VWO vs. ITOT

Last updated Jun 9, 2026

VWO (Vanguard FTSE Emerging Markets ETF) and ITOT (iShares Core S&P Total U.S. Stock Market ETF) are both exchange-traded funds - VWO is a Emerging Markets Equities fund tracking the FTSE Emerging Index, while ITOT is a Large Cap Blend Equities fund tracking the S&P Total Market Index. Both are passively managed. Over the past 10 years, VWO returned 8.60%/yr vs 14.81%/yr for ITOT. A 0.74 correlation means they provide meaningful diversification when combined. VWO charges 0.08%/yr vs 0.03%/yr for ITOT.

Performance

VWO vs. ITOT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE Emerging Markets ETF (VWO) and iShares Core S&P Total U.S. Stock Market ETF (ITOT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VWO achieves a 8.50% return, which is significantly lower than ITOT's 9.09% return. Over the past 10 years, VWO has underperformed ITOT with an annualized return of 8.60%, while ITOT has yielded a comparatively higher 14.81% annualized return.

VWO

• 1D: 0.52%
• 1M: -3.65%
• YTD: 8.50%
• 6M: 9.73%
• 1Y: 24.29%
• 3Y*: 16.22%
• 5Y*: 4.65%
• 10Y*: 8.60%

ITOT

• 1D: 0.31%
• 1M: 0.42%
• YTD: 9.09%
• 6M: 8.99%
• 1Y: 24.90%
• 3Y*: 21.07%
• 5Y*: 12.25%
• 10Y*: 14.81%

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

VWO vs. ITOT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VWO Vanguard FTSE Emerging Markets ETF	8.50%	25.60%	10.59%	9.25%	-17.98%	1.26%	15.17%	20.75%	-14.76%	31.49%
ITOT iShares Core S&P Total U.S. Stock Market ETF	9.09%	17.00%	23.80%	26.12%	-19.47%	25.68%	20.71%	30.67%	-5.33%	21.37%

Correlation

The correlation between VWO and ITOT is 0.74, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.74
Correlation (3Y) Calculated over the trailing 3-year period	0.65
Correlation (5Y) Calculated over the trailing 5-year period	0.64
Correlation (10Y) Calculated over the trailing 10-year period	0.67
Correlation (All Time) Calculated using the full available price history since Mar 10, 2005	0.74

The correlation between VWO and ITOT has been stable across timeframes, ranging from 0.64 to 0.74 - a consistent structural relationship.

VWO vs. ITOT - Sectors Allocation Comparison

Sectors	VWO	ITOT
Technology	29.6%	33.8%
Financial Services	19.5%	12.1%
Consumer Cyclical	10.7%	10.1%
Industrials	8.0%	9.5%
Basic Materials	8.0%	2.1%
Communication Services	7.1%	10.3%
Energy	4.6%	3.7%
Healthcare	3.9%	9.0%
Consumer Defensive	3.7%	4.7%
Utilities	2.9%	2.3%
Real Estate	2.2%	2.4%

Return for Risk

VWO vs. ITOT — Risk / Return Rank

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

VWO

VWO Risk / Return Rank: 49
VWO Sharpe Ratio Rank: 47
VWO Sortino Ratio Rank: 47
VWO Omega Ratio Rank: 50
VWO Calmar Ratio Rank: 49
VWO Martin Ratio Rank: 51

ITOT

ITOT Risk / Return Rank: 67
ITOT Sharpe Ratio Rank: 68
ITOT Sortino Ratio Rank: 66
ITOT Omega Ratio Rank: 67
ITOT Calmar Ratio Rank: 62
ITOT Martin Ratio Rank: 75

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.

VWO vs. ITOT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Emerging Markets ETF (VWO) and iShares Core S&P Total U.S. Stock Market ETF (ITOT). 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.

