XEF.TO vs. VEF.TO

Last updated Jun 4, 2026

XEF.TO (iShares Core MSCI EAFE IMI Index ETF) and VEF.TO (Vanguard FTSE Developed All Cap Ex US) are both exchange-traded funds - XEF.TO is a Foreign Large Cap Equities fund tracking the MSCI EAFE Investable Market Index (CAD), while VEF.TO is a Global Equities fund tracking the Spliced FTSE Developed ex US Index Hedged in CAD. Both are passively managed. Over the past 10 years, XEF.TO returned 9.77%/yr vs 11.33%/yr for VEF.TO. A 0.77 correlation means they provide meaningful diversification when combined. XEF.TO charges 0.23%/yr vs 0.22%/yr for VEF.TO.

Performance

XEF.TO vs. VEF.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in iShares Core MSCI EAFE IMI Index ETF (XEF.TO) and Vanguard FTSE Developed All Cap Ex US (VEF.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XEF.TO achieves a 9.95% return, which is significantly lower than VEF.TO's 16.05% return. Over the past 10 years, XEF.TO has underperformed VEF.TO with an annualized return of 9.77%, while VEF.TO has yielded a comparatively higher 11.33% annualized return.

XEF.TO

• 1D: -0.41%
• 1M: 5.38%
• YTD: 9.95%
• 6M: 10.72%
• 1Y: 23.12%
• 3Y*: 17.83%
• 5Y*: 10.89%
• 10Y*: 9.77%

VEF.TO

• 1D: -0.44%
• 1M: 7.02%
• YTD: 16.05%
• 6M: 18.30%
• 1Y: 33.85%
• 3Y*: 19.04%
• 5Y*: 12.71%
• 10Y*: 11.33%

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

XEF.TO vs. VEF.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
XEF.TO iShares Core MSCI EAFE IMI Index ETF	9.95%	25.69%	12.04%	15.21%	-9.53%	10.36%	6.13%	15.86%	-6.65%	18.19%
VEF.TO Vanguard FTSE Developed All Cap Ex US	16.05%	24.61%	10.91%	18.02%	-7.54%	18.04%	2.10%	22.61%	-11.96%	16.90%

Correlation

The correlation between XEF.TO and VEF.TO is 0.90, 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	0.90
Correlation (3Y) Calculated over the trailing 3-year period	0.87
Correlation (5Y) Calculated over the trailing 5-year period	0.86
Correlation (10Y) Calculated over the trailing 10-year period	0.84
Correlation (All Time) Calculated using the full available price history since Apr 16, 2013	0.77

The correlation between XEF.TO and VEF.TO shifts across timeframes, from 0.77 (all time) to 0.90 (1 year), reflecting how their relationship changes across market environments.

XEF.TO vs. VEF.TO - Sectors Allocation Comparison

Sectors	XEF.TO	VEF.TO
Financial Services	22.9%	23.3%
Industrials	20.5%	19.2%
Technology	10.2%	13.8%
Healthcare	9.8%	8.2%
Consumer Cyclical	8.2%	7.5%
Basic Materials	6.6%	7.5%
Consumer Defensive	6.4%	5.6%
Communication Services	4.4%	3.4%
Energy	4.0%	5.4%
Utilities	3.8%	3.3%
Real Estate	3.1%	2.7%

Return for Risk

XEF.TO vs. VEF.TO — Risk / Return Rank

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

XEF.TO

XEF.TO Risk / Return Rank: 47
XEF.TO Sharpe Ratio Rank: 48
XEF.TO Sortino Ratio Rank: 48
XEF.TO Omega Ratio Rank: 48
XEF.TO Calmar Ratio Rank: 41
XEF.TO Martin Ratio Rank: 48

VEF.TO

VEF.TO Risk / Return Rank: 76
VEF.TO Sharpe Ratio Rank: 79
VEF.TO Sortino Ratio Rank: 78
VEF.TO Omega Ratio Rank: 81
VEF.TO Calmar Ratio Rank: 68
VEF.TO Martin Ratio Rank: 76

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.

XEF.TO vs. VEF.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core MSCI EAFE IMI Index ETF (XEF.TO) and Vanguard FTSE Developed All Cap Ex US (VEF.TO). 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.

