IXUS Vs. VXUS: Which International Ex-US Fund  Is Better?


Many investors invest in domestic stock portfolios and combine them with international equity exposure.

However, most international equity funds still invest a part of their portfolios in US-based companies.

Two of the most popular ETFs that provide exposure to the international market while avoiding the local US markets are IXUS  and VXUS.

IXUS: IShares Core MSCI Total International Stock ETF The fund’s goal is to follow the MSCI ACWI ex USA IMI Index  from emerging and developed countries.

VXUS or Vanguard Total International Stock Index Fund ETF Shares The fund doesn’t include stocks from the US. It focuses on emerging and developed markets outside the US.

IXUS Vs. VXUS: Fees The expense ratio of VXUS is 0.08%. On the other hand, IXUS has an expense fee of 0.09%.

Various studies show that international exposure can help mitigate certain risks associated with a local fund, and it also opens up the possibility of better returns in the long term.