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

VDIPX has higher volatility (4.97%) compared to IEFA (4.75%). In terms of maximum drawdown, VDIPX dropped -35.61% vs IEFA's -34.78%.

VDIPX currently has the higher Sharpe Ratio (2.18 vs 1.50), 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.

Portfolio Optimizer

Find the right allocation for VDIPX and IEFA

Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.

Open Portfolio Optimizer