VEU vs. VGK
Compare and contrast key facts about Vanguard FTSE All-World ex-US ETF (VEU) and Vanguard FTSE Europe ETF (VGK).
VEU and VGK are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. VEU is a passively managed fund by Vanguard that tracks the performance of the FTSE All-World ex US Index. It was launched on Mar 2, 2007. VGK is a passively managed fund by Vanguard that tracks the performance of the FTSE Developed Europe Index. It was launched on Mar 4, 2005. Both VEU and VGK are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: VEU or VGK.
Key characteristics
| VEU | VGK | |
|---|---|---|
| YTD Return | 8.34% | 10.46% |
| 1Y Return | 15.95% | 24.99% |
| 5Y Return (Ann) | 3.30% | 4.12% |
| 10Y Return (Ann) | 3.84% | 4.18% |
| Sharpe Ratio | 0.87 | 1.14 |
| Daily Std Dev | 16.63% | 19.43% |
| Max Drawdown | -61.52% | -63.61% |
Correlation
The correlation between VEU and VGK is 0.94, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
VEU vs. VGK - Performance Comparison
In the year-to-date period, VEU achieves a 8.34% return, which is significantly lower than VGK's 10.46% return. Over the past 10 years, VEU has underperformed VGK with an annualized return of 3.84%, while VGK has yielded a comparatively higher 4.18% annualized return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
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VEU vs. VGK - Dividend Comparison
VEU's dividend yield for the trailing twelve months is around 3.08%, less than VGK's 3.30% yield.
| TTM | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
VEU Vanguard FTSE All-World ex-US ETF | 3.08% | 3.18% | 3.23% | 2.16% | 3.44% | 3.74% | 3.14% | 3.60% | 3.70% | 4.53% | 3.54% | 4.02% |
VGK Vanguard FTSE Europe ETF | 3.30% | 3.34% | 3.24% | 2.32% | 3.68% | 4.60% | 3.26% | 4.36% | 4.18% | 6.12% | 3.82% | 4.29% |
VEU vs. VGK - Expense Ratio Comparison
VEU vs. VGK - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE All-World ex-US ETF (VEU) and Vanguard FTSE Europe ETF (VGK). 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.
| Sharpe ratio | Sortino ratio | Omega ratio | Calmar ratio | Ulcer Index | |
|---|---|---|---|---|---|
VEU Vanguard FTSE All-World ex-US ETF | 0.87 | ||||
VGK Vanguard FTSE Europe ETF | 1.14 |
VEU vs. VGK - Drawdown Comparison
The maximum VEU drawdown for the period was -15.78%, roughly equal to the maximum VGK drawdown of -12.88%. The drawdown chart below compares losses from any high point along the way for VEU and VGK
VEU vs. VGK - Volatility Comparison
The current volatility for Vanguard FTSE All-World ex-US ETF (VEU) is 3.31%, while Vanguard FTSE Europe ETF (VGK) has a volatility of 3.73%. This indicates that VEU experiences smaller price fluctuations and is considered to be less risky than VGK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.