VXUS

xiongchiamiov

TDFs are designed to be the entirety of your portfolio. If you hold a TDF in one account, and VTI in the other, then you're overweighting US stocks (as compared to what the fund manager believes to be correct). VT would be closer, but doesn't hold bonds or whatever else your TDF has. That being said, if you aren't doing tax optimization or trying to get everything exactly balanced, VT or VTI+VXUS would be pretty fine in the taxable account. Btw: no 401k available? Are you eligible for an HSA?

rarflye

Sorry I should've been clearer that my example was a hypothetical to illustrate the impact MER can have long term. Specific to VXUS and IDMO, as I mentioned in another comment it's something of a challenge to try and draw direct comparisons between the two. Personally when I want growth I just invest in the sectors I am knowledgeable in through stocks & ETFs and generate growth that way. Broad ETFs are how I preserve some of those earnings long term

rarflye

At a quick glance it seems like a good fund. It looks like it's a bit more centred around Japan than VXUS, but their performance graphs over the last year look nearly identical, their dividends are very similar to VXUS, the sector distribution is more balanced than IDMO, and the MER is lower than VXUS'. Personally I like to get a few funds and sort of drip into all of them over time, so this might be a fun one to add to the mix

Alterna9

I think I’ve come to the conclusion that IDMO might be a little too volatile for my liking, not to mention it’s only 200 companies. However, VXUS’s 7500 holdings seems too high for my liking. What are your thoughts on IDEV, a nice middle ground? I realize this excludes emerging markets. However, I’m someone who’s been on the fence about international for a while now, so I figure this is at least better than nothing.

LiberalAspergers

I mostly sold out of the US market, and moved my core 401(k) position from VT to VXUS. No complaints. The drop in the dollar over the past few months has been nice to me.

doggz109

There are tons of better ex us funds than VXUS.

BurlyJohnBrown

I didn’t expect TACO but I only sold part of my portfolio to and invested it into international stocks and short treasuries for a potential slowdown. VXUS did pretty well and helped make up for dollar losses and I'd the slowdown doesn't happen and tariffs are resolved this year Ill put some treasuries back in. Overall I'm happy with my choice but I also didn't sell everything like some people.

OneBigBeefPlease

Yes and no. I sold maybe 5% of the non-taxable portfolio when I saw doom ahead, and got maybe 30% of that back into VTI and VXUS at the absolute bottom (yay). Bought back some more on the way up but wish I bought all the way back in. I bet I would have done just about the same had I held on.

MaxwellSmart07

. No reason besides it will hurt some feelings investing in a fund that doesn’t start with the letter “V”. IDMO has trounced VXUS returns.

TurboSalsa

VXUS is probably the most popular (on Reddit anyway) for purely international ETFs.

harrison_wintergreen

IDMO and VXUS are not apples to apples comparisons. the last 10 years doesn't necessarily predict the next 10 years.

Tojuro

I sold heavily in my after tax brokerage, and moved things around in my Roth, around January. Much of that went to diversify internationally. It was mostly USA/VTI type stuff before and I opened big positions in VEA and VXUS. I also added VYMI (to balance out VYM) in the Roth. This was primarily to diversify, but they've all done well compared to the original holdings. I had one lucky win, selling a big block of Amazon in the $220s then fully buying back in at 176. OTOH, I sold a block of MSFT and didn't fully buy back in when it was cheap, so I'd have been better holding there given where it's at. I repurchased some VTI in April but am still over 20% cash. The US leadership is too erratic to not bet on the potential for sale prices at any given time. It's mostly been a wash but even if there was a loss, I prefer the diversification and flexibility in my portfolio now, given the inevitable volatility and erratic leadership for the next 3.5+ years.

suoromalc

I have ~300K or 15% of my asset in BND in a taxable account. Recently 1) I inherited some foreign estate from my grandparents. I intended to leave them as they are and treat them like a cushion asset similar to bond. 2) I've got a new tech job in California. My new tax bracket and California tax will kill my BND returns. I originally hold BND in case of unexpected life changes and needing the cash (e.g. buying a house). Now it is looking less likely. I'm considering - Selling BND and convert them to California Muni fund (VTEC). Less diversified, lower return, and IIUC only beneficial for the highest tax bracket earners. - Go all in on stock (VTI + VXUS). Higher return, lower dividend and taxes on them. Riskier, but placing the bet that I don't need 300K in ~5 year, and if I do I'll just sell some. - Keep the BND? - Other asset classes? IMO my dream asset would be a fund that invests in bond, has bond like performance, but doesn't issue dividends so I can defer tax indefinitely. Don't think such fund exist.

