VEA vs. GRID

Last updated Jun 9, 2026

VEA (Vanguard FTSE Developed Markets ETF) and GRID (First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund) are both exchange-traded funds - VEA is a Foreign Large Cap Equities fund tracking the FTSE Developed All Cap ex US Index, while GRID is a Alternative Energy Equities fund tracking the Nasdaq Clean Edge Smart Grid Infrastructure Index. Both are passively managed. Over the past 10 years, VEA returned 10.14%/yr vs 19.34%/yr for GRID. A 0.73 correlation means they provide meaningful diversification when combined. VEA charges 0.03%/yr vs 0.70%/yr for GRID.

Performance

VEA vs. GRID - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE Developed Markets ETF (VEA) and First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VEA achieves a 12.02% return, which is significantly lower than GRID's 23.80% return. Over the past 10 years, VEA has underperformed GRID with an annualized return of 10.14%, while GRID has yielded a comparatively higher 19.34% annualized return.

VEA

• 1D: 1.00%
• 1M: -1.37%
• YTD: 12.02%
• 6M: 14.95%
• 1Y: 28.06%
• 3Y*: 18.65%
• 5Y*: 9.09%
• 10Y*: 10.14%

GRID

• 1D: 0.94%
• 1M: -4.01%
• YTD: 23.80%
• 6M: 23.19%
• 1Y: 44.25%
• 3Y*: 24.20%
• 5Y*: 16.92%
• 10Y*: 19.34%

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

VEA vs. GRID - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VEA Vanguard FTSE Developed Markets ETF	12.02%	35.16%	3.15%	17.93%	-15.34%	11.66%	9.71%	22.62%	-14.75%	26.42%
GRID First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund	23.80%	29.65%	15.18%	21.57%	-13.89%	27.65%	48.84%	42.80%	-22.69%	27.44%

Correlation

The correlation between VEA and GRID is 0.83, 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	0.83
Correlation (3Y) Calculated over the trailing 3-year period	0.82
Correlation (5Y) Calculated over the trailing 5-year period	0.84
Correlation (10Y) Calculated over the trailing 10-year period	0.79
Correlation (All Time) Calculated using the full available price history since Nov 18, 2009	0.73

The correlation between VEA and GRID shifts across timeframes, from 0.73 (all time) to 0.84 (5 years), reflecting how their relationship changes across market environments.

VEA vs. GRID - Sectors Allocation Comparison

Sectors	VEA	GRID
Financial Services	23.3%	-
Industrials	19.2%	65.2%
Technology	13.8%	11.0%
Healthcare	8.2%	-
Basic Materials	7.5%	0.0%
Consumer Cyclical	7.5%	3.5%
Consumer Defensive	5.6%	-
Energy	5.4%	-
Communication Services	3.4%	-
Utilities	3.3%	20.4%
Real Estate	2.7%	-

Return for Risk

VEA vs. GRID — Risk / Return Rank

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

VEA

VEA Risk / Return Rank: 56
VEA Sharpe Ratio Rank: 57
VEA Sortino Ratio Rank: 55
VEA Omega Ratio Rank: 57
VEA Calmar Ratio Rank: 54
VEA Martin Ratio Rank: 58

GRID

GRID Risk / Return Rank: 76
GRID Sharpe Ratio Rank: 76
GRID Sortino Ratio Rank: 71
GRID Omega Ratio Rank: 72
GRID Calmar Ratio Rank: 80
GRID Martin Ratio Rank: 80

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.

VEA vs. GRID - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Developed Markets ETF (VEA) and First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID). 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.

