VEU vs. SPDW

Last updated Aug 4, 2026

VEU (Vanguard FTSE All-World ex-US ETF) and SPDW (SPDR Portfolio World ex-US ETF) are both Foreign Large Cap Equities funds - VEU tracks the FTSE All-World ex US Index while SPDW tracks the S&P Developed Ex-U.S. BMI Index. Both are passively managed. Over the past 10 years, VEU returned 9.63%/yr vs 10.02%/yr for SPDW. Their correlation of 0.94 means they have usually moved in the same direction. Both charge a 0.04% expense ratio.

Performance

VEU vs. SPDW - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE All-World ex-US ETF (VEU) and SPDR Portfolio World ex-US ETF (SPDW). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VEU achieves a 13.83% return, which is significantly lower than SPDW's 14.95% return. Both investments have delivered pretty close results over the past 10 years, with VEU having a 9.63% annualized return and SPDW not far ahead at 10.02%.

VEU

• 1D: 0.45%
• 1M: 0.29%
• 6M: 7.13%
• YTD: 13.83%
• 1Y: 28.98%
• 3Y*: 18.48%
• 5Y*: 9.01%
• 10Y*: 9.63%
• ALL TIME*: 5.48%

SPDW

• 1D: 0.56%
• 1M: 0.54%
• 6M: 8.07%
• YTD: 14.95%
• 1Y: 30.58%
• 3Y*: 19.18%
• 5Y*: 9.60%
• 10Y*: 10.02%
• ALL TIME*: 5.12%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
SPDW SPDR Portfolio World ex-US ETF	$136.01M	$160.57M	$162.83M
VEU Vanguard FTSE All-World ex-US ETF	$232.81M	$239.63M	$222.48M

VEU vs. SPDW - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VEU Vanguard FTSE All-World ex-US ETF	13.83%	32.35%	5.56%	15.84%	-15.58%	8.27%	11.10%	21.83%	-14.18%	27.40%
SPDW SPDR Portfolio World ex-US ETF	14.95%	34.75%	3.55%	17.81%	-15.98%	11.45%	9.90%	22.41%	-14.22%	25.81%

Correlation

The correlation between VEU and SPDW is 0.98 - they have historically moved very closely together. At this level, their price movements offset little of one another.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.98
Correlation (3Y) Balances recent behavior with more history.	0.98
Correlation (5Y) Shows whether the relationship held over a longer period.	0.98
Correlation (10Y) Provides a long-term view across more market conditions.	0.98
Correlation (All Time) Calculated using the full available price history since Apr 26, 2007	0.94

The correlation between VEU and SPDW has been stable across timeframes, ranging from 0.94 to 0.98 - a consistent structural relationship.

VEU vs. SPDW - Sectors Allocation Comparison

Sectors	VEU	SPDW
Technology	23.2%	9.5%
Financial Services	23.1%	18.0%
Industrials	14.7%	10.6%
Consumer Cyclical	7.6%	5.2%
Healthcare	6.8%	6.3%
Basic Materials	6.5%	5.4%
Consumer Defensive	4.9%	3.0%
Energy	4.3%	4.9%
Communication Services	4.2%	1.8%
Utilities	3.0%	1.4%
Real Estate	1.8%	1.8%

Return for Risk

VEU vs. SPDW — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

VEU

VEU Risk / Return Rank: 73
VEU Sharpe Ratio Rank: 74
VEU Sortino Ratio Rank: 73
VEU Omega Ratio Rank: 75
VEU Calmar Ratio Rank: 72
VEU Martin Ratio Rank: 74

SPDW

SPDW Risk / Return Rank: 76
SPDW Sharpe Ratio Rank: 77
SPDW Sortino Ratio Rank: 76
SPDW Omega Ratio Rank: 77
SPDW Calmar Ratio Rank: 74
SPDW Martin Ratio Rank: 78

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

VEU vs. SPDW - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE All-World ex-US ETF (VEU) and SPDR Portfolio World ex-US ETF (SPDW). 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.