StaggeringMediocrity

You can also include BND (Vanguard's bond ETF) if you want something that will mirror a target date fund. VTI, VXUS, and BND are a common "three fund portfolio" that's recommended over in r/Bogleheads People choose different ratios depending on their age and risk tolerance, and then increase BND at the expense of the others as they get closer to their anticipated retirement age. That way they can mirror a TDF without paying the expense ratio of a managed fund.

sortahere5

I'm up 13.7% YTD having shifted out of US stocks to gold, silver, VXUS ,and VYMI. I feel really good. Might rethink it soon but I have had great peace of mind. US stocks make no sense but whatever. As long as I can get good returns elsewhere.

Prudent-Corgi3793

International stocks have trounced US stocks and actually recovered even more quickly. From a comment I made on r/ValueInvesting , so this includes a value-tilted portfolio. Here are the performances of VOO (S&P 500), VTI (total US stock market), VXUS (total international stock market), and a DFIV/AVDV/AVES portfolio (international value tilted portfolio, as the value factor has performed much better in international equities). I chose two time frames, since [Inauguration Day](https://testfol.io/?s=aUi41pgL4Sa) and since the [April 8 bottom](https://testfol.io/?s=c6zwkit3ZtK) (which would assume you had perfect insider info): |Returns as of 6/25/25|VOO|VTI|VXUS|Intl Value| |:-|:-|:-|:-|:-| |Since 1/20/25|1.30%|0.43%|13.45%|16.75%| |Since 4/8/25|22.55%|22.81%|23.25%|25.40%| That's right, even if you had insider info telling you to buy on 4/8/25 right before the stock market recovered, you would have still done better to be in international.

SpartyNash

60% in HYSA, SGOV, I-Bonds. 30% VTI. 10% VXUS.

BRK_B__

Yes 100%. I converted my Roth to 100% VXUS in March, now I'm up 11% YTD even though everyone said I was an idiot for it. I also switched from SPY to SPYI for downside protection and saved ~3% losses from April 2nd, which I immediately sold and reinvested into SPY and made 3% more than SPYI. Currently I am 100% VXUS in my Roth still, I sold everything beside 500 SPYI in my taxable, and I forgot to mention my hedge puts which printed 300% in April so now I am hedged for a $450 SPY by 09/30 for "free" because I laddered down my hedge and kept profits. tldr: yes and I am outperforming u passibe investors handily YTD

Aggressive_Finish798

I've held VXUS and was thinking about selling it off before this tariff craziness, and now it's convinced me to hold it and even add to it. So not mostly international, but it's definitely useful for wild rides if you want stability.

cakeandale

I don’t - the peace of mind of having extra cash to supplement an emergency fund in case the expected slowdown in Q3/Q4 comes about is worth the potential loss of gains, and the rest that I kept invested in international etfs like VXUS has kept up sufficiently well.

StaggeringMediocrity

Well, VT is the Total World Stock ETF, which also contains US companies. If you really want to fine-tune your exposure it would be better to go VTI and VXUS (just international) in whatever proportion of US/international you want.

Due-Tea3607

First thing that sticks out to me is that AUM is a lot smaller, if you are worried about liquidity if you want to exit your position under pressure. The 1Y beta is pretty high at 0.81 which isn't necessarily bad, but something to keep an eye on. VXUS, IDEV are far less volatile, but return less. They have much higher AUM at $493150M and $19861M compared to IDMO at $902M. Personally I have IDV on my shortlist, which performs similarly to IDMO, but less volatile, larger AUM, value category is the main difference; might want to check as an option. Since much of the markets are so interconnected, most follow the same sort of pattern at the same time. It's more a matter of finding the best performing ones with acceptable risk to you.

rarflye

I don't think you're wrong, I think you're just taking a reductive view of the two funds. The calculus is not that straightforward. More notable differences between IDMO and VXUS: \- VXUS has holdings in more than 8000 stocks and funds. IDMO has 200 \- VXUS is more evenly distributed across sectors, while IDMO has a very strong emphasis on the financial/banking sector (46% financial stocks!) \- VXUS is more evenly distributed across markets, while IDMO is primarily invested in Germany, UK and Canada \- VXUS has approximately double the dividend yield of IDMO Personally if I'm after growth, I invest in individual stocks or narrow ETFs representative of sectors I believe will bring that growth. If I want stability, I'm looking at broad funds with low MER to preserve my capital. IDMO looks more tantalizing on a returns basis alone but again with even the surface level details I mentioned it becomes more challenging to to say how clear cut the advantage is, and if the heightened exposure is worth the trade off

Alterna9

Correct me if I’m wrong, but fees don’t really matter when you’re doubling up your competition, right? If we are to assume the trajectories and trends of these funds are to remain the same, you’ll still make more with IDMO than VXUS, even after fees? Isn’t the net balance in the end all that matters?

