VEA vs. SPOT

Last updated Jun 9, 2026

VEA (Vanguard FTSE Developed Markets ETF) is Foreign Large Cap Equities fund tracking the FTSE Developed All Cap ex US Index, while SPOT (Spotify Technology S.A.) is a stock. Over the past 5 years, VEA returned 9.09%/yr vs 16.18%/yr for SPOT. At a 0.36 correlation, their price movements are largely independent.

Performance

VEA vs. SPOT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE Developed Markets ETF (VEA) and Spotify Technology S.A. (SPOT). 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 higher than SPOT's -13.36% 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%

SPOT

• 1D: 1.24%
• 1M: 20.42%
• YTD: -13.36%
• 6M: -12.09%
• 1Y: -29.36%
• 3Y*: 49.53%
• 5Y*: 16.18%
• 10Y*: —

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

VEA vs. SPOT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
VEA Vanguard FTSE Developed Markets ETF	12.02%	35.16%	3.15%	17.93%	-15.34%	11.66%	9.71%	22.62%	-13.27%
SPOT Spotify Technology S.A.	-13.36%	29.80%	138.08%	138.01%	-66.27%	-25.62%	110.40%	31.76%	-23.83%

Correlation

The correlation between VEA and SPOT is 0.12, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.12
Correlation (3Y) Calculated over the trailing 3-year period	0.24
Correlation (5Y) Calculated over the trailing 5-year period	0.37
Correlation (All Time) Calculated using the full available price history since Apr 4, 2018	0.36

Over the past year, the correlation between VEA and SPOT has dropped to 0.12 - well below their long-term average of 0.36, suggesting their price drivers have been diverging.

Return for Risk

VEA vs. SPOT — 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

SPOT

SPOT Risk / Return Rank: 16
SPOT Sharpe Ratio Rank: 14
SPOT Sortino Ratio Rank: 15
SPOT Omega Ratio Rank: 16
SPOT Calmar Ratio Rank: 19
SPOT Martin Ratio Rank: 19

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. SPOT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Developed Markets ETF (VEA) and Spotify Technology S.A. (SPOT). 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	SPOT	Difference
Sharpe ratio: Return per unit of total volatility	1.75	-0.65	+2.40
Sortino ratio: Return per unit of downside risk	2.39	-0.75	+3.15
Omega ratio: Gain probability vs. loss probability	1.32	0.90	+0.41
Calmar ratio: Return relative to maximum drawdown	2.42	-0.63	+3.05
Martin ratio: Return relative to average drawdown	9.39	-1.10	+10.48
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. SPOT - Sharpe Ratio Comparison

The current VEA Sharpe Ratio is 1.75, which is higher than the SPOT Sharpe Ratio of -0.65. The chart below compares the historical Sharpe Ratios of VEA and SPOT, 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	SPOT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.75	-0.65	+2.40
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.55	0.34	+0.21
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.59	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.24	0.34	-0.10

Drawdowns

VEA vs. SPOT - Drawdown Comparison

The maximum VEA drawdown since its inception was -60.68%, smaller than the maximum SPOT drawdown of -80.51%. Use the drawdown chart below to compare losses from any high point for VEA and SPOT.

Drawdown Indicators

	VEA	SPOT	Difference
Max Drawdown Largest peak-to-trough decline	-60.68%	-80.51%	+19.83%
Max Drawdown (1Y) Largest decline over 1 year	-11.63%	-46.80%	+35.17%
Max Drawdown (3Y) Largest decline over 3 years	-13.45%	-46.80%	+33.35%
Max Drawdown (5Y) Largest decline over 5 years	-29.71%	-76.39%	+46.68%
Max Drawdown (10Y) Largest decline over 10 years	-35.73%	—	—
Current Drawdown Current decline from peak	-3.40%	-35.16%	+31.76%
Average Drawdown Average peak-to-trough decline	-13.29%	-30.81%	+17.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.00%	26.76%	-23.76%

Volatility

VEA vs. SPOT - Volatility Comparison

The current volatility for Vanguard FTSE Developed Markets ETF (VEA) is 6.03%, while Spotify Technology S.A. (SPOT) has a volatility of 15.97%. This indicates that VEA experiences smaller price fluctuations and is considered to be less risky than SPOT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VEA	SPOT	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.03%	15.97%	-9.94%
Volatility (6M) Calculated over the trailing 6-month period	13.91%	37.40%	-23.49%
Volatility (1Y) Calculated over the trailing 1-year period	16.15%	45.30%	-29.15%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.63%	47.60%	-30.97%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.40%	47.26%	-29.86%

Dividends

VEA vs. SPOT - Dividend Comparison

VEA's dividend yield for the trailing twelve months is around 2.69%, while SPOT has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SPOT Spotify Technology S.A.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
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 SPOT in my portfolio?

VEA and SPOT have a correlation of 0.12, 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 SPOT?

SPOT has higher volatility (15.97%) compared to VEA (6.03%). In terms of maximum drawdown, VEA dropped -60.68% vs SPOT's -80.51%.

Which has better risk-adjusted returns?

VEA currently has the higher Sharpe Ratio (1.75 vs -0.65), 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.