ETF Versus

IEMG vs VXUS

iShares Core MSCI Emerging Markets ETF vs Vanguard Total International Stock Index Fund ETF Shares

Last updated: 2026-04-02

IEMG iShares

iShares Core MSCI Emerging Markets ETF (IEMG) is an exchange-traded fund issued by iShares that provides exposure to stocks in emerging market economies with higher growth potential. It charges a low expense ratio of 0.09%. The fund offers an attractive dividend yield of 2.63%. Launched in 2012, the fund has a 14-year track record.

AUM: $132.2B ER: 0.09% Yield: 2.63% Since: Oct 18, 2012
VXUS Vanguard

Vanguard Total International Stock Index Fund ETF Shares (VXUS) is an exchange-traded fund issued by Vanguard that provides exposure to international stocks across both developed and emerging markets. It charges a very low expense ratio of 0.05%. The fund offers an attractive dividend yield of 2.93%. Launched in 2011, the fund has a 15-year track record.

AUM: $129.4B ER: 0.05% Yield: 2.93% Since: Jan 26, 2011

Quick Verdict

VXUS has a slightly lower expense ratio (0.05% vs 0.09%), saving about $79 per $10,000 over 10 years. IEMG has edged ahead over the past year (29.6% vs 25.3%).

Key Metrics

Metric IEMG VXUS
Expense Ratio 0.09% 0.05%
Dividend Yield 2.6% 2.9%
Fund Family iShares Vanguard
Category Emerging Markets International Equity

Performance Chart

Indexed to 100 at start (5-year comparison)

65 79 93 107 121 135 2021-04 2022-06 2023-09 2024-12 2026-04
IEMG +7.7%
VXUS +21.4%

Performance Comparison

Period IEMG VXUS Difference
1 Month -6.83% -5.33% -1.50%
3 Months +1.86% +1.92% -0.06%
6 Months +5.01% +4.49% +0.52%
YTD +1.86% +1.92% -0.06%
1 Year +29.64% +25.26% +4.38%
3 Years +43.63% +40.28% +3.35%
5 Years +7.71% +21.42% -13.71%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period IEMG Fees VXUS Fees You Save
$10.000 10 years $179 $100 $79
$10.000 20 years $771 $430 $341
$10.000 30 years $2.486 $1.388 $1.097
$50.000 10 years $896 $499 $397
$50.000 30 years $12.428 $6.941 $5.486
$100.000 30 years $24.855 $13.882 $10.973

Risk Metrics

Based on 5 years of daily returns

Metric IEMG VXUS
Annualized Volatility 18.1% 15.9%
Max Drawdown -38.5% -32.7%
Sharpe Ratio -0.08 0.04

Dividend Comparison

Metric IEMG VXUS
Annual Dividend (per share) $1.85 $2.29
Dividend Yield 2.63% 2.93%
Distribution Frequency Semi-Annual or Annual Quarterly

Top Holdings

5 of top 9 holdings overlap (56% overlap in top holdings)

IEMG Top Holdings

NameWeight
Taiwan Semiconductor Manufacturing Company Limited!tpe/233011.60%
Samsung Electronics Co., Ltd.!krx/0059304.66%
Tencent Holdings Limited!hkg/07003.32%
SK hynix Inc.!krx/0006602.75%
Alibaba Group Holding Limited!hkg/99882.22%
China Construction Bank Corporation!hkg/09390.82%
Delta Electronics, Inc.!tpe/23080.76%
HDFC Bank Limited!nse/HDFCBANK0.75%
Reliance Industries Limited!nse/RELIANCE0.71%
Hon Hai Precision Industry Co., Ltd.!tpe/23170.65%

VXUS Top Holdings

NameWeight
Taiwan Semiconductor Manufacturing Company Limited!tpe/23303.43%
Samsung Electronics Co., Ltd.!krx/0059301.59%
ASML Holding N.V.!ams/ASML1.29%
Tencent Holdings Limited!hkg/07000.92%
SK hynix Inc.!krx/0006600.91%
Roche Holding AGROC1.L0.76%
Alibaba Group Holding Limited!hkg/99880.73%
Novartis AG!swx/NOVN0.73%
HSBC Holdings plc!lon/HSBA0.73%

Which One Should You Choose?

Choose VXUS if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose IEMG if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

Choose VXUS if...

you prioritize dividend income and want higher regular distributions from your portfolio.

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