	VEU	SPDW	Difference
Sharpe ratio: Return per unit of total volatility	1.72	1.80	-0.08
Sortino ratio: Return per unit of downside risk	2.38	2.49	-0.11
Omega ratio: Gain probability vs. loss probability	1.32	1.33	-0.01
Calmar ratio: Return relative to maximum drawdown	2.55	2.66	-0.11
Martin ratio: Return relative to average drawdown	9.31	10.04	-0.73

VEU vs. SPDW - Sharpe Ratio Comparison

The current VEU Sharpe Ratio is 1.72, which is comparable to the SPDW Sharpe Ratio of 1.80. The chart below compares the historical Sharpe Ratios of VEU and SPDW, 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

VEU vs. SPDW - Drawdown Comparison

The maximum VEU drawdown since its inception was -61.52%, roughly equal to the maximum SPDW drawdown of -60.02%. Use the drawdown chart below to compare losses from any high point for VEU and SPDW.

Drawdown Indicators

	VEU	SPDW	Difference
Max Drawdown Largest peak-to-trough decline	-61.52%	-60.02%	-1.50%
Max Drawdown (1Y) Largest decline over 1 year	-11.43%	-11.55%	+0.12%
Max Drawdown (3Y) Largest decline over 3 years	-13.69%	-13.53%	-0.16%
Max Drawdown (5Y) Largest decline over 5 years	-29.14%	-30.21%	+1.07%
Max Drawdown (10Y) Largest decline over 10 years	-34.98%	-34.98%	0.00%
Current Drawdown Current decline from peak	-2.36%	-1.56%	-0.80%
Average Drawdown Average peak-to-trough decline	-13.04%	-12.82%	-0.22%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.12%	3.05%	+0.07%

Volatility

VEU vs. SPDW - Volatility Comparison

Vanguard FTSE All-World ex-US ETF (VEU) and SPDR Portfolio World ex-US ETF (SPDW) have volatilities of 5.32% and 5.25%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VEU	SPDW	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.32%	5.25%	+0.07%
Volatility (6M) Calculated over the trailing 6-month period	15.02%	15.15%	-0.13%
Volatility (1Y) Calculated over the trailing 1-year period	16.96%	17.09%	-0.13%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.37%	16.78%	-0.41%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.08%	17.13%	-0.05%

VEU vs. SPDW - Expense Ratio Comparison

Both VEU and SPDW have an expense ratio of 0.04%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VEU vs. SPDW - Dividend Comparison

VEU's dividend yield for the trailing twelve months is around 2.54%, less than SPDW's 3.01% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SPDW SPDR Portfolio World ex-US ETF	3.01%	3.30%	3.19%	2.75%	3.12%	3.04%	1.87%	3.13%	3.08%	1.86%	3.11%	2.78%
VEU Vanguard FTSE All-World ex-US ETF	2.54%	3.09%	3.24%	3.32%	3.12%	3.08%	2.00%	3.10%	3.27%	2.66%	2.96%	2.95%

Frequently Asked Questions

Can I hold both VEU and SPDW in my portfolio?

With a correlation of 0.98, VEU and SPDW move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, VEU or SPDW?

VEU has higher volatility (5.32%) compared to SPDW (5.25%). In terms of maximum drawdown, VEU dropped -61.52% vs SPDW's -60.02%.

Which ETF is better, VEU or SPDW?

On 10-year performance, SPDW leads with 10.02% vs 9.63% for VEU. Both ETFs have the same 0.04% expense ratio. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VEU or SPDW?

Over the 10-year period, SPDW has performed better with a 10.02% return vs 9.63%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VEU or SPDW?

VEU and SPDW have the same expense ratio: 0.04% per year.

Which ETF pays a higher dividend yield, VEU or SPDW?

SPDW has the higher dividend yield at 3.01%, compared with 2.54% for VEU.

What is the main difference between VEU and SPDW?

VEU tracks FTSE All-World ex US Index, while SPDW tracks S&P Developed Ex-U.S. BMI Index. They also come from different issuers: Vanguard and State Street.

Which has better risk-adjusted returns?

SPDW currently has the higher Sharpe Ratio (1.80 vs 1.72), 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.