Average Daily Volume
3.27M
Fund Overview
The Vanguard FTSE All-World ex-US ETF (VEU) is a passively managed fund that seeks to track the performance of the FTSE All-World ex-US Index. This index includes stocks of companies located in developed and emerging markets outside the United States, providing investors with broad exposure to international equities. The fund holds over 3,600 stocks across more than 45 countries, offering diversification across various sectors and regions. VEU is a cost-effective way to gain exposure to global markets, with a low expense ratio typical of Vanguard's offerings. The fund is suitable for investors looking to diversify their portfolios beyond U.S. equities while maintaining a long-term investment horizon.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
No
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- N/A
- Currency Hedged
-
No
- Portfolio Turnover
-
5 %
- Dividend Date
-
Why Invest in the VEU ETF?
Potential Benefits
- Provides broad exposure to international developed and emerging markets outside the U.S., enhancing portfolio diversification.
- Low expense ratio compared to many actively managed international funds, reducing cost drag on returns.
- Passively tracks a well-established index, minimizing manager risk and turnover.
- Highly liquid with significant assets under management, ensuring tight bid-ask spreads for traders.
- Includes exposure to fast-growing emerging markets that may offer higher growth potential than developed markets alone.
Potential Risks
- Subject to currency fluctuations as holdings are denominated in foreign currencies.
- Emerging market exposure introduces higher political and economic risks compared to developed markets.
- May underperform U.S. markets during periods of dollar strength or U.S. market outperformance.
- Less exposure to technology sector compared to U.S.-focused funds, potentially missing out on tech-driven growth.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+5.7%
|
+5.3%
|
-8.1%
|
+7.7%
|
+3.8%
|
+0.2%
|
-1.1%
|
+2.9%
|
-2.4%
|
+0.6%
|
-
|
-
|
| 2025 |
+3.4%
|
+2.1%
|
+0.4%
|
+2.8%
|
+4.6%
|
+3.8%
|
-0.9%
|
+4.1%
|
+3.4%
|
+1.8%
|
+0.4%
|
+2.5%
|
| 2024 |
-1.7%
|
+3.2%
|
+3.3%
|
-2.5%
|
+4.0%
|
-0.6%
|
+2.5%
|
+2.6%
|
+2.6%
|
-4.5%
|
-0.4%
|
-2.6%
|
| 2023 |
+8.7%
|
-4.4%
|
+2.8%
|
+1.9%
|
-3.4%
|
+4.6%
|
+3.8%
|
-4.4%
|
-3.4%
|
-3.2%
|
+8.2%
|
+4.9%
|
| 2022 |
-2.4%
|
-3.1%
|
-0.5%
|
-6.5%
|
+1.6%
|
-7.7%
|
+3.4%
|
-4.4%
|
-9.7%
|
+3.4%
|
+13.1%
|
-2.2%
|
| 2021 |
+0.4%
|
+2.1%
|
+1.7%
|
+2.6%
|
+3.2%
|
-0.5%
|
-1.4%
|
+1.5%
|
-3.3%
|
+2.7%
|
-4.3%
|
+3.7%
|
| 2020 |
-3.4%
|
-6.6%
|
-15.1%
|
+6.8%
|
+4.7%
|
+4.4%
|
+3.9%
|
+4.4%
|
-1.7%
|
-2.1%
|
+12.6%
|
+5.7%
|
| 2019 |
+7.6%
|
+1.6%
|
+1.0%
|
+2.9%
|
-5.5%
|
+5.9%
|
-1.8%
|
-2.4%
|
+2.8%
|
+3.4%
|
+1.0%
|
+4.2%
|
| 2018 |
+5.7%
|
-5.3%
|
-0.4%
|
+0.6%
|
-2.0%
|
-2.1%
|
+2.9%
|
-2.3%
|
+0.4%
|
-8.3%
|
+1.5%
|
-4.9%
|
| 2017 |
+4.1%
|
+1.3%
|
+3.0%
|
+2.1%
|
+3.1%
|
+0.5%
|
+3.4%
|
+0.6%
|
+1.8%
|
+2.0%
|
+0.6%
|
+2.0%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
RY
|
ROYAL BANK OF CANADA |
0.6 % |
|
CP
|
CANADIAN PACIFIC KANSAS CITY LTD |
0.3 % |
|
BMO
|
BANK OF MONTREAL |
0.3 % |
|
CRH
|
CRH PLC |
0.2 % |
|
CNQ
|
CANADIAN NATURAL RESOURCES LTD |
0.2 % |
|
BNS
|
BANK OF NOVA SCOTIA |
0.2 % |
|
CM
|
CANADIAN IMPERIAL BANK OF COMMERCE |
0.2 % |
|
MFC
|
MANULIFE FINANCIAL CORP |
0.2 % |
|
RACE
|
FERRARI NV |
0.2 % |
|
SU
|
SUNCOR ENERGY INC |
0.2 % |
Top 10 holdings shown, out of 3 total holdings.