	VWO	ITOT	Difference
Sharpe ratio: Return per unit of total volatility	1.49	2.01	-0.51
Sortino ratio: Return per unit of downside risk	2.08	2.71	-0.63
Omega ratio: Gain probability vs. loss probability	1.28	1.36	-0.08
Calmar ratio: Return relative to maximum drawdown	2.18	2.81	-0.63
Martin ratio: Return relative to average drawdown	7.79	12.79	-5.00
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VWO vs. ITOT - Sharpe Ratio Comparison

The current VWO Sharpe Ratio is 1.49, which is comparable to the ITOT Sharpe Ratio of 2.01. The chart below compares the historical Sharpe Ratios of VWO and ITOT, 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

	VWO	ITOT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.49	2.01	-0.51
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.27	0.71	-0.44
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.45	0.81	-0.36
Sharpe Ratio (All Time) Calculated using the full available price history	0.26	0.57	-0.31

Drawdowns

VWO vs. ITOT - Drawdown Comparison

The maximum VWO drawdown since its inception was -67.68%, which is greater than ITOT's maximum drawdown of -55.20%. Use the drawdown chart below to compare losses from any high point for VWO and ITOT.

Drawdown Indicators

	VWO	ITOT	Difference
Max Drawdown Largest peak-to-trough decline	-67.68%	-55.20%	-12.48%
Max Drawdown (1Y) Largest decline over 1 year	-11.17%	-8.90%	-2.27%
Max Drawdown (3Y) Largest decline over 3 years	-17.37%	-19.44%	+2.07%
Max Drawdown (5Y) Largest decline over 5 years	-32.60%	-25.36%	-7.24%
Max Drawdown (10Y) Largest decline over 10 years	-36.39%	-35.00%	-1.39%
Current Drawdown Current decline from peak	-4.67%	-2.65%	-2.02%
Average Drawdown Average peak-to-trough decline	-15.81%	-6.97%	-8.84%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.12%	1.95%	+1.17%

Volatility

VWO vs. ITOT - Volatility Comparison

Vanguard FTSE Emerging Markets ETF (VWO) has a higher volatility of 6.29% compared to iShares Core S&P Total U.S. Stock Market ETF (ITOT) at 3.91%. This indicates that VWO's price experiences larger fluctuations and is considered to be riskier than ITOT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VWO	ITOT	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.29%	3.91%	+2.38%
Volatility (6M) Calculated over the trailing 6-month period	13.80%	9.56%	+4.24%
Volatility (1Y) Calculated over the trailing 1-year period	16.37%	12.49%	+3.88%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.45%	17.40%	+0.05%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.23%	18.29%	+0.94%

VWO vs. ITOT - Expense Ratio Comparison

VWO has a 0.08% expense ratio, which is higher than ITOT'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

VWO vs. ITOT - Dividend Comparison

VWO's dividend yield for the trailing twelve months is around 2.49%, more than ITOT's 1.00% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ITOT iShares Core S&P Total U.S. Stock Market ETF	1.00%	1.11%	1.23%	1.47%	1.66%	1.18%	1.41%	1.88%	2.14%	1.69%	1.83%	2.01%
VWO Vanguard FTSE Emerging Markets ETF	2.49%	2.79%	3.20%	3.52%	4.11%	2.63%	1.91%	3.23%	2.88%	2.30%	2.52%	3.26%

Frequently Asked Questions

Can I hold both VWO and ITOT in my portfolio?

VWO and ITOT have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VWO or ITOT?

VWO has higher volatility (6.29%) compared to ITOT (3.91%). In terms of maximum drawdown, VWO dropped -67.68% vs ITOT's -55.20%.

Which ETF is better, VWO or ITOT?

On 10-year performance, ITOT leads with 14.81% vs 8.60% for VWO. On fees, ITOT is cheaper at 0.03% per year. On volatility, ITOT has been the lower-risk option at 3.91%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VWO or ITOT?

Over the 10-year period, ITOT has performed better with a 14.81% return vs 8.60%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VWO or ITOT?

ITOT is cheaper with a 0.03% expense ratio, compared with 0.08% for VWO.

Which ETF pays a higher dividend yield, VWO or ITOT?

VWO has the higher dividend yield at 2.49%, compared with 1.00% for ITOT.

What is the main difference between VWO and ITOT?

VWO is categorized as Emerging Markets Equities, while ITOT is Large Cap Blend Equities. VWO tracks FTSE Emerging Index, while ITOT tracks S&P Total Market Index. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.08% for VWO and 0.03% for ITOT.

Which has better risk-adjusted returns?

ITOT currently has the higher Sharpe Ratio (2.01 vs 1.49), 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.