Hetawow

IDMO has higher expense ratios and less diversification than VXUS. Past performance doesn't predict future returns. The extra fees will eat into your gains over time, especially for long term holding. VXUS + VOO is solid.

ServerTechie

IDMO is a little more volatile, but no risk no reward. It’s been a really impressive international ETF the past 5 years. VXUS may be well diversified but the performance is a snore. Compare VXUS to IDMO, FENI, FIVA, and you’ll see how much better you can potentially do. I use FIVA in my Rollover IRA and I’m very happy with it.

Cruian

IDMO is developed markets only. VXUS has both developed and emerging. Emerging may come with a risk premium compared to developed only. VXUS is broad coverage, IDMO uses momentum factor to help guide the holdings. Momentum can be a factor, but it may not be as strong as some others. >I’m basically looking for an international fund to complement my VOO. Does IDMO fit the bill? Or is that still not diversified enough? VXUS is more like VOO if only looking at IDMO vs VXUS. VEU may be even closer, as it also leaves out smaller companies like VOO does. IDMO is similar to SPMO, not VOO.

rarflye

I don't have the capacity to dig into the portfolios at the moment, but the standout detail is MER VXUS is 0.05%, IDMO is 0.25% For index funds, especially ones that will have similar performances, MER is a factor

TT_Vert

Thanks for your info. I looked into VXUS and it's similar to SCHG in holdings but about 1/2 the tech stock percentage, hence a bit lower return over the last 5 or so years. I may stick w/ SCHG and maybe transition towards VXUS if tech starts to decline. VXUS is VERY similar in performance to the MF SWISX i currently hold. Slightly lower expense ratio and a hair more return over the last 10 years. I don't particularly like Morningstar's rating on it though. Similar holdings except VXUS holds Taiwan Semiconductor Manufacturing Co Ltd and SWISX doesn't. I am going to continue to look for alternative Foreign Large Blend ETFs. Dave

davecrist

Just VXUS and just VT would have made you a million. VOO should have made you almost 1.8 million so you may HAVE been trying not to make a million. Hell, just buying bonds making 2% would get you close. My point is that the S&P500 had nothing to do with it, especially over the past 12 years.

CathyBikesBook

VTI and VXUS in a Roth IRA

Newbiewhitekicks

VOO and SPY are the same thing. VOO and SPY are in VTI. I would recommend VTI and VXUS at 80/20.

Over-Computer-6464

I try to avoid complexity unless there is a significant benefit. I have seen many portfolios managed by financial advisors that are complex combinations of both growth and value funds, in addition to blended funds. When I do a backtest on them they end up being essentially the same return as a basic low expense ratio total market fund. [Portfolio Visializer](https://www.portfoliovisualizer.com/backtest-portfolio) is good for backtesting, although free accounts are now limited to 10 year maximum backtests. For the portion of my portfolio that are ETFs I just default to the old reliables of VTI/ITOT/SCHB (total US stock market) and IXUS/VXUS (total ex-US stocks). I use the multiple ETFs for total US and total ex-US for tax loss harvesting. In your Roth that is irrelevant, so the simplest and easiest and most effective thing to do is to simply figure out our US/ex-US allocation and buy VTI and VXUS, at both brokers. VXUS tracks FTSE Global All Cap ex US Index, with 0.05% expense ratio with a fairly large tracking error of 1.78%. It is also available as the mutual fund VTIAX at the slightly 0.09% expense ratio. IXUS has 0.07% ratio and tracks MSCI ACWI ex USA IMI with 1.59% tracking error. The overall returns of the two ETFs are essentially identical. Your 20% allocation to international is very reasonable. Although market cap weighting of international is higher, due to the extra volatility from exchange rate variations, the minimum volatility (in USD) is in the low 30% range of ex-US. I choose to apply a mild home bias and chose overall 80/20 US/ex-US. Because the individual stock portion of my portfolio (old, low cost basis shares in taxable accounts) are predominantly US, my ETFs are about 60/40 US/international.