Related ETFs: VEU vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
VEU tracks the FTSE All-World ex-US Index, which includes large-, mid-, and small-cap stocks from developed and emerging markets outside the United States. The index is market-cap weighted, meaning larger companies have greater influence on performance. The fund holds thousands of individual stocks to replicate the index, providing comprehensive exposure. VEU is passively managed, with periodic rebalancing to maintain alignment with the index composition. The fund primarily holds common stocks and aims for full replication of its benchmark, though it may use sampling techniques for less liquid holdings.
Frequently Asked Questions
Does VEU include exposure to emerging markets?
Yes, VEU includes both developed and emerging markets outside the U.S., with emerging markets representing about 25% of the portfolio.
How does VEU differ from VXUS?
VEU tracks the FTSE All-World ex-US Index while VXUS tracks the FTSE Global All Cap ex US Index, which includes small-cap stocks that VEU excludes. Both have nearly identical expense ratios.
What is VEU's expense ratio?
VEU has an expense ratio of 0.08%, making it one of the lowest-cost options for broad international equity exposure.
How often does VEU rebalance?
As an index fund, VEU rebalances as needed to track its benchmark, typically making adjustments when the underlying index reconstitutes.
What percentage of VEU is in European stocks?
Approximately 40% of VEU's holdings are in European companies, with Japan being the next largest regional allocation at around 15%.
Industry Overview
The Vanguard FTSE All-World ex-US ETF (VEU) provides exposure to the broad international equity market, excluding U.S. stocks. This includes both developed markets like Europe and Japan, as well as emerging markets such as China and India. Investing in international equities can help diversify a portfolio and reduce concentration risk, as non-U.S. markets often perform differently than domestic markets. However, international investing comes with additional risks, including currency fluctuations, political instability, and varying accounting standards. VEU offers a simple, low-cost way to access this diverse set of markets through a single investment vehicle.
Alternative Comparison
Compared to similar international ETFs, VEU offers comprehensive exposure including emerging markets, unlike funds like SCHF or IEFA that focus solely on developed markets. While VXUS (Vanguard's Total International Stock ETF) includes small-caps that VEU excludes, both provide broadly similar exposure at nearly identical expense ratios. Compared to actively managed international funds, VEU's passive approach results in significantly lower costs, though without the potential for active manager outperformance.
Issuer Overview
Vanguard is one of the world's largest investment management companies, known for its low-cost index funds and client-owned structure. The firm pioneered index investing for individual investors and maintains a strong reputation for investor-friendly practices. Vanguard's scale allows it to offer some of the lowest expense ratios in the industry, benefiting long-term investors through compounded cost savings.
Conclusion
VEU represents a core holding for investors seeking diversified international equity exposure at minimal cost. Its broad coverage of both developed and emerging markets makes it a efficient one-fund solution for the ex-US portion of a globally diversified portfolio. While international investing carries unique risks, VEU's low expenses and passive approach make it a compelling choice for long-term investors looking beyond U.S. borders.
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