VEA vs. DGS
VEA (Vanguard FTSE Developed Markets ETF) and DGS (WisdomTree Emerging Markets SmallCap Dividend Fund) are both exchange-traded funds - VEA is a Foreign Large Cap Equities fund tracking the FTSE Developed All Cap ex US Index, while DGS is a Emerging Markets Diversified fund tracking the WisdomTree Emerging Markets SmallCap Dividend Index. Both are passively managed. Over the past 10 years, VEA returned 10.72%/yr vs 10.14%/yr for DGS. Their correlation of 0.81 suggests significant overlap in exposure. VEA charges 0.03%/yr vs 0.58%/yr for DGS.
Performance
VEA vs. DGS - Performance Comparison
Loading charts...
Returns By Period
The year-to-date returns for both investments are quite close, with VEA having a 14.73% return and DGS slightly higher at 14.94%. Over the past 10 years, VEA has outperformed DGS with an annualized return of 10.72%, while DGS has yielded a comparatively lower 10.14% annualized return.
VEA
- 1D
- 0.34%
- 1M
- 1.30%
- YTD
- 14.73%
- 6M
- 16.65%
- 1Y
- 29.82%
- 3Y*
- 19.03%
- 5Y*
- 9.51%
- 10Y*
- 10.72%
DGS
- 1D
- 0.65%
- 1M
- 1.57%
- YTD
- 14.94%
- 6M
- 17.07%
- 1Y
- 23.81%
- 3Y*
- 15.36%
- 5Y*
- 8.06%
- 10Y*
- 10.14%
VEA vs. DGS - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
VEA Vanguard FTSE Developed Markets ETF | 14.73% | 35.16% | 3.15% | 17.93% | -15.34% | 11.66% | 9.71% | 22.62% | -14.75% | 26.42% |
DGS WisdomTree Emerging Markets SmallCap Dividend Fund | 14.94% | 21.18% | 1.13% | 19.08% | -12.35% | 15.33% | 4.06% | 18.90% | -16.52% | 37.47% |
Correlation
The correlation between VEA and DGS is 0.84, 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 | 0.84 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.81 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.81 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.80 |
Correlation (All Time) Calculated using the full available price history since Oct 30, 2007 | 0.81 |
The correlation between VEA and DGS has been stable across timeframes, ranging from 0.80 to 0.84 - a consistent structural relationship.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
VEA vs. DGS — Risk / Return Rank
VEA
DGS
VEA vs. DGS - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Developed Markets ETF (VEA) and WisdomTree Emerging Markets SmallCap Dividend Fund (DGS). 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.
| VEA | DGS | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.37 | ||
| Sortino ratioReturn per unit of downside risk | +0.48 | ||
| Omega ratioGain probability vs. loss probability | 1.33 | 1.27 | +0.06 |
| Calmar ratioReturn relative to maximum drawdown | 2.58 | 2.38 | +0.20 |
| Martin ratioReturn relative to average drawdown | 9.92 | 7.84 | +2.08 |
Loading charts...
Drawdowns
VEA vs. DGS - Drawdown Comparison
The maximum VEA drawdown since its inception was -60.68%, roughly equal to the maximum DGS drawdown of -61.83%. Use the drawdown chart below to compare losses from any high point for VEA and DGS.
Loading charts...
Drawdown Indicators
| VEA | DGS | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -60.68% | -61.83% | +1.15% |
Max Drawdown (1Y)Largest decline over 1 year | -11.63% | -10.06% | -1.57% |
Max Drawdown (3Y)Largest decline over 3 years | -13.45% | -19.31% | +5.86% |
Max Drawdown (5Y)Largest decline over 5 years | -29.71% | -24.86% | -4.85% |
Max Drawdown (10Y)Largest decline over 10 years | -35.73% | -44.08% | +8.35% |
Current DrawdownCurrent decline from peak | -1.06% | -1.05% | -0.01% |
Average DrawdownAverage peak-to-trough decline | -13.28% | -12.57% | -0.71% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.02% | 3.05% | -0.03% |
Volatility
VEA vs. DGS - Volatility Comparison
The current volatility for Vanguard FTSE Developed Markets ETF (VEA) is 6.84%, while WisdomTree Emerging Markets SmallCap Dividend Fund (DGS) has a volatility of 7.30%. This indicates that VEA experiences smaller price fluctuations and is considered to be less risky than DGS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
Loading charts...
Volatility by Period
| VEA | DGS | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 6.84% | 7.30% | -0.46% |
Volatility (6M)Calculated over the trailing 6-month period | 14.38% | 14.27% | +0.11% |
Volatility (1Y)Calculated over the trailing 1-year period | 16.58% | 16.60% | -0.02% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 16.72% | 15.08% | +1.64% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 17.40% | 17.39% | +0.01% |
VEA vs. DGS - Expense Ratio Comparison
VEA has a 0.03% expense ratio, which is lower than DGS's 0.58% expense ratio.
Dividends
VEA vs. DGS - Dividend Comparison
VEA's dividend yield for the trailing twelve months is around 2.62%, less than DGS's 3.20% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
DGS WisdomTree Emerging Markets SmallCap Dividend Fund | 3.20% | 3.45% | 3.36% | 4.55% | 5.34% | 3.98% | 3.69% | 3.95% | 4.24% | 2.81% | 3.42% | 3.28% |
VEA Vanguard FTSE Developed Markets ETF | 2.62% | 3.22% | 3.35% | 3.15% | 2.91% | 3.16% | 2.04% | 3.04% | 3.35% | 2.77% | 3.05% | 2.92% |
Frequently Asked Questions
VEA and DGS have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
DGS has higher volatility (7.30%) compared to VEA (6.84%). In terms of maximum drawdown, VEA dropped -60.68% vs DGS's -61.83%.
On 10-year performance, VEA leads with 10.72% vs 10.14% for DGS. On fees, VEA is cheaper at 0.03% per year. On volatility, VEA has been the lower-risk option at 6.84%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, VEA has performed better with a 10.72% return vs 10.14%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
VEA is cheaper with a 0.03% expense ratio, compared with 0.58% for DGS.
DGS has the higher dividend yield at 3.20%, compared with 2.62% for VEA.
VEA is categorized as Foreign Large Cap Equities, while DGS is Emerging Markets Diversified. VEA tracks FTSE Developed All Cap ex US Index, while DGS tracks WisdomTree Emerging Markets SmallCap Dividend Index. They also come from different issuers: Vanguard and WisdomTree. Their fees differ too: 0.03% for VEA and 0.58% for DGS.
VEA currently has the higher Sharpe Ratio (1.81 vs 1.44), 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.
Find the right allocation for VEA and DGS
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