	XEF.TO	VEF.TO	Difference
Sharpe ratio: Return per unit of total volatility	1.68	2.59	-0.92
Sortino ratio: Return per unit of downside risk	2.41	3.54	-1.13
Omega ratio: Gain probability vs. loss probability	1.31	1.50	-0.18
Calmar ratio: Return relative to maximum drawdown	2.06	3.44	-1.38
Martin ratio: Return relative to average drawdown	8.22	14.77	-6.55
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XEF.TO vs. VEF.TO - Sharpe Ratio Comparison

The current XEF.TO Sharpe Ratio is 1.68, which is lower than the VEF.TO Sharpe Ratio of 2.59. The chart below compares the historical Sharpe Ratios of XEF.TO and VEF.TO, 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

	XEF.TO	VEF.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.68	2.59	-0.92
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.81	0.95	-0.14
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.66	0.73	-0.07
Sharpe Ratio (All Time) Calculated using the full available price history	0.71	0.71	0.00

Drawdowns

XEF.TO vs. VEF.TO - Drawdown Comparison

The maximum XEF.TO drawdown since its inception was -28.51%, smaller than the maximum VEF.TO drawdown of -33.03%. Use the drawdown chart below to compare losses from any high point for XEF.TO and VEF.TO.

Drawdown Indicators

	XEF.TO	VEF.TO	Difference
Max Drawdown Largest peak-to-trough decline	-28.51%	-33.03%	+4.52%
Max Drawdown (1Y) Largest decline over 1 year	-11.27%	-9.89%	-1.38%
Max Drawdown (3Y) Largest decline over 3 years	-14.32%	-13.78%	-0.54%
Max Drawdown (5Y) Largest decline over 5 years	-24.58%	-16.35%	-8.23%
Max Drawdown (10Y) Largest decline over 10 years	-28.51%	-33.03%	+4.52%
Current Drawdown Current decline from peak	-1.09%	-0.44%	-0.65%
Average Drawdown Average peak-to-trough decline	-4.62%	-4.27%	-0.35%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.82%	2.30%	+0.52%

Volatility

XEF.TO vs. VEF.TO - Volatility Comparison

iShares Core MSCI EAFE IMI Index ETF (XEF.TO) and Vanguard FTSE Developed All Cap Ex US (VEF.TO) have volatilities of 4.77% and 4.94%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XEF.TO	VEF.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.77%	4.94%	-0.17%
Volatility (6M) Calculated over the trailing 6-month period	11.56%	11.06%	+0.50%
Volatility (1Y) Calculated over the trailing 1-year period	13.85%	13.11%	+0.74%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.58%	13.51%	+0.07%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.85%	15.50%	-0.65%

XEF.TO vs. VEF.TO - Expense Ratio Comparison

XEF.TO has a 0.23% expense ratio, which is higher than VEF.TO's 0.22% 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

XEF.TO vs. VEF.TO - Dividend Comparison

XEF.TO's dividend yield for the trailing twelve months is around 2.21%, more than VEF.TO's 2.05% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VEF.TO Vanguard FTSE Developed All Cap Ex US	2.05%	2.61%	2.55%	2.50%	2.21%	2.55%	1.73%	2.41%	2.64%	2.21%	2.31%	2.39%
XEF.TO iShares Core MSCI EAFE IMI Index ETF	2.21%	2.43%	2.76%	2.75%	2.93%	2.42%	1.93%	2.72%	2.76%	2.10%	2.42%	2.42%

Frequently Asked Questions

Can I hold both XEF.TO and VEF.TO in my portfolio?

XEF.TO and VEF.TO have a correlation of 0.90, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, XEF.TO or VEF.TO?

On fees, VEF.TO is cheaper at 0.22% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, XEF.TO or VEF.TO?

VEF.TO is cheaper with a 0.22% expense ratio, compared with 0.23% for XEF.TO.

What is the main difference between XEF.TO and VEF.TO?

XEF.TO is categorized as Foreign Large Cap Equities, while VEF.TO is Global Equities. XEF.TO tracks MSCI EAFE Investable Market Index (CAD), while VEF.TO tracks Spliced FTSE Developed ex US Index Hedged in CAD. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.23% for XEF.TO and 0.22% for VEF.TO.