Ill-Veterinarian908

You’re young. I’d have a standalone position in VXUS that way you can increase/decrease your international position as needed

Rich-Contribution-84

I keep 9-12 months worth of expenses in cash as an emergency fund. If you’re asking percentage of overall portfolio? I’ve never even looked at it that way. I don’t think of my cash as anything other than the funds that would keep me alive if I lost my job or insurance or if I need a new roof or something. It’s about 8% of what my retirement portfolio is, though. At age 41 my retirement portfolio is 75% ~ stocks (mostly broad market index funds and a TDF) and 25% ~ physical real estate (residential rental property). I plan to retire around age 65, so when I’m about age 50 (15 years from retirement) I’ll shift from growth/accumulation mode to preservation mode and I’ll start aggressively adding things like BND/SGOV/maybe some cash to my retirement portfolio, but until then, I just keep buying VTI/VXUS 80/20 every two weeks automatically out of my paycheck in my taxable account and the TDF in my 401(k) and HSA.

Over-Computer-6464

As you have discovered, leverage is great, …. until it isn't. Take your losses. Pay attention to what you have learned. You may be lucky and outguess the market and make great stock picks, and have great timing getting into and out of the market. The more likely path is what you have experienced. At some point hopefully you will realize that just because you were "not satisfied with 8-10% returns" does not matter. Unless I think I am smarter than the rest if the world or know something that the rest of the world does not know or realize, I just buy the whole market via broad based ETFs like VTI/SCHB/ITOT and VXUS/IXUS. At some point you may find the wisdom and maturity to "accept what the market gives". Spend some effort on determining your optimal asset allocation and the rules for rebalancing. Then follow them. Do not change course in the heat of the moment, Stay the course with the plan you put together during a period of calm reflection,

Based_Commgnunism

VXUS

grokfinance

If you have a 20 year time horizon then I would just buy a couple simple total market index funds like an 80/20 mix of VTI and VXUS and call it a day. Your "intelligent" portfolio is pretty dumb in that it is apparently way too conservative.

Marshall_Hoodie

Boglehead 3 fund is some sort of (VOO/VTI/VT), VXUS, and (BND/SGOV) depending on age for amount of bonds. Some true believers are bonds % for age.

LiberalAspergers

Worth pointing out that the CAPE of SPY broke 40 in early 1999. The return over the following 10 years was negative. I dont expect that, but I do expect a decade or two of stagnation. 5% annual returns is frankly an optimistic prediction given a CAPE this high. I bring up VXUS because I expect the dollar to decline relative to a basket of world currencies over the coming decades, which should enhance realtive dollar returns from non-US equities over that time.

user-namepending

You've been doing this for 3 decades now but that didn't stop SPY in the 90's when CAPE was in the forties? And if youre going to talk about 2 decade returns than why even bring VXUS up? Even in high CAPE conditions SPY has still outperformed VXUS when we expand the horizon to 2 decades.

ServerTechie

A diversified portfolio is your friend. Nobody can predict the future. Past performance does not guarantee future results and yadda yadda. In fact my non-US equity funds are performing great in 2025. Yes, it is worth having foreign equity. Furthermore, don’t let the popular VXUS guide your decision. Check out IDMO and you’ll see how good foreign equity can perform.

LiberalAspergers

If your long term strategy was SPY, then you were already a bonehead. A CAPE of 35 is insanely high, there just isnt any long term value to be had there. Expecting a return over 5% over the coming decade or 2 from SPY seems unlikely. The time to start selling US equities was December, frankly. There are still a few individual equities on the US market I hold, but my 401(k) is now 90% VXUS.

MaxwellSmart07

I feel your disappointment. The Boglehead orthodox are still insisting, after the fact, that I should have been into VOO, VXUS , BND &/or AVUV over the last decade instead of SPMO, QQQ, SPLG, VGT and SMH. The situation now is in flux. Will you abandon international or retain it and dca into domestic growth? FYI: IDMO is far better than VXUS.

BeaverMartin

Liquidated just about everything after the election honeymoon bump. Usually I hedge with the bond market but since I believe that this time is different and I’m continuing to predict an elongated recession/correction I put the vast majority in VXUS which has returned about 6.75% or so. PLTR was one of the few I was continuing to hold but was unfortunately forced to sell at about $95 for and admittedly decent gain due to an ethical conflict from changes to my portfolio at work. Overall I’m happy considering.

BRK_B__

I am sitting on cash and waiting until tariffs are normalized whatever numbers those are, until then I'm not investing in this mess especially when I get 4.2% returns from my MM fund. Roth is 100% VXUS too

LiberalAspergers

I moved my core position out of VT and into VXUS back in January. Not just because of the tarifffs, but because the US markets overall are trading at a insanely high cyclically adjusted P/E ratio, and it seems extraordinarily unlikely that the US economy as a whole can grow fast enough to justify it. There are some individual US equities I still hold, but I no longer have any ETF or index exposure to the US overall.

