VSO.AX vs. SPEM

Last updated Apr 2, 2026

Compare and contrast key facts about Vanguard MSCI Australian Small Companies INDEX ETF (VSO.AX) and SPDR Portfolio Emerging Markets ETF (SPEM).

VSO.AX and SPEM are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. VSO.AX is a passively managed fund by Vanguard that tracks the performance of the MSCI Australian Shares Small Cap Index. It was launched on May 23, 2011. SPEM is a passively managed fund by State Street that tracks the performance of the S&P Emerging Markets BMI. It was launched on Mar 19, 2007. Both VSO.AX and SPEM are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

VSO.AX vs. SPEM - Performance Comparison

The chart below illustrates the hypothetical performance of a A$10,000 investment in Vanguard MSCI Australian Small Companies INDEX ETF (VSO.AX) and SPDR Portfolio Emerging Markets ETF (SPEM). The values are adjusted to include any dividend payments, if applicable.

VSO.AX vs. SPEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VSO.AX Vanguard MSCI Australian Small Companies INDEX ETF	-6.66%	24.14%	8.91%	6.32%	-11.74%	21.77%	14.75%	21.67%	-7.43%	17.67%
SPEM SPDR Portfolio Emerging Markets ETF	-2.53%	16.51%	22.61%	10.59%	-12.47%	7.46%	4.49%	20.25%	-3.96%	24.55%

Different Trading Currencies

VSO.AX is traded in AUD, while SPEM is traded in USD. To make them comparable, the SPEM values have been converted to AUD using the latest available exchange rates.

Returns By Period

In the year-to-date period, VSO.AX achieves a -6.66% return, which is significantly lower than SPEM's -2.53% return. Both investments have delivered pretty close results over the past 10 years, with VSO.AX having a 9.71% annualized return and SPEM not far behind at 9.39%.

VSO.AX

• 1D: 2.54%
• 1M: -7.87%
• YTD: -6.66%
• 6M: -5.40%
• 1Y: 17.76%
• 3Y*: 10.48%
• 5Y*: 6.92%
• 10Y*: 9.71%

SPEM

• 1D: 0.57%
• 1M: -2.57%
• YTD: -2.53%
• 6M: -2.39%
• 1Y: 11.77%
• 3Y*: 13.40%
• 5Y*: 6.48%
• 10Y*: 9.39%

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

VSO.AX vs. SPEM - Expense Ratio Comparison

VSO.AX has a 0.30% expense ratio, which is higher than SPEM's 0.11% expense ratio.

VSO.AX

Vanguard MSCI Australian Small Companies INDEX ETF

SPEM

SPDR Portfolio Emerging Markets ETF

Return for Risk

VSO.AX vs. SPEM — Risk / Return Rank

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

VSO.AX

VSO.AX Risk / Return Rank: 45
VSO.AX Sharpe Ratio Rank: 52
VSO.AX Sortino Ratio Rank: 51
VSO.AX Omega Ratio Rank: 47
VSO.AX Calmar Ratio Rank: 37
VSO.AX Martin Ratio Rank: 38

SPEM

SPEM Risk / Return Rank: 69
SPEM Sharpe Ratio Rank: 70
SPEM Sortino Ratio Rank: 69
SPEM Omega Ratio Rank: 69
SPEM Calmar Ratio Rank: 70
SPEM Martin Ratio Rank: 68

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.

VSO.AX vs. SPEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard MSCI Australian Small Companies INDEX ETF (VSO.AX) and SPDR Portfolio Emerging Markets ETF (SPEM). 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.

	VSO.AX	SPEM	Difference
Sharpe ratio Return per unit of total volatility	1.00	0.89	+0.11
Sortino ratio Return per unit of downside risk	1.43	1.33	+0.10
Omega ratio Gain probability vs. loss probability	1.19	1.18	+0.02
Calmar ratio Return relative to maximum drawdown	1.11	1.06	+0.05
Martin ratio Return relative to average drawdown	4.08	3.59	+0.49
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VSO.AX vs. SPEM - Sharpe Ratio Comparison

The current VSO.AX Sharpe Ratio is 1.00, which is comparable to the SPEM Sharpe Ratio of 0.89. The chart below compares the historical Sharpe Ratios of VSO.AX and SPEM, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	VSO.AX	SPEM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.00	0.89	+0.11
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.43	0.50	-0.07
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.57	0.61	-0.04
Sharpe Ratio (All Time) Calculated using the full available price history	0.39	0.31	+0.07

Correlation

The correlation between VSO.AX and SPEM is 0.12, which is considered to be low. This implies their price changes are not closely related. A low correlation is generally favorable for portfolio diversification, as it helps to reduce overall risk by spreading it across multiple assets with different performance patterns.

Dividends

VSO.AX vs. SPEM - Dividend Comparison

VSO.AX's dividend yield for the trailing twelve months is around 7.35%, more than SPEM's 2.76% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VSO.AX Vanguard MSCI Australian Small Companies INDEX ETF	7.35%	6.86%	2.44%	3.89%	5.39%	3.55%	6.24%	2.96%	2.21%	3.86%	3.30%	2.68%
SPEM SPDR Portfolio Emerging Markets ETF	2.76%	2.77%	2.78%	2.80%	3.38%	3.14%	1.92%	2.94%	2.34%	1.12%	1.51%	2.40%

Drawdowns

VSO.AX vs. SPEM - Drawdown Comparison

The maximum VSO.AX drawdown since its inception was -40.60%, smaller than the maximum SPEM drawdown of -46.68%. Use the drawdown chart below to compare losses from any high point for VSO.AX and SPEM.

Drawdown Indicators

	VSO.AX	SPEM	Difference
Max Drawdown Largest peak-to-trough decline	-40.60%	-64.41%	+23.81%
Max Drawdown (1Y) Largest decline over 1 year	-16.81%	-12.35%	-4.46%
Max Drawdown (5Y) Largest decline over 5 years	-23.53%	-31.94%	+8.41%
Max Drawdown (10Y) Largest decline over 10 years	-40.60%	-36.06%	-4.54%
Current Drawdown Current decline from peak	-11.55%	-8.25%	-3.30%
Average Drawdown Average peak-to-trough decline	-6.35%	-14.87%	+8.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.57%	3.25%	+1.32%

Volatility

VSO.AX vs. SPEM - Volatility Comparison

Vanguard MSCI Australian Small Companies INDEX ETF (VSO.AX) has a higher volatility of 8.37% compared to SPDR Portfolio Emerging Markets ETF (SPEM) at 5.88%. This indicates that VSO.AX's price experiences larger fluctuations and is considered to be riskier than SPEM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VSO.AX	SPEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.37%	5.88%	+2.49%
Volatility (6M) Calculated over the trailing 6-month period	13.64%	9.27%	+4.37%
Volatility (1Y) Calculated over the trailing 1-year period	17.78%	13.35%	+4.43%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.11%	12.99%	+3.12%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.81%	15.38%	+1.43%