	VEA	GRID	Difference
Sharpe ratio: Return per unit of total volatility	1.75	2.22	-0.48
Sortino ratio: Return per unit of downside risk	2.39	2.91	-0.51
Omega ratio: Gain probability vs. loss probability	1.32	1.38	-0.07
Calmar ratio: Return relative to maximum drawdown	2.42	3.79	-1.37
Martin ratio: Return relative to average drawdown	9.39	14.15	-4.77
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VEA vs. GRID - Sharpe Ratio Comparison

The current VEA Sharpe Ratio is 1.75, which is comparable to the GRID Sharpe Ratio of 2.22. The chart below compares the historical Sharpe Ratios of VEA and GRID, 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

	VEA	GRID	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.75	2.22	-0.48
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.55	0.81	-0.26
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.59	0.85	-0.26
Sharpe Ratio (All Time) Calculated using the full available price history	0.24	0.56	-0.32

Drawdowns

VEA vs. GRID - Drawdown Comparison

The maximum VEA drawdown since its inception was -60.68%, which is greater than GRID's maximum drawdown of -40.56%. Use the drawdown chart below to compare losses from any high point for VEA and GRID.

Drawdown Indicators

	VEA	GRID	Difference
Max Drawdown Largest peak-to-trough decline	-60.68%	-40.56%	-20.12%
Max Drawdown (1Y) Largest decline over 1 year	-11.63%	-11.73%	+0.10%
Max Drawdown (3Y) Largest decline over 3 years	-13.45%	-20.77%	+7.32%
Max Drawdown (5Y) Largest decline over 5 years	-29.71%	-29.64%	-0.07%
Max Drawdown (10Y) Largest decline over 10 years	-35.73%	-40.56%	+4.83%
Current Drawdown Current decline from peak	-3.40%	-5.25%	+1.85%
Average Drawdown Average peak-to-trough decline	-13.29%	-8.43%	-4.86%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.00%	3.14%	-0.14%

Volatility

VEA vs. GRID - Volatility Comparison

The current volatility for Vanguard FTSE Developed Markets ETF (VEA) is 6.03%, while First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID) has a volatility of 8.65%. This indicates that VEA experiences smaller price fluctuations and is considered to be less risky than GRID based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VEA	GRID	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.03%	8.65%	-2.62%
Volatility (6M) Calculated over the trailing 6-month period	13.91%	16.87%	-2.96%
Volatility (1Y) Calculated over the trailing 1-year period	16.15%	20.03%	-3.88%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.63%	21.11%	-4.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.40%	22.86%	-5.46%

VEA vs. GRID - Expense Ratio Comparison

VEA has a 0.03% expense ratio, which is lower than GRID's 0.70% expense ratio.

Dividends

VEA vs. GRID - Dividend Comparison

VEA's dividend yield for the trailing twelve months is around 2.69%, more than GRID's 0.80% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
GRID First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund	0.80%	1.01%	1.06%	1.23%	1.26%	0.63%	0.68%	1.26%	1.28%	1.07%	1.07%	1.23%
VEA Vanguard FTSE Developed Markets ETF	2.69%	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

Can I hold both VEA and GRID in my portfolio?

VEA and GRID have a correlation of 0.83, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VEA or GRID?

GRID has higher volatility (8.65%) compared to VEA (6.03%). In terms of maximum drawdown, VEA dropped -60.68% vs GRID's -40.56%.

Which ETF is better, VEA or GRID?

On 10-year performance, GRID leads with 19.34% vs 10.14% for VEA. On fees, VEA is cheaper at 0.03% per year. On volatility, VEA has been the lower-risk option at 6.03%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VEA or GRID?

Over the 10-year period, GRID has performed better with a 19.34% return vs 10.14%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VEA or GRID?

VEA is cheaper with a 0.03% expense ratio, compared with 0.70% for GRID.

Which ETF pays a higher dividend yield, VEA or GRID?

VEA has the higher dividend yield at 2.69%, compared with 0.80% for GRID.

What is the main difference between VEA and GRID?

VEA is categorized as Foreign Large Cap Equities, while GRID is Alternative Energy Equities. VEA tracks FTSE Developed All Cap ex US Index, while GRID tracks Nasdaq Clean Edge Smart Grid Infrastructure Index. They also come from different issuers: Vanguard and First Trust. Their fees differ too: 0.03% for VEA and 0.70% for GRID.

Which has better risk-adjusted returns?

GRID currently has the higher Sharpe Ratio (2.22 vs 1.75), 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.