Vanguard International ETF Face-Off: VXUS vs. VWO

Vanguard’s VXUS (Vanguard Total International Stock ETF) and VWO (Vanguard FTSE Emerging Markets ETF) both provide international diversification, but they tilt toward different regions and risk profiles. VXUS spreads across developed and emerging markets and focuses on non-U.S. stocks, while VWO concentrates on fast-growing developing economies. VXUS has a slightly lower 0.05% expense ratio and a 2.7% trailing 12-month dividend yield (vs. 2.4% for VWO). Sector exposure differs: VXUS is led by financial services (23%), technology (20%), and industrials (15%), while VWO is led by technology (32%) and financials (20%). VWO launched in 2005; VXUS in 2011.