VPKIX vs. MCSMX

Last updated Jul 14, 2026

VPKIX (Vanguard Pacific Stock Index Fund Institutional Shares) and MCSMX (Matthews China Small Companies Fund) are both mutual funds - VPKIX is a Asia Pacific Equities fund managed by Vanguard, while MCSMX is a China Equities fund managed by Matthews. Over the past 10 years, VPKIX returned 10.14%/yr vs 13.87%/yr for MCSMX. A 0.54 correlation means they provide meaningful diversification when combined. VPKIX charges 0.08%/yr vs 1.41%/yr for MCSMX.

Performance

VPKIX vs. MCSMX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Pacific Stock Index Fund Institutional Shares (VPKIX) and Matthews China Small Companies Fund (MCSMX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VPKIX achieves a 25.60% return, which is significantly lower than MCSMX's 43.09% return. Over the past 10 years, VPKIX has underperformed MCSMX with an annualized return of 10.14%, while MCSMX has yielded a comparatively higher 13.87% annualized return.

VPKIX

• 1D: 0.61%
• 1M: -0.65%
• 6M: 19.34%
• YTD: 25.60%
• 1Y: 45.05%
• 3Y*: 21.53%
• 5Y*: 10.00%
• 10Y*: 10.14%

MCSMX

• 1D: -2.62%
• 1M: 4.67%
• 6M: 34.51%
• YTD: 43.09%
• 1Y: 62.06%
• 3Y*: 19.86%
• 5Y*: 0.63%
• 10Y*: 13.87%

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

VPKIX vs. MCSMX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VPKIX Vanguard Pacific Stock Index Fund Institutional Shares	25.60%	33.12%	1.29%	15.58%	-15.20%	1.47%	16.54%	17.61%	-13.87%	28.55%
MCSMX Matthews China Small Companies Fund	43.09%	28.85%	2.82%	-17.50%	-31.25%	6.71%	82.73%	35.41%	-17.65%	53.71%

Correlation

The correlation between VPKIX and MCSMX is 0.44, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.44
Correlation (3Y) Calculated over the trailing 3-year period	0.47
Correlation (5Y) Calculated over the trailing 5-year period	0.51
Correlation (10Y) Calculated over the trailing 10-year period	0.51
Correlation (All Time) Calculated using the full available price history since Jun 2, 2011	0.54

The correlation between VPKIX and MCSMX has been stable across timeframes, ranging from 0.44 to 0.54 - a consistent structural relationship.

Return for Risk

VPKIX vs. MCSMX — Risk / Return Rank

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

VPKIX

VPKIX Risk / Return Rank: 78
VPKIX Sharpe Ratio Rank: 78
VPKIX Sortino Ratio Rank: 67
VPKIX Omega Ratio Rank: 77
VPKIX Calmar Ratio Rank: 86
VPKIX Martin Ratio Rank: 83

MCSMX

MCSMX Risk / Return Rank: 87
MCSMX Sharpe Ratio Rank: 88
MCSMX Sortino Ratio Rank: 80
MCSMX Omega Ratio Rank: 81
MCSMX Calmar Ratio Rank: 96
MCSMX Martin Ratio Rank: 91

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.

VPKIX vs. MCSMX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Pacific Stock Index Fund Institutional Shares (VPKIX) and Matthews China Small Companies Fund (MCSMX). 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.

	VPKIX	MCSMX	Difference
Sharpe ratio: Return per unit of total volatility	2.02	2.35	-0.33
Sortino ratio: Return per unit of downside risk	2.57	2.97	-0.40
Omega ratio: Gain probability vs. loss probability	1.38	1.41	-0.04
Calmar ratio: Return relative to maximum drawdown	3.31	5.15	-1.84
Martin ratio: Return relative to average drawdown	11.72	13.84	-2.12

VPKIX vs. MCSMX - Sharpe Ratio Comparison

The current VPKIX Sharpe Ratio is 2.02, which is comparable to the MCSMX Sharpe Ratio of 2.35. The chart below compares the historical Sharpe Ratios of VPKIX and MCSMX, 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

VPKIX vs. MCSMX - Drawdown Comparison

The maximum VPKIX drawdown since its inception was -55.26%, roughly equal to the maximum MCSMX drawdown of -55.77%. Use the drawdown chart below to compare losses from any high point for VPKIX and MCSMX.

Drawdown Indicators

	VPKIX	MCSMX	Difference
Max Drawdown Largest peak-to-trough decline	-55.26%	-55.77%	+0.51%
Max Drawdown (1Y) Largest decline over 1 year	-13.40%	-12.32%	-1.08%
Max Drawdown (3Y) Largest decline over 3 years	-16.38%	-26.50%	+10.12%
Max Drawdown (5Y) Largest decline over 5 years	-31.12%	-53.76%	+22.64%
Max Drawdown (10Y) Largest decline over 10 years	-33.62%	-55.77%	+22.15%
Current Drawdown Current decline from peak	-5.36%	-10.69%	+5.33%
Average Drawdown Average peak-to-trough decline	-15.39%	-20.10%	+4.71%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.78%	4.52%	-0.74%

Volatility

VPKIX vs. MCSMX - Volatility Comparison

The current volatility for Vanguard Pacific Stock Index Fund Institutional Shares (VPKIX) is 11.16%, while Matthews China Small Companies Fund (MCSMX) has a volatility of 15.08%. This indicates that VPKIX experiences smaller price fluctuations and is considered to be less risky than MCSMX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VPKIX	MCSMX	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.16%	15.08%	-3.92%
Volatility (6M) Calculated over the trailing 6-month period	19.50%	23.77%	-4.27%
Volatility (1Y) Calculated over the trailing 1-year period	21.94%	26.98%	-5.04%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.30%	25.35%	-8.05%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.59%	22.85%	-6.26%

VPKIX vs. MCSMX - Expense Ratio Comparison

VPKIX has a 0.08% expense ratio, which is lower than MCSMX's 1.41% expense ratio.

Dividends

VPKIX vs. MCSMX - Dividend Comparison

VPKIX's dividend yield for the trailing twelve months is around 2.66%, more than MCSMX's 1.56% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MCSMX Matthews China Small Companies Fund	1.56%	2.23%	1.35%	2.36%	1.78%	26.38%	16.98%	1.03%	2.25%	5.66%	4.79%	8.88%
VPKIX Vanguard Pacific Stock Index Fund Institutional Shares	2.66%	4.00%	3.15%	3.11%	2.74%	3.17%	1.81%	2.85%	3.05%	2.60%	2.67%	2.45%

Frequently Asked Questions

Can I hold both VPKIX and MCSMX in my portfolio?

VPKIX and MCSMX have a correlation of 0.44, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VPKIX or MCSMX?

MCSMX has higher volatility (15.08%) compared to VPKIX (11.16%). In terms of maximum drawdown, VPKIX dropped -55.26% vs MCSMX's -55.77%.

Which has better risk-adjusted returns?

MCSMX currently has the higher Sharpe Ratio (2.35 vs 2.02), 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.