Vanguard Total International Stock ETF (VXUS) has a lower expense ratio of 0.05% compared to iShares MSCI ACWI ex US ETF (ACWX) at 0.32%. VXUS also offers a higher dividend yield of 3.1% versus ACWX’s 2.7%. Both funds target international equities but differ in sector allocations and number of stocks held.

ACWX tracks 1,751 large- and mid-cap companies outside the U.S., heavily weighted in financial services and technology. VXUS holds 8,602 stocks across developed and emerging markets, with a larger allocation to cash and others. Both funds have similar performance histories and beta values of 0.79, indicating lower volatility.

In terms of performance, VXUS has outperformed ACWX over the last five years, with a total return of 48.3% compared to ACWX’s 46.4%. VXUS also boasts a lower expense ratio and higher dividend yield, making it a more attractive option for investors seeking international exposure. Both funds have a similar max drawdown of around -30%.

Investors looking for global diversification should consider VXUS and ACWX for exposure to international equities. VXUS offers lower fees, higher dividend yield, and comparable performance to ACWX, making it a preferred choice for many. Sector allocations, expense ratios, and number of holdings should be key considerations for investors.

Read more at Yahoo Finance: VXUS Delivers International Exposure at a Lower Cost Than ACWX