VSS vs. VUSXX

Last updated Jun 14, 2026

VSS (Vanguard FTSE All-World ex-US Small-Cap ETF) and VUSXX (Vanguard Treasury Money Market Fund) are both funds - VSS is a Foreign Small & Mid Cap Equities fund tracking the FTSE Global Small Cap ex US Index, while VUSXX is a Money Market fund actively managed by Vanguard. VSS is passively managed, while VUSXX is actively managed. Over the past 5 years, VSS returned 5.58%/yr vs 1.56%/yr for VUSXX. At a 0.00 correlation, their price movements are largely independent. Both charge a 0.07% expense ratio.

Performance

VSS vs. VUSXX - 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 Vanguard Treasury Money Market Fund (VUSXX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VSS achieves a 10.04% return, which is significantly higher than VUSXX's 1.51% return.

VSS

• 1D: 0.50%
• 1M: -2.16%
• YTD: 10.04%
• 6M: 12.05%
• 1Y: 24.95%
• 3Y*: 15.73%
• 5Y*: 5.58%
• 10Y*: 8.49%

VUSXX

• 1D: 0.00%
• 1M: 0.31%
• YTD: 1.51%
• 6M: 1.84%
• 1Y: 3.98%
• 3Y*: 2.61%
• 5Y*: 1.56%
• 10Y*: —

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

VSS vs. VUSXX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
VSS Vanguard FTSE All-World ex-US Small-Cap ETF	10.04%	29.61%	2.94%	15.52%	-21.48%	1.37%
VUSXX Vanguard Treasury Money Market Fund	1.51%	4.25%	1.65%	0.43%	0.00%	0.00%

Correlation

The correlation between VSS and VUSXX is 0.02, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.02
Correlation (3Y) Calculated over the trailing 3-year period	-0.01
Correlation (5Y) Calculated over the trailing 5-year period	0.00
Correlation (All Time) Calculated using the full available price history since May 25, 2021	0.00

Return for Risk

VSS vs. VUSXX — Risk / Return Rank

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

VSS

VSS Risk / Return Rank: 49
VSS Sharpe Ratio Rank: 49
VSS Sortino Ratio Rank: 48
VSS Omega Ratio Rank: 51
VSS Calmar Ratio Rank: 46
VSS Martin Ratio Rank: 51

VUSXX

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

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. VUSXX - 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 Vanguard Treasury Money Market Fund (VUSXX). 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	VUSXX	Difference
Sharpe ratio: Return per unit of total volatility	1.51	3.68	-2.17
Sortino ratio: Return per unit of downside risk	2.10	—	—
Omega ratio: Gain probability vs. loss probability	1.28	—	—
Calmar ratio: Return relative to maximum drawdown	2.03	—	—
Martin ratio: Return relative to average drawdown	7.61	—	—

VSS vs. VUSXX - Sharpe Ratio Comparison

The current VSS Sharpe Ratio is 1.51, which is lower than the VUSXX Sharpe Ratio of 3.68. The chart below compares the historical Sharpe Ratios of VSS and VUSXX, 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

VSS vs. VUSXX - Drawdown Comparison

The maximum VSS drawdown since its inception was -43.51%, which is greater than VUSXX's maximum drawdown of 0.00%. Use the drawdown chart below to compare losses from any high point for VSS and VUSXX.

Drawdown Indicators

	VSS	VUSXX	Difference
Max Drawdown Largest peak-to-trough decline	-43.51%	0.00%	-43.51%
Max Drawdown (1Y) Largest decline over 1 year	-11.62%	0.00%	-11.62%
Max Drawdown (3Y) Largest decline over 3 years	-15.73%	0.00%	-15.73%
Max Drawdown (5Y) Largest decline over 5 years	-33.93%	0.00%	-33.93%
Max Drawdown (10Y) Largest decline over 10 years	-43.51%	—	—
Current Drawdown Current decline from peak	-3.05%	0.00%	-3.05%
Average Drawdown Average peak-to-trough decline	-9.63%	0.00%	-9.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.09%	0.00%	+3.09%

Volatility

VSS vs. VUSXX - Volatility Comparison

Vanguard FTSE All-World ex-US Small-Cap ETF (VSS) has a higher volatility of 6.52% compared to Vanguard Treasury Money Market Fund (VUSXX) at 0.31%. This indicates that VSS's price experiences larger fluctuations and is considered to be riskier than VUSXX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VSS	VUSXX	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.52%	0.31%	+6.21%
Volatility (6M) Calculated over the trailing 6-month period	13.55%	0.79%	+12.76%
Volatility (1Y) Calculated over the trailing 1-year period	15.60%	1.12%	+14.48%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.59%	0.75%	+15.84%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.30%	0.74%	+16.56%

VSS vs. VUSXX - Expense Ratio Comparison

Both VSS and VUSXX have an expense ratio of 0.07%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VSS vs. VUSXX - Dividend Comparison

VSS's dividend yield for the trailing twelve months is around 3.08%, less than VUSXX's 3.89% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VSS Vanguard FTSE All-World ex-US Small-Cap ETF	3.08%	3.39%	3.44%	3.14%	2.30%	2.74%	1.90%	3.25%	2.80%	2.83%	2.93%	2.66%
VUSXX Vanguard Treasury Money Market Fund	3.89%	4.15%	1.63%	0.43%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VSS and VUSXX in my portfolio?

VSS and VUSXX have a correlation of 0.02, 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 VUSXX?

VSS has higher volatility (6.52%) compared to VUSXX (0.31%). In terms of maximum drawdown, VSS dropped -43.51% vs VUSXX's 0.00%.

Which has better risk-adjusted returns?

VUSXX currently has the higher Sharpe Ratio (3.68 vs 1.51), 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.