VEUR.L vs. HMEU.L

Last updated Jun 5, 2026

VEUR.L (Vanguard FTSE Developed Europe UCITS ETF Distributing) and HMEU.L (HSBC MSCI Europe UCITS ETF) are both Europe Equities funds tracking the MSCI Europe NR EUR, from Vanguard and HSBC respectively. Both are passively managed. Over the past 10 years, VEUR.L returned 10.28%/yr vs 10.50%/yr for HMEU.L. Their correlation of 0.90 suggests significant overlap in exposure. VEUR.L charges 0.10%/yr vs 0.25%/yr for HMEU.L.

Performance

VEUR.L vs. HMEU.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in Vanguard FTSE Developed Europe UCITS ETF Distributing (VEUR.L) and HSBC MSCI Europe UCITS ETF (HMEU.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

VEUR.L is traded in GBP, while HMEU.L is traded in GBp. To make them comparable, the HMEU.L values have been converted to GBP using the latest available exchange rates.

Returns By Period

The year-to-date returns for both investments are quite close, with VEUR.L having a 6.65% return and HMEU.L slightly higher at 6.73%. Both investments have delivered pretty close results over the past 10 years, with VEUR.L having a 10.28% annualized return and HMEU.L not far ahead at 10.50%.

VEUR.L

• 1D: 0.73%
• 1M: 1.06%
• YTD: 6.65%
• 6M: 8.94%
• 1Y: 19.30%
• 3Y*: 14.20%
• 5Y*: 10.10%
• 10Y*: 10.28%

HMEU.L

• 1D: 0.61%
• 1M: 1.13%
• YTD: 6.73%
• 6M: 8.71%
• 1Y: 18.94%
• 3Y*: 14.73%
• 5Y*: 10.72%
• 10Y*: 10.50%

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

VEUR.L vs. HMEU.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VEUR.L Vanguard FTSE Developed Europe UCITS ETF Distributing	6.65%	26.00%	4.43%	13.51%	-4.33%	16.97%	2.77%	19.67%	-9.54%	15.39%
HMEU.L HSBC MSCI Europe UCITS ETF	6.73%	25.88%	6.23%	13.28%	-3.35%	17.08%	2.26%	19.72%	-9.45%	15.34%

Correlation

The correlation between VEUR.L and HMEU.L is 0.98 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.98
Correlation (3Y) Calculated over the trailing 3-year period	0.98
Correlation (5Y) Calculated over the trailing 5-year period	0.97
Correlation (10Y) Calculated over the trailing 10-year period	0.90
Correlation (All Time) Calculated using the full available price history since Jun 25, 2013	0.90

The correlation between VEUR.L and HMEU.L has been stable across timeframes, ranging from 0.90 to 0.98 - a consistent structural relationship.

VEUR.L vs. HMEU.L - Sectors Allocation Comparison

Sectors	VEUR.L	HMEU.L
Financial Services	24.0%	23.2%
Industrials	19.7%	19.8%
Healthcare	12.9%	13.1%
Technology	8.5%	8.5%
Consumer Defensive	8.3%	8.7%
Consumer Cyclical	6.6%	6.3%
Basic Materials	5.6%	5.6%
Energy	5.3%	5.3%
Utilities	5.0%	5.0%
Communication Services	3.0%	3.7%
Real Estate	1.1%	0.8%

Return for Risk

VEUR.L vs. HMEU.L — Risk / Return Rank

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

VEUR.L

VEUR.L Risk / Return Rank: 45
VEUR.L Sharpe Ratio Rank: 48
VEUR.L Sortino Ratio Rank: 47
VEUR.L Omega Ratio Rank: 50
VEUR.L Calmar Ratio Rank: 37
VEUR.L Martin Ratio Rank: 42

HMEU.L

HMEU.L Risk / Return Rank: 44
HMEU.L Sharpe Ratio Rank: 46
HMEU.L Sortino Ratio Rank: 45
HMEU.L Omega Ratio Rank: 48
HMEU.L Calmar Ratio Rank: 38
HMEU.L Martin Ratio Rank: 42

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.

VEUR.L vs. HMEU.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Developed Europe UCITS ETF Distributing (VEUR.L) and HSBC MSCI Europe UCITS ETF (HMEU.L). 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.

