VGS.AX vs. VDGR.AX

Last updated Jul 16, 2026

VGS.AX (Vanguard MSCI Index International Shares ETF) and VDGR.AX (Vanguard Diversified Growth Index ETF) are both exchange-traded funds - VGS.AX is a Global Equities fund tracking the Vanguard MSCI Index International Shares Index, while VDGR.AX is a Diversified Portfolio fund tracking the Growth Composite Index. Both are passively managed. Over the past 5 years, VGS.AX returned 12.49%/yr vs 6.32%/yr for VDGR.AX. Their correlation of 0.80 suggests significant overlap in exposure. VGS.AX charges 0.18%/yr vs 0.27%/yr for VDGR.AX.

Performance

VGS.AX vs. VDGR.AX - Performance Comparison

The chart below illustrates the hypothetical performance of a A$10,000 investment in Vanguard MSCI Index International Shares ETF (VGS.AX) and Vanguard Diversified Growth Index ETF (VDGR.AX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VGS.AX achieves a 5.31% return, which is significantly higher than VDGR.AX's 3.70% return.

VGS.AX

• 1D: -0.01%
• 1M: 1.72%
• 6M: 4.14%
• YTD: 5.31%
• 1Y: 13.66%
• 3Y*: 17.60%
• 5Y*: 12.49%
• 10Y*: 13.63%

VDGR.AX

• 1D: 0.06%
• 1M: -0.13%
• 6M: 3.29%
• YTD: 3.70%
• 1Y: 9.56%
• 3Y*: 10.85%
• 5Y*: 6.32%
• 10Y*: —

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

VGS.AX vs. VDGR.AX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VGS.AX Vanguard MSCI Index International Shares ETF	5.31%	12.89%	29.23%	22.54%	-12.72%	29.67%	5.76%	29.16%	-0.01%	0.59%
VDGR.AX Vanguard Diversified Growth Index ETF	3.70%	11.12%	12.97%	12.54%	-10.56%	12.28%	7.09%	19.35%	-1.25%	1.14%

Correlation

The correlation between VGS.AX and VDGR.AX is 0.78, 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	0.78
Correlation (3Y) Calculated over the trailing 3-year period	0.76
Correlation (5Y) Calculated over the trailing 5-year period	0.80
Correlation (All Time) Calculated using the full available price history since Nov 20, 2017	0.80

The correlation between VGS.AX and VDGR.AX has been stable across timeframes, ranging from 0.76 to 0.80 - a consistent structural relationship.

Return for Risk

VGS.AX vs. VDGR.AX — Risk / Return Rank

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

VGS.AX

VGS.AX Risk / Return Rank: 42
VGS.AX Sharpe Ratio Rank: 49
VGS.AX Sortino Ratio Rank: 47
VGS.AX Omega Ratio Rank: 52
VGS.AX Calmar Ratio Rank: 30
VGS.AX Martin Ratio Rank: 32

VDGR.AX

VDGR.AX Risk / Return Rank: 41
VDGR.AX Sharpe Ratio Rank: 41
VDGR.AX Sortino Ratio Rank: 41
VDGR.AX Omega Ratio Rank: 43
VDGR.AX Calmar Ratio Rank: 38
VDGR.AX Martin Ratio Rank: 44

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.

VGS.AX vs. VDGR.AX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard MSCI Index International Shares ETF (VGS.AX) and Vanguard Diversified Growth Index ETF (VDGR.AX). 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.

	VGS.AX	VDGR.AX	Difference
Sharpe ratio: Return per unit of total volatility	1.41	1.23	+0.18
Sortino ratio: Return per unit of downside risk	1.98	1.80	+0.18
Omega ratio: Gain probability vs. loss probability	1.27	1.24	+0.03
Calmar ratio: Return relative to maximum drawdown	1.28	1.63	-0.35
Martin ratio: Return relative to average drawdown	3.83	5.87	-2.04

VGS.AX vs. VDGR.AX - Sharpe Ratio Comparison

The current VGS.AX Sharpe Ratio is 1.41, which is comparable to the VDGR.AX Sharpe Ratio of 1.23. The chart below compares the historical Sharpe Ratios of VGS.AX and VDGR.AX, 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

VGS.AX vs. VDGR.AX - Drawdown Comparison

The maximum VGS.AX drawdown since its inception was -23.39%, roughly equal to the maximum VDGR.AX drawdown of -23.90%. Use the drawdown chart below to compare losses from any high point for VGS.AX and VDGR.AX.

Drawdown Indicators

	VGS.AX	VDGR.AX	Difference
Max Drawdown Largest peak-to-trough decline	-23.39%	-23.90%	+0.51%
Max Drawdown (1Y) Largest decline over 1 year	-10.72%	-5.99%	-4.73%
Max Drawdown (3Y) Largest decline over 3 years	-13.82%	-10.00%	-3.82%
Max Drawdown (5Y) Largest decline over 5 years	-20.53%	-15.79%	-4.74%
Max Drawdown (10Y) Largest decline over 10 years	-23.39%	—	—
Current Drawdown Current decline from peak	-0.36%	-0.48%	+0.12%
Average Drawdown Average peak-to-trough decline	-4.18%	-3.35%	-0.83%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.65%	1.69%	+1.96%

Volatility

VGS.AX vs. VDGR.AX - Volatility Comparison

Vanguard MSCI Index International Shares ETF (VGS.AX) has a higher volatility of 2.21% compared to Vanguard Diversified Growth Index ETF (VDGR.AX) at 1.33%. This indicates that VGS.AX's price experiences larger fluctuations and is considered to be riskier than VDGR.AX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VGS.AX	VDGR.AX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.21%	1.33%	+0.88%
Volatility (6M) Calculated over the trailing 6-month period	7.83%	6.65%	+1.18%
Volatility (1Y) Calculated over the trailing 1-year period	9.77%	7.96%	+1.81%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.41%	8.97%	+3.44%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	12.92%	9.61%	+3.31%

VGS.AX vs. VDGR.AX - Expense Ratio Comparison

VGS.AX has a 0.18% expense ratio, which is lower than VDGR.AX's 0.27% 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

VGS.AX vs. VDGR.AX - Dividend Comparison

VGS.AX's dividend yield for the trailing twelve months is around 0.97%, less than VDGR.AX's 3.67% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VDGR.AX Vanguard Diversified Growth Index ETF	3.67%	3.04%	1.60%	2.04%	3.42%	8.07%	5.20%	2.91%	1.56%	0.00%	0.00%	0.00%
VGS.AX Vanguard MSCI Index International Shares ETF	0.97%	2.49%	1.76%	1.82%	1.42%	1.75%	2.24%	2.42%	2.19%	2.25%	3.29%	2.35%

Frequently Asked Questions

Can I hold both VGS.AX and VDGR.AX in my portfolio?

VGS.AX and VDGR.AX have a correlation of 0.78, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VGS.AX or VDGR.AX?

On fees, VGS.AX is cheaper at 0.18% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VGS.AX or VDGR.AX?

VGS.AX is cheaper with a 0.18% expense ratio, compared with 0.27% for VDGR.AX.

What is the main difference between VGS.AX and VDGR.AX?

VGS.AX is categorized as Global Equities, while VDGR.AX is Diversified Portfolio. VGS.AX tracks Vanguard MSCI Index International Shares Index, while VDGR.AX tracks Growth Composite Index. Their fees differ too: 0.18% for VGS.AX and 0.27% for VDGR.AX.