VSS vs. FSTSX

Last updated Jun 4, 2026

VSS (Vanguard FTSE All-World ex-US Small-Cap ETF) and FSTSX (Fidelity Series International Small Cap Fund) are both Foreign Small & Mid Cap Equities funds. Over the past 10 years, VSS returned 8.07%/yr vs 9.90%/yr for FSTSX. Their correlation of 0.88 suggests significant overlap in exposure. VSS charges 0.07%/yr vs 0.03%/yr for FSTSX.

Performance

VSS vs. FSTSX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE All-World ex-US Small-Cap ETF (VSS) and Fidelity Series International Small Cap Fund (FSTSX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VSS achieves a 10.57% return, which is significantly higher than FSTSX's 7.71% return. Over the past 10 years, VSS has underperformed FSTSX with an annualized return of 8.07%, while FSTSX has yielded a comparatively higher 9.90% annualized return.

VSS

• 1D: -1.12%
• 1M: 1.27%
• YTD: 10.57%
• 6M: 13.10%
• 1Y: 27.32%
• 3Y*: 16.67%
• 5Y*: 5.76%
• 10Y*: 8.07%

FSTSX

• 1D: 0.47%
• 1M: 2.77%
• YTD: 7.71%
• 6M: 10.35%
• 1Y: 18.27%
• 3Y*: 15.84%
• 5Y*: 6.40%
• 10Y*: 9.90%

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

VSS vs. FSTSX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VSS Vanguard FTSE All-World ex-US Small-Cap ETF	10.57%	29.61%	2.94%	15.52%	-21.48%	13.05%	11.81%	21.36%	-18.48%	30.61%
FSTSX Fidelity Series International Small Cap Fund	7.71%	27.49%	4.97%	18.36%	-26.25%	18.29%	19.61%	28.24%	-13.19%	34.44%

Correlation

The correlation between VSS and FSTSX is 0.86, 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	0.86
Correlation (3Y) Calculated over the trailing 3-year period	0.86
Correlation (5Y) Calculated over the trailing 5-year period	0.88
Correlation (10Y) Calculated over the trailing 10-year period	0.87
Correlation (All Time) Calculated using the full available price history since Dec 7, 2009	0.88

The correlation between VSS and FSTSX has been stable across timeframes, ranging from 0.86 to 0.88 - a consistent structural relationship.

Return for Risk

VSS vs. FSTSX — Risk / Return Rank

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

VSS

VSS Risk / Return Rank: 51
VSS Sharpe Ratio Rank: 53
VSS Sortino Ratio Rank: 51
VSS Omega Ratio Rank: 54
VSS Calmar Ratio Rank: 47
VSS Martin Ratio Rank: 53

FSTSX

FSTSX Risk / Return Rank: 20
FSTSX Sharpe Ratio Rank: 20
FSTSX Sortino Ratio Rank: 20
FSTSX Omega Ratio Rank: 20
FSTSX Calmar Ratio Rank: 19
FSTSX Martin Ratio Rank: 20

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.

VSS vs. FSTSX - 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 Fidelity Series International Small Cap Fund (FSTSX). 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.

	VSS	FSTSX	Difference
Sharpe ratio: Return per unit of total volatility	1.85	1.28	+0.58
Sortino ratio: Return per unit of downside risk	2.54	1.88	+0.66
Omega ratio: Gain probability vs. loss probability	1.34	1.23	+0.11
Calmar ratio: Return relative to maximum drawdown	2.36	1.59	+0.78
Martin ratio: Return relative to average drawdown	9.13	5.37	+3.76
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VSS vs. FSTSX - Sharpe Ratio Comparison

The current VSS Sharpe Ratio is 1.85, which is higher than the FSTSX Sharpe Ratio of 1.28. The chart below compares the historical Sharpe Ratios of VSS and FSTSX, 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

	VSS	FSTSX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.85	1.28	+0.58
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.35	0.39	-0.04
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.47	0.62	-0.15
Sharpe Ratio (All Time) Calculated using the full available price history	0.55	0.62	-0.08

Drawdowns

VSS vs. FSTSX - Drawdown Comparison

The maximum VSS drawdown since its inception was -43.51%, which is greater than FSTSX's maximum drawdown of -38.91%. Use the drawdown chart below to compare losses from any high point for VSS and FSTSX.

Drawdown Indicators

	VSS	FSTSX	Difference
Max Drawdown Largest peak-to-trough decline	-43.51%	-38.91%	-4.60%
Max Drawdown (1Y) Largest decline over 1 year	-11.62%	-11.22%	-0.40%
Max Drawdown (3Y) Largest decline over 3 years	-15.73%	-14.47%	-1.26%
Max Drawdown (5Y) Largest decline over 5 years	-33.93%	-38.91%	+4.98%
Max Drawdown (10Y) Largest decline over 10 years	-43.51%	-38.91%	-4.60%
Current Drawdown Current decline from peak	-2.58%	-1.08%	-1.50%
Average Drawdown Average peak-to-trough decline	-9.64%	-7.89%	-1.75%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.00%	3.30%	-0.30%

Volatility

VSS vs. FSTSX - Volatility Comparison

Vanguard FTSE All-World ex-US Small-Cap ETF (VSS) has a higher volatility of 5.33% compared to Fidelity Series International Small Cap Fund (FSTSX) at 4.43%. This indicates that VSS's price experiences larger fluctuations and is considered to be riskier than FSTSX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VSS	FSTSX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.33%	4.43%	+0.90%
Volatility (6M) Calculated over the trailing 6-month period	12.64%	11.06%	+1.58%
Volatility (1Y) Calculated over the trailing 1-year period	14.81%	13.93%	+0.88%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.46%	16.42%	+0.04%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.27%	15.94%	+1.33%

VSS vs. FSTSX - Expense Ratio Comparison

VSS has a 0.07% expense ratio, which is higher than FSTSX's 0.03% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VSS vs. FSTSX - Dividend Comparison

VSS's dividend yield for the trailing twelve months is around 3.07%, less than FSTSX's 14.15% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FSTSX Fidelity Series International Small Cap Fund	14.15%	15.24%	10.22%	3.34%	6.38%	13.22%	0.81%	4.27%	10.99%	6.30%	4.01%	7.32%
VSS Vanguard FTSE All-World ex-US Small-Cap ETF	3.07%	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

Can I hold both VSS and FSTSX in my portfolio?

VSS and FSTSX have a correlation of 0.86, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VSS or FSTSX?

VSS has higher volatility (5.33%) compared to FSTSX (4.43%). In terms of maximum drawdown, VSS dropped -43.51% vs FSTSX's -38.91%.

Which has better risk-adjusted returns?

VSS currently has the higher Sharpe Ratio (1.85 vs 1.28), 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.