Strategerish

Keep it in until you're retired. You'll be able to pay zero taxes on most if you just sit tight. Hopefully you're in a well-diversified fund tho like VT, VTI, VOO, VXUS, VEA

ThirdPlaceLithium

I sold about half of my holdings 2/3 the way down after L-Day. I was 100% US equities. I am now about 30% US equities and 30% international — VXUS mostly, but ~4% FRDM (liberty emerging markets), ~3% EUAD (Euro Defense), ~1% each in FLMX (Mexico), FLIN (India), and VNM (Vietnam). I am ~5% IAUM (gold) and ~36% cash or treasuries.

dorfWizard

You’re taking what is known as “uncompensated risk”. What if there’s a great disruption in the tech sector in the next few years? An unforeseen international company figures out quantum computing.  https://www.whitecoatinvestor.com/uncompensated-risk/ A total market portfolio like VTI + VXUS will get you the world for cheap and you still get exposure to the Nasdaq. Just something to consider. 

Thadlust

Down 10%? My VXUS is doing great

lubesies

SP500 is 80% of the total market cap so in my mind that's pretty damn diversified. But getting a bit into an international fund (I use VXUS) give you a bit of international diversification. As a 32 year old I shoot for about 50% VTI, 20% VXUS, then 30% on a few individual equities. If I didn't want elindividual stocks as a 32 year old I would just go VTI 80% VXUS 20% until I get closer to an age where I'm thinking about taking money out

5P0N63w0R7HY

Just an FYI the Roth IRA contribution limit this year is $7000 in case you felt like maxing that out which I think is a good move. Build up an emergency fund in a money market fund to last 6-12 months of bare necessities. The rest, probably broad index funds diversified between US and international like VTI and VXUS.

BRZlimited92

I have a good amount of SCHD, VTI, VXUS, JEPQ, XLE, MSTY, ETHA, and IBIT. HCTI is my play and gamble money but I like the direction they're heading. I work in Healthcare so I like seeing healthcare and AI coming together.

Mtownsprts

+6.11% VTI 60/VXUS 40. I consider it a win

Over-Computer-6464

Since I am not omniscient I just buy the whole market via VTI and VXUS. Seriously, active stock picking mutual funds, with lots of full time researchers, end up on average doing worse than the overall market. Put some time into figuring out your desired asset allocation —- how much cash (aka emergency fund) and other fixed income vs how much in equities. Then the next most profitable investment of your time is trying to improve your "human capital" —- your skills and qualifications. Stock picking should be far, far down on your list of priorities, and preferably not something you waste time on. Just buy the whole market via VTI, or at least the SP500 via SPY/VOO etc.

ikeepeatingandeating

You could do worse that your picks, but you can simplify. Pick a single US equity fund like VOO/VTI, a single international fund like VXUS, and a single bond fund like BND. Swap VTI/VXUS with VT for an all-in one world equity ETF. If you get to higher income swap some BND for munis like MUB to decrease taxation. Pick the percentages and hold. I do 45% US, 35% international, 20% bonds. That's it! Remember, dividends aren't free money, they're just forced capital gains. Don't chase them unless you have preferential tax treatment (eg. you live in Canada, Canadian-source dividends have preferential treatment for low income brackets). This normally isn't the case in the US.

Plastic-Guarantee-88

Add the rest of the world (VXUS) for at least three reasons. * First, US economic policy right now is pretty volatile/dumb. You know that that the return of the EU zone stocks has been +27% YTD vs. the US which has been about 0%. * Second US valuations seem higher than the rest of the world. The US did really well in the last several years (2010-2024), leading the P/E of the US to be relatively high. * Third, diversification. If you only buy the US, you are missing out on 8,408 solid companies. It is not a great argument to say "Well Apple sells some phones to people in Germany, so that "counts" Germany in my portfolio." You're missing SAP, Siemens, Adidas, and Allianz. They do different things, in different ways, than their American counterparts. Your risk goes down when you hold all of them.

Rich-Contribution-84

VXUS is another good option. I’m personally about 55% VTI/ 12%VXUS/ 33% physical rental real estate.

Rich-Contribution-84

As a long term investor (I’m 21 years into a 45 year horizon) I don’t “take profits” because it doesn’t align with my goals. For example, if I’d taken profits at all time highs at the end of 2023 at all time highs, I’d have missed out on enormous market growth in 2024. I don’t pretend to know when or if we are at highs and lows. I invest automatically and consistency out of every paycheck, always. I keep it simple and buy 80/20 VTI/VXUS. Once I get to 15 years ~ out from retirement I’ll start aggressively adding bonds to my portfolio as I shift from accumulation to preservation mode. I also own some non index fund stuff. I’ve always been a long term investor and I’m years or decades long in all of my individual stocks but I’ve stopped trying to buy individual stocks. I’d have sold them by now and bought index funds, but they’re in a taxable account and I don’t want the tax hit right now. I also own one physical rental property.

ron9026

Open a Roth and all you need is 90% VOO 10% VXUS. Also focus on building skills for a high paying career above all else. That’ll make you more money than investing ever will.

Rich-Contribution-84

Got it. I’m not familiar with French accounts - like do you guys have various types of tax preferred or tax advantaged accounts? That part’s important. But the core advice, regardless of where you live: buy very broad diversified index funds and do it consistently for your whole life - make it automatic out of every paycheck. In the USA, I buy VTI and VXUS at 80/20. That’s a strong home country bias for me, I’ll admit that. I have been considering shifting more to market weight. For you - I *think* the primary European options are VWRD or SWDA for a similar conceptual whole world type strategy. It’s just lower on the USA exposure. Depending how long you have until retirement you may or may not want to add a bond fund on top of that. I’m only 41 and I don’t plan to retire until 65 ~ so I will start adding bonds during my shift from accumulation to preservation mode - around age 50. I strongly recommend the JL Collins book from my last post for any beginner in any country. The examples will be from a USA perspective and the actual instruments and processes will be a little different in France but the philosophies and concepts in the book are applicable around the world and it’s just a really great place to learn the basics.

ThirdPlaceLithium

Yep. Just bought some 2 weeks ago. Outperforms VXUS and EMXC. Also, no exposure to Japan.

Low-Introduction-565

>I’ve always been told to only invest what I’m willing to lose. That's not true. That's true for more speculative purchases e.g. crypto, or buying say individual stocks, a highly risky activity. But any of the big broad index funds will pretty safely return you ballpark 10% over the medium to long term, so you should correct your understanding - what's true to say is that you should be in it for the long term, and anything you invest now you shouldn't be expecting to access for at least 5 years, ideally 7-10 because it is indeed possible to go backwards in the shorter term. As for your second thing...well you can wait if you want, but you'll be waiting forever. And think about it: WW1, WW2, Vietnam, Korea, a 3 trillion dollar adventure in the middle east, communist bloodbaths in Asia, rise and collapse of USSR; Russia invades its neighbours again, again and again, endless civil wars in Africa, Yugoslav collapse in the 90s, and while you're at it: Spanish Flu, MARS, SARS; COVID, and also while you're at it: the great depression, the oils shocks in the 70s, Black Friday, the dotcom boom and bust and associated lost decade, the 2008 GFC, Trump, 1, Trump, 2, a 40 years cold war, nukes in Cuba, days from global annihilation. Result - line goes up, global equities (like the index VWCE / VT are based on) have exploded exponentially during that time. And stop thinking for a second you can convert news into investment decisions. And stop thinking you can pick the right time to enter. You can't do either Noone can. VOO, VT VTI + VXUS or VWCE if you are in Europe. You can't go wrong with any of them. The best time to invest is now.

Darth_Candy

If you’re into indexing, you can either do an all ex-US fund like VXUS or split it between developed and developing, like SCHF and SCHE. If you choose the latter route, make sure you know what’s in each fund because China is sometimes considered one or the other depending on whose fund it is (you want China if you want global exposure, but you don’t want to unknowingly double dip on China). There’s some really interesting new research on weighing developed ex-US and US returns, so it might be worth splitting into developed and developing (beyond just the market cap weight) depending on how you feel about that research. Ben Felix has a YouTube video called “The Most Controversial Paper in Finance” if you’re curious.

RiptideGaming06

Not financial advice, but a diversified spread of VTI, VXUS, SCHD, etc. have felt like a decent ETF spread for me so far, albeit with a lot less money lol. I’d personally pocket at least 65-75% of what you’ve made in options and set it aside somehow at the very least, but that’s just me. I don’t know what I’d do if I burnt through all that money I’d of just hypothetically made…

thewarrior71

VXUS or IXUS. Currently world market cap is 62% US + 38% ex-US. Vanguard recommends 20%-40% ex-US.

tabspdx

You can do both. I sell puts (both short and long dated) against margin. I also hold a bunch of VTI and VXUS.

Newbiewhitekicks

Market weight would be 35%, I think. This is assuming your portfolio is one total US and VXUS (one total ex-US. You can adjust the ratio for more/less IS exposure.

Newbiewhitekicks

VXUS is the mostly recommended international. FTIHX if you have Fidelity.

SortResponsible5998

Yo bro, solid move leveling up the income and getting serious. 1. M1 Finance is fire for auto-investing—set it, forget it, each stock/ETF gets its %. 2. I roll with \~70% stocks (VTI, QQQ, VXUS), 10% gold/energy, 10% crypto (BTC/ETH), 10% bonds/cash. Chill but still grows. 3. Been in for a bit—averaging \~7–9% a year long-term. Key is consistency, not timing. Set it up, stay steady, let it cook.

Newbiewhitekicks

r/bogleheads VTI/VXUS

AgoraphobicPig

Growth stocks tend to be volatile, eg they get the most gains in a bull market and get the most losses in a bear market. This chart sums it up, growth ETF vs total market - keep in mind that we've been in a historic bull market for over a decade. [https://stockanalysis.com/etf/compare/vti-vs-schg/](https://stockanalysis.com/etf/compare/vti-vs-schg/) VTI = total US stock index, VXUS = international index excluding US companies. So the allocation depends on your faith in the US stock market and whether it will continue outperforming. Recent events have led many investors to increase their international exposure. If you don't want to bet either way, just buy VT and call it a day.

Teching-Through-Life

What website did you use to backtest? I was just set up an order to sell all of the stuff I am currently holding so I can do VTI/VXUS

Teching-Through-Life

Could you elaborate what you mean by bigger swings also with VTI/VXUS how should I allocate it 50/50, 60/40, etc?

AgoraphobicPig

dividend plays and especially covered call ETFs make subzero sense for your situation, especially outside of tax advantaged accounts. VT or a combination of VTI/VXUS is the most sensible approach. If you can stomach bigger swings, go for growth funds like SCHG.

DaemonTargaryen2024

- VOO is down 0.08% since February - VXUS is up 12% - VT is up 4%

laggyx400

Buys are set to auto every week and paycheck, those are minimums that never stop for me. I have cut back on fun, risk investments to build a larger emergency fund and pay down any debts. I had sold everything and went into bonds/gold/VXUS on Feb 4th, then rebalanced into the SPY to simplify things on April 7. I'm still on the fence about this move back in.

thetreece

There's literally no reason to hold 17 different ETFs and mutual funds. It's just jumbled nonsense. VT or VTI+VXUS makes infinitely more sense.

ApartSun5044

I thought the same at first, but after reading John Bogle’s writings, I began to think that the impressive returns might be an illusion caused by a weak dollar. If the strong dollar returns, the remarkable gains of VXUS could disappear. Bogle emphasized in his books that unless you believe that diversification itself holds more value than fundamentals, it’s better to invest in fundamentally strong U.S. stocks. If you still want international exposure, he recommended limiting it to around 20%.

MaxwellSmart07

The problem with the exhortations to go international is their default choice is VXUS. Off-had I can name a couole of funds that have consistently been better. IDMO definitely, and VEA.

astockstonk

Look up backdoor ROTH. Max out your 401k and Roth every year. After that, make sure you are in index funds like VTI and VXUS in your taxable accounts (fine if they overlap in your retirement accounts too) for tax efficiencies in the taxable

astockstonk

VTI and VXUS have you covered on US and international stocks. I am one who agrees with having exposure to Bitcoin as well. If you want this, IBIT is a good way to do it.

astockstonk

Personally I would do VTI (over VOO) and add VXUS, but otherwise looks like a solid plan.

max_strength_placebo

>It doesn’t seem often it outperforms VOO this largely VXUS (or the earlier equivalent) beat the S&P 500 almost half of years over the last 50 years. https://www.blackrock.com/us/financial-professionals/literature/investor-education/why-bother-with-international-stocks.pdf

Ambitious-Egg-8748

I have it in my portfolio, but the more active I became in investing in individuals, the more I’ve trimmed my position. VXUS is a hedge against the US market. This works well if your portfolio is just VOO/VTI or equivalents. It’s not easy to beat them in performance, but it’s also feasible for an engaged and informed investor.

TT_Vert

Yeah, I certainly don't like the ratio but I've never had much interest in bonds to be honest. Looking even as far as the 2060/65 target vanguard fund, they still allocate about 8% to bonds. Given my current financial situation I am doing my best to be a bit more aggressive with growth stocks. As I get closer to needing funds I plan to dial it back. I know only 1% of what most here know so I'm just sort of picking brains and taking in all the info that I can. I'm curious what the opinions of SCHG are here? I was also eying VXUS and VTI. I don't know what sort of value you guys put on Morningstar but they rate both of those vanguard ETFS at 3 stars. Recently, i moved My ROTH from vanguard to fidelity and moved a bunch from a high expense ratio vanguard fund to **FXAIX and** **FSPGX** and it's done well thus far. Dave

MrOptimum

My favorite response so far- I agree. I am intentionally over-weighing tech because I more-strongly-than-average believe in the future of tech and AI. Right now I am favoring a portfolio that looks like ~62% VOO/VTI, ~25% QQQM, ~10% VXUS, ~3% Bitcoin I think my final uncertainty is whether or not I want to increase international exposure? 10% is still a small hedge. I believe in the American economy long-term, but sub-10 years is anyone's guess

Based_Commgnunism

VOO and VTI basically track each other performance wise so it doesn't really matter. VTI is theoretically better if it's your only US fund. VOO is useful if you want to say get small caps from a separate fund. You should absolutely get some VXUS. There's really no reason to assume VOO will outperform VXUS going forward. It has over the last 20 years, mostly because the dollar is so strong, but historically they've performed about the same. So it's free diversification, it's just a higher expected risk-adjusted return to have both.

Seastep

SCHF if you're a Schwab investor. 99% overlap with VXUS.

masalamedicine

Something I always wondered, wouldn't it make more sense to remove foreign tax credit (for example VXUS) if they wanted to promote investing in US companies? As opposed to these revenge taxes.

Commercial-Speech122

Might as well go all VXUS. US market valuations are currently priced to perfection, meaning prices will drop significantly if the US economy starts to show signs of weakness. Also, funds like VOO/QQQ have been known to have decades long bear markets (sub-zero returns) after periods of high valuation, such as what we currently see. VXUS might have slower recent growth, but the sky is the limit cause it's practically guaranteed to NOT have an extended bear market

FreeNicky95

Is VGT and VOO a good balanced portfolio? Or would VOO VXUS and VXF be better?

Tojuro

Don't chase, diversify. VXUS and VEA are decent options imo. I made this change after the election, and also looked at VT, but the ones above are better imo.

Rich-Contribution-84

In order to not try to make sense of this kind of chaos, investing is simply part of my recording budget. I invest $x out of every paycheck. It automatically goes out of my paycheck into my retirement accounts and HSA and taxable brokerage and it automatically buys a TDF in my 401(k) and VTWAX in my HSA (which only recently became available, I’m super excited to be able to buy something like this in my HSA). I buy 80/20 VTI/VXUS in my taxable account. Same process with 529s for the kids except there are lump sums from grand parents and the like on birthdays. But it’s always still an immediate buy of the same index funds. That’s it. No picking or timing or trying to figure out charts. The only exception is when RSUs vest. I just sell them asap and immediately buy 80/20 VTI/VXUS. Same concept but vesting schedules aren’t as clean as paycheck schedules. If I were still buying individual stocks (which I used to do and still hold some in my taxable brokerage acct, although I have not bought any in years), I’d do the same thing. If I had $2,000 per month to invest and my stocks were BRK-B and GS and MSFT, for example, I’d auto deposit the $1,000 from each paycheck and buy the shares. Obviously fractional shares could be a problem to match the exact amounts, so in that case I’d leave the excess cash in the brokerage until the next paycheck and round off the dollar amounts to buy the shares as enough cash was available.

Based_Commgnunism

VXUS has outperformed VOO for over a decade multiple times in the past. Its just been a while.

Ambitious-Egg-8748

If you’re trying to outperform VOO you might as well buy individuals. The point of VXUS with VOO is to make sure you have covered the total market, which mitigates risk. You could just go VT, but VOO/VTI + VXUS allows you to weigh it however you want.

adkosmos

I have both VXUS and VOO since 01/2020 in a play portfolio and even with the recent up for VXUS. VOO still 2X higher return than VXUS in total return.

Mission_Adagio4566

At heart I'm a boglehead who wants to set and forget, but also generally believe a bit of leverage can go a long way. 20% UPRO, 40% VXUS, 40% EDV

Theoilchecker69

Best of luck to you my friend. I just lurk in this sub lol, I invest in VTI and VXUS for the long-term. I love to see degenerates succeed though