VEA vs. SHLD

Last updated Jun 14, 2026

VEA (Vanguard FTSE Developed Markets ETF) and SHLD (Global X Defense Tech ETF) are both exchange-traded funds - VEA is a Foreign Large Cap Equities fund tracking the FTSE Developed All Cap ex US Index, while SHLD is a Aerospace & Defense fund tracking the Global X Defense Tech Index. Both are passively managed. Over the past year, VEA returned 31.41% vs 8.26% for SHLD. At a 0.48 correlation, their price movements are largely independent. VEA charges 0.03%/yr vs 0.50%/yr for SHLD.

Performance

VEA vs. SHLD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE Developed Markets ETF (VEA) and Global X Defense Tech ETF (SHLD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VEA achieves a 14.73% return, which is significantly higher than SHLD's -1.50% return.

VEA

• 1D: 0.34%
• 1M: 3.58%
• YTD: 14.73%
• 6M: 16.65%
• 1Y: 31.41%
• 3Y*: 19.03%
• 5Y*: 9.51%
• 10Y*: 10.72%

SHLD

• 1D: -2.04%
• 1M: 2.37%
• YTD: -1.50%
• 6M: -1.03%
• 1Y: 8.26%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

VEA vs. SHLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
VEA Vanguard FTSE Developed Markets ETF	14.73%	35.16%	3.15%	7.86%
SHLD Global X Defense Tech ETF	-1.50%	74.16%	35.03%	12.89%

Correlation

The correlation between VEA and SHLD is 0.41, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.41
Correlation (All Time) Calculated using the full available price history since Sep 13, 2023	0.48

VEA vs. SHLD - Sectors Allocation Comparison

Sectors	VEA	SHLD
Financial Services	23.3%	-
Industrials	19.2%	87.8%
Technology	13.8%	12.2%
Healthcare	8.2%	-
Basic Materials	7.5%	-
Consumer Cyclical	7.5%	-
Consumer Defensive	5.6%	-
Energy	5.4%	-
Communication Services	3.4%	-
Utilities	3.3%	-
Real Estate	2.7%	-

Return for Risk

VEA vs. SHLD — Risk / Return Rank

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

VEA

VEA Risk / Return Rank: 62
VEA Sharpe Ratio Rank: 63
VEA Sortino Ratio Rank: 62
VEA Omega Ratio Rank: 63
VEA Calmar Ratio Rank: 59
VEA Martin Ratio Rank: 63

SHLD

SHLD Risk / Return Rank: 16
SHLD Sharpe Ratio Rank: 17
SHLD Sortino Ratio Rank: 17
SHLD Omega Ratio Rank: 16
SHLD Calmar Ratio Rank: 16
SHLD Martin Ratio Rank: 16

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. SHLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Developed Markets ETF (VEA) and Global X Defense Tech ETF (SHLD). 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	SHLD	Difference
Sharpe ratio: Return per unit of total volatility	1.81	0.43	+1.38
Sortino ratio: Return per unit of downside risk	2.50	0.78	+1.72
Omega ratio: Gain probability vs. loss probability	1.33	1.09	+0.24
Calmar ratio: Return relative to maximum drawdown	2.58	0.52	+2.06
Martin ratio: Return relative to average drawdown	9.92	1.28	+8.63

VEA vs. SHLD - Sharpe Ratio Comparison

The current VEA Sharpe Ratio is 1.81, which is higher than the SHLD Sharpe Ratio of 0.43. The chart below compares the historical Sharpe Ratios of VEA and SHLD, 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

VEA vs. SHLD - Drawdown Comparison

The maximum VEA drawdown since its inception was -60.68%, which is greater than SHLD's maximum drawdown of -20.10%. Use the drawdown chart below to compare losses from any high point for VEA and SHLD.

Drawdown Indicators

	VEA	SHLD	Difference
Max Drawdown Largest peak-to-trough decline	-60.68%	-20.10%	-40.58%
Max Drawdown (1Y) Largest decline over 1 year	-11.63%	-20.10%	+8.47%
Max Drawdown (3Y) Largest decline over 3 years	-13.45%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-29.71%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-35.73%	—	—
Current Drawdown Current decline from peak	-1.06%	-18.20%	+17.14%
Average Drawdown Average peak-to-trough decline	-13.28%	-3.34%	-9.94%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.02%	8.12%	-5.10%

Volatility

VEA vs. SHLD - Volatility Comparison

The current volatility for Vanguard FTSE Developed Markets ETF (VEA) is 6.84%, while Global X Defense Tech ETF (SHLD) has a volatility of 9.05%. This indicates that VEA experiences smaller price fluctuations and is considered to be less risky than SHLD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VEA	SHLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.84%	9.05%	-2.21%
Volatility (6M) Calculated over the trailing 6-month period	14.38%	19.94%	-5.56%
Volatility (1Y) Calculated over the trailing 1-year period	16.58%	24.55%	-7.97%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.72%	21.29%	-4.57%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.40%	21.29%	-3.89%

VEA vs. SHLD - Expense Ratio Comparison

VEA has a 0.03% expense ratio, which is lower than SHLD's 0.50% expense ratio.

Dividends

VEA vs. SHLD - Dividend Comparison

VEA's dividend yield for the trailing twelve months is around 2.62%, more than SHLD's 0.56% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SHLD Global X Defense Tech ETF	0.56%	0.55%	0.53%	0.26%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
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

Can I hold both VEA and SHLD in my portfolio?

VEA and SHLD have a correlation of 0.41, 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 SHLD?

SHLD has higher volatility (9.05%) compared to VEA (6.84%). In terms of maximum drawdown, VEA dropped -60.68% vs SHLD's -20.10%.

Which ETF is better, VEA or SHLD?

On 1-year performance, VEA leads with 31.41% vs 8.26% for SHLD. 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.

Which ETF has performed better, VEA or SHLD?

Over the 1-year period, VEA has performed better with a 31.41% return vs 8.26%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VEA or SHLD?

VEA is cheaper with a 0.03% expense ratio, compared with 0.50% for SHLD.

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

VEA has the higher dividend yield at 2.62%, compared with 0.56% for SHLD.

What is the main difference between VEA and SHLD?

VEA is categorized as Foreign Large Cap Equities, while SHLD is Aerospace & Defense. VEA tracks FTSE Developed All Cap ex US Index, while SHLD tracks Global X Defense Tech Index. They also come from different issuers: Vanguard and Global X. Their fees differ too: 0.03% for VEA and 0.50% for SHLD.

Which has better risk-adjusted returns?

VEA currently has the higher Sharpe Ratio (1.81 vs 0.43), 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.