	VEUR.L	HMEU.L	Difference
Sharpe ratio: Return per unit of total volatility	1.62	1.57	+0.05
Sortino ratio: Return per unit of downside risk	2.29	2.24	+0.06
Omega ratio: Gain probability vs. loss probability	1.31	1.30	+0.01
Calmar ratio: Return relative to maximum drawdown	1.83	1.83	0.00
Martin ratio: Return relative to average drawdown	6.55	6.52	+0.03
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VEUR.L vs. HMEU.L - Sharpe Ratio Comparison

The current VEUR.L Sharpe Ratio is 1.62, which is comparable to the HMEU.L Sharpe Ratio of 1.57. The chart below compares the historical Sharpe Ratios of VEUR.L and HMEU.L, 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

	VEUR.L	HMEU.L	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.62	1.57	+0.05
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.73	0.78	-0.05
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.69	0.75	-0.06
Sharpe Ratio (All Time) Calculated using the full available price history	0.65	0.65	0.00

Drawdowns

VEUR.L vs. HMEU.L - Drawdown Comparison

The maximum VEUR.L drawdown since its inception was -28.59%, roughly equal to the maximum HMEU.L drawdown of -28.42%. Use the drawdown chart below to compare losses from any high point for VEUR.L and HMEU.L.

Drawdown Indicators

	VEUR.L	HMEU.L	Difference
Max Drawdown Largest peak-to-trough decline	-28.59%	-28.42%	-0.17%
Max Drawdown (1Y) Largest decline over 1 year	-10.59%	-10.42%	-0.17%
Max Drawdown (3Y) Largest decline over 3 years	-12.72%	-12.77%	+0.05%
Max Drawdown (5Y) Largest decline over 5 years	-16.38%	-15.46%	-0.92%
Max Drawdown (10Y) Largest decline over 10 years	-28.59%	-28.42%	-0.17%
Current Drawdown Current decline from peak	-1.39%	-1.26%	-0.13%
Average Drawdown Average peak-to-trough decline	-4.11%	-4.79%	+0.68%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.97%	2.93%	+0.04%

Volatility

VEUR.L vs. HMEU.L - Volatility Comparison

Vanguard FTSE Developed Europe UCITS ETF Distributing (VEUR.L) and HSBC MSCI Europe UCITS ETF (HMEU.L) have volatilities of 3.94% and 3.84%, 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

	VEUR.L	HMEU.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.94%	3.84%	+0.10%
Volatility (6M) Calculated over the trailing 6-month period	10.05%	10.19%	-0.14%
Volatility (1Y) Calculated over the trailing 1-year period	11.99%	12.17%	-0.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.77%	13.81%	-0.04%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.92%	15.47%	-0.55%

VEUR.L vs. HMEU.L - Expense Ratio Comparison

VEUR.L has a 0.10% expense ratio, which is lower than HMEU.L's 0.25% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VEUR.L vs. HMEU.L - Dividend Comparison

VEUR.L's dividend yield for the trailing twelve months is around 2.59%, more than HMEU.L's 2.44% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HMEU.L HSBC MSCI Europe UCITS ETF	2.44%	2.55%	5.65%	2.80%	2.85%	2.16%	2.13%	3.10%	3.29%	2.77%	2.82%	5.28%
VEUR.L Vanguard FTSE Developed Europe UCITS ETF Distributing	2.59%	2.75%	3.10%	2.96%	3.19%	2.71%	2.28%	3.35%	3.53%	3.05%	3.04%	3.06%

Frequently Asked Questions

Can I hold both VEUR.L and HMEU.L in my portfolio?

With a correlation of 0.98, VEUR.L and HMEU.L 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 ETF is better, VEUR.L or HMEU.L?

On fees, VEUR.L is cheaper at 0.10% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VEUR.L or HMEU.L?

VEUR.L is cheaper with a 0.10% expense ratio, compared with 0.25% for HMEU.L.

What is the main difference between VEUR.L and HMEU.L?

Both ETFs track MSCI Europe NR EUR. They also come from different issuers: Vanguard and HSBC. Their fees differ too: 0.10% for VEUR.L and 0.25% for HMEU.L.