VESIX vs. VIIIX

Last updated Jun 23, 2026

VESIX (Vanguard European Stock Index Fund Institutional Shares) and VIIIX (Vanguard Institutional Index Fund Institutional Plus Shares) are both mutual funds - VESIX is a Europe Equities fund managed by Vanguard, while VIIIX is a S&P 500 fund tracking the S&P 500 Index. Over the past 10 years, VESIX returned 9.63%/yr vs 15.65%/yr for VIIIX. A 0.71 correlation means they provide meaningful diversification when combined. VESIX charges 0.08%/yr vs 0.02%/yr for VIIIX.

Performance

VESIX vs. VIIIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard European Stock Index Fund Institutional Shares (VESIX) and Vanguard Institutional Index Fund Institutional Plus Shares (VIIIX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VESIX achieves a 7.46% return, which is significantly lower than VIIIX's 10.19% return. Over the past 10 years, VESIX has underperformed VIIIX with an annualized return of 9.63%, while VIIIX has yielded a comparatively higher 15.65% annualized return.

VESIX

• 1D: 0.30%
• 1M: 0.94%
• YTD: 7.46%
• 6M: 7.99%
• 1Y: 21.44%
• 3Y*: 15.92%
• 5Y*: 9.23%
• 10Y*: 9.63%

VIIIX

• 1D: 1.09%
• 1M: 0.47%
• YTD: 10.19%
• 6M: 9.68%
• 1Y: 27.18%
• 3Y*: 21.39%
• 5Y*: 14.24%
• 10Y*: 15.65%

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

VESIX vs. VIIIX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VESIX Vanguard European Stock Index Fund Institutional Shares	7.46%	35.43%	2.02%	20.03%	-16.07%	16.31%	6.46%	24.24%	-14.78%	27.05%
VIIIX Vanguard Institutional Index Fund Institutional Plus Shares	10.19%	17.87%	26.29%	25.79%	-18.14%	28.69%	18.41%	31.48%	-4.41%	21.82%

Correlation

The correlation between VESIX and VIIIX is 0.73, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.73
Correlation (3Y) Calculated over the trailing 3-year period	0.66
Correlation (5Y) Calculated over the trailing 5-year period	0.72
Correlation (10Y) Calculated over the trailing 10-year period	0.72
Correlation (All Time) Calculated using the full available price history since May 15, 2000	0.71

The correlation between VESIX and VIIIX has been stable across timeframes, ranging from 0.66 to 0.73 - a consistent structural relationship.

Return for Risk

VESIX vs. VIIIX — Risk / Return Rank

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

VESIX

VESIX Risk / Return Rank: 26
VESIX Sharpe Ratio Rank: 26
VESIX Sortino Ratio Rank: 26
VESIX Omega Ratio Rank: 25
VESIX Calmar Ratio Rank: 26
VESIX Martin Ratio Rank: 30

VIIIX

VIIIX Risk / Return Rank: 66
VIIIX Sharpe Ratio Rank: 64
VIIIX Sortino Ratio Rank: 59
VIIIX Omega Ratio Rank: 61
VIIIX Calmar Ratio Rank: 68
VIIIX Martin Ratio Rank: 79

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.

VESIX vs. VIIIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard European Stock Index Fund Institutional Shares (VESIX) and Vanguard Institutional Index Fund Institutional Plus Shares (VIIIX). 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.

	VESIX	VIIIX	Difference
Sharpe ratio: Return per unit of total volatility	1.36	2.17	-0.81
Sortino ratio: Return per unit of downside risk	1.97	2.93	-0.96
Omega ratio: Gain probability vs. loss probability	1.24	1.39	-0.15
Calmar ratio: Return relative to maximum drawdown	1.76	3.04	-1.27
Martin ratio: Return relative to average drawdown	6.51	13.74	-7.23

VESIX vs. VIIIX - Sharpe Ratio Comparison

The current VESIX Sharpe Ratio is 1.36, which is lower than the VIIIX Sharpe Ratio of 2.17. The chart below compares the historical Sharpe Ratios of VESIX and VIIIX, 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

VESIX vs. VIIIX - Drawdown Comparison

The maximum VESIX drawdown since its inception was -63.25%, which is greater than VIIIX's maximum drawdown of -55.18%. Use the drawdown chart below to compare losses from any high point for VESIX and VIIIX.

Drawdown Indicators

	VESIX	VIIIX	Difference
Max Drawdown Largest peak-to-trough decline	-63.25%	-55.18%	-8.07%
Max Drawdown (1Y) Largest decline over 1 year	-11.96%	-8.90%	-3.06%
Max Drawdown (3Y) Largest decline over 3 years	-13.94%	-18.75%	+4.81%
Max Drawdown (5Y) Largest decline over 5 years	-32.68%	-24.50%	-8.18%
Max Drawdown (10Y) Largest decline over 10 years	-36.85%	-33.79%	-3.06%
Current Drawdown Current decline from peak	-0.81%	-1.36%	+0.55%
Average Drawdown Average peak-to-trough decline	-15.20%	-10.00%	-5.20%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.24%	1.96%	+1.28%

Volatility

VESIX vs. VIIIX - Volatility Comparison

Vanguard European Stock Index Fund Institutional Shares (VESIX) has a higher volatility of 5.02% compared to Vanguard Institutional Index Fund Institutional Plus Shares (VIIIX) at 4.77%. This indicates that VESIX's price experiences larger fluctuations and is considered to be riskier than VIIIX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VESIX	VIIIX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.02%	4.77%	+0.25%
Volatility (6M) Calculated over the trailing 6-month period	13.08%	9.91%	+3.17%
Volatility (1Y) Calculated over the trailing 1-year period	15.56%	12.47%	+3.09%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.45%	16.99%	+0.46%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.21%	18.10%	+0.11%

VESIX vs. VIIIX - Expense Ratio Comparison

VESIX has a 0.08% expense ratio, which is higher than VIIIX's 0.02% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VESIX vs. VIIIX - Dividend Comparison

VESIX's dividend yield for the trailing twelve months is around 2.91%, more than VIIIX's 2.44% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VESIX Vanguard European Stock Index Fund Institutional Shares	2.91%	2.86%	3.60%	3.15%	3.25%	3.04%	2.10%	3.28%	3.95%	2.72%	3.54%	3.27%
VIIIX Vanguard Institutional Index Fund Institutional Plus Shares	2.44%	2.11%	3.66%	2.66%	3.39%	4.79%	3.07%	2.86%	2.45%	1.84%	2.38%	2.47%

Frequently Asked Questions

Can I hold both VESIX and VIIIX in my portfolio?

VESIX and VIIIX have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VESIX or VIIIX?

VESIX has higher volatility (5.02%) compared to VIIIX (4.77%). In terms of maximum drawdown, VESIX dropped -63.25% vs VIIIX's -55.18%.

Which has better risk-adjusted returns?

VIIIX currently has the higher Sharpe Ratio (2.17 vs 1.36), 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.