VSS vs. DGS
VSS (Vanguard FTSE All-World ex-US Small-Cap ETF) and DGS (WisdomTree Emerging Markets SmallCap Dividend Fund) are both exchange-traded funds - VSS is a Foreign Small & Mid Cap Equities fund tracking the FTSE Global Small Cap ex US Index, while DGS is a Emerging Markets Diversified fund tracking the WisdomTree Emerging Markets SmallCap Dividend Index. Both are passively managed. Over the past 10 years, VSS returned 8.46%/yr vs 9.87%/yr for DGS. Their correlation of 0.87 suggests significant overlap in exposure. VSS charges 0.07%/yr vs 0.58%/yr for DGS.
Performance
VSS vs. DGS - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, VSS achieves a 7.79% return, which is significantly lower than DGS's 12.85% return. Over the past 10 years, VSS has underperformed DGS with an annualized return of 8.46%, while DGS has yielded a comparatively higher 9.87% annualized return.
VSS
- 1D
- -2.68%
- 1M
- -3.04%
- YTD
- 7.79%
- 6M
- 7.51%
- 1Y
- 22.53%
- 3Y*
- 16.03%
- 5Y*
- 5.52%
- 10Y*
- 8.46%
DGS
- 1D
- -2.97%
- 1M
- -0.76%
- YTD
- 12.85%
- 6M
- 13.23%
- 1Y
- 23.97%
- 3Y*
- 15.58%
- 5Y*
- 7.67%
- 10Y*
- 9.87%
VSS vs. DGS - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
VSS Vanguard FTSE All-World ex-US Small-Cap ETF | 7.79% | 29.61% | 2.94% | 15.52% | -21.48% | 13.05% | 11.81% | 21.36% | -18.48% | 30.61% |
DGS WisdomTree Emerging Markets SmallCap Dividend Fund | 12.85% | 21.18% | 1.13% | 19.08% | -12.35% | 15.33% | 4.06% | 18.90% | -16.52% | 37.47% |
Correlation
The correlation between VSS and DGS is 0.89, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.89 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.87 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.87 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.86 |
Correlation (All Time) Calculated using the full available price history since Apr 6, 2009 | 0.87 |
The correlation between VSS and DGS has been stable across timeframes, ranging from 0.86 to 0.89 - a consistent structural relationship.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
VSS vs. DGS — Risk / Return Rank
VSS
DGS
VSS vs. DGS - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE All-World ex-US Small-Cap ETF (VSS) and WisdomTree Emerging Markets SmallCap Dividend Fund (DGS). 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.
| VSS | DGS | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.01 | ||
| Sortino ratioReturn per unit of downside risk | -0.01 | ||
| Omega ratioGain probability vs. loss probability | 1.27 | 1.27 | 0.00 |
| Calmar ratioReturn relative to maximum drawdown | 1.95 | 2.39 | -0.44 |
| Martin ratioReturn relative to average drawdown | 7.24 | 7.88 | -0.64 |
Loading charts...
Drawdowns
VSS vs. DGS - Drawdown Comparison
The maximum VSS drawdown since its inception was -43.51%, smaller than the maximum DGS drawdown of -61.83%. Use the drawdown chart below to compare losses from any high point for VSS and DGS.
Loading charts...
Drawdown Indicators
| VSS | DGS | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -43.51% | -61.83% | +18.32% |
Max Drawdown (1Y)Largest decline over 1 year | -11.62% | -10.06% | -1.56% |
Max Drawdown (3Y)Largest decline over 3 years | -15.73% | -19.31% | +3.58% |
Max Drawdown (5Y)Largest decline over 5 years | -33.93% | -24.86% | -9.07% |
Max Drawdown (10Y)Largest decline over 10 years | -43.51% | -44.08% | +0.57% |
Current DrawdownCurrent decline from peak | -5.03% | -3.33% | -1.70% |
Average DrawdownAverage peak-to-trough decline | -9.62% | -12.56% | +2.94% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.12% | 3.05% | +0.07% |
Volatility
VSS vs. DGS - Volatility Comparison
The current volatility for Vanguard FTSE All-World ex-US Small-Cap ETF (VSS) is 6.54%, while WisdomTree Emerging Markets SmallCap Dividend Fund (DGS) has a volatility of 7.86%. This indicates that VSS experiences smaller price fluctuations and is considered to be less risky than DGS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
Loading charts...
Volatility by Period
| VSS | DGS | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 6.54% | 7.86% | -1.32% |
Volatility (6M)Calculated over the trailing 6-month period | 13.88% | 14.73% | -0.85% |
Volatility (1Y)Calculated over the trailing 1-year period | 15.81% | 16.88% | -1.07% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 16.63% | 15.19% | +1.44% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 17.17% | 17.33% | -0.16% |
VSS vs. DGS - Expense Ratio Comparison
VSS has a 0.07% expense ratio, which is lower than DGS's 0.58% expense ratio.
Dividends
VSS vs. DGS - Dividend Comparison
VSS's dividend yield for the trailing twelve months is around 3.24%, which matches DGS's 3.26% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
DGS WisdomTree Emerging Markets SmallCap Dividend Fund | 3.26% | 3.45% | 3.36% | 4.55% | 5.34% | 3.98% | 3.69% | 3.95% | 4.24% | 2.81% | 3.42% | 3.28% |
VSS Vanguard FTSE All-World ex-US Small-Cap ETF | 3.24% | 3.39% | 3.44% | 3.14% | 2.30% | 2.74% | 1.90% | 3.25% | 2.80% | 2.83% | 2.93% | 2.66% |
Frequently Asked Questions
VSS and DGS have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
DGS has higher volatility (7.86%) compared to VSS (6.54%). In terms of maximum drawdown, VSS dropped -43.51% vs DGS's -61.83%.
On 10-year performance, DGS leads with 9.87% vs 8.46% for VSS. On fees, VSS is cheaper at 0.07% per year. On volatility, VSS has been the lower-risk option at 6.54%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, DGS has performed better with a 9.87% return vs 8.46%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
VSS is cheaper with a 0.07% expense ratio, compared with 0.58% for DGS.
DGS has the higher dividend yield at 3.26%, compared with 3.24% for VSS.
VSS is categorized as Foreign Small & Mid Cap Equities, while DGS is Emerging Markets Diversified. VSS tracks FTSE Global Small Cap ex US Index, while DGS tracks WisdomTree Emerging Markets SmallCap Dividend Index. They also come from different issuers: Vanguard and WisdomTree. Their fees differ too: 0.07% for VSS and 0.58% for DGS.
VSS currently has the higher Sharpe Ratio (1.43 vs 1.43), 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.
Find the right allocation for VSS and DGS
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer