One Global Fund or a Clearer Bet on International Markets? VXUS vs. SPGM

By Eric Trie – Mar 5, 2026 at 11:35PM ESTKey PointsVXUS charges a lower expense ratio and yields more than SPGMSPGM shows a greater tilt toward technology giants and has outperformed VXUS over five yearsVXUS holds more stocks and has a higher level of assets under managementVanguard Total International Stock ETF (NASDAQ:VXUS) stands out for its lower cost, higher yield, and assets under management (AUM), while State Street SPDR Portfolio MSCI Global Stock Market ETF (NYSEMKT:SPGM) leans more into technology and has delivered stronger five-year growth.Both VXUS and SPGM offer diversified global equity exposure, but they take different approaches: VXUS excludes U.S. stocks and covers a vast number of international companies, while SPGM includes U.S. names and gives more weight to technology leaders. This comparison breaks down their key differences to help investors see which may better fit their portfolio goals.Snapshot (cost & size)MetricVXUSSPGMIssuerVanguardSPDRExpense ratio0.05%0.09%1-yr return (as of Feb. 27, 2026)34.7%25.2%Dividend yield2.9%1.8%Beta0.730.90AUM$617.73 billion$1.5 billionBeta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months.VXUS is more affordable with its lower expense ratio and also offers a higher dividend payout, while SPGM carries a slightly higher cost and lower yield by comparison.Performance & risk comparisonMetricVXUSSPGMMax drawdown (5 y)-29.43%-25.92%Growth of $1,000 over 5 years$1,329$1,556What's insideSPGM tracks a broad global index spanning developed and emerging markets, with a notable 27% allocation to technology and a significant cash and others component. The fund holds around 2,939 stocks, and its largest positions are in Nvidia Corp (NVDA +0.10%), Apple Inc (AAPL 0.83%), and Microsoft Corp (MSFT +1.40%). With over 14 years of history, SPGM may appeal to those seeking core global exposure with a tech tilt.VXUS, by contrast, omits U.S. stocks entirely and spreads its assets across more than 8,602 international companies. Its sector weights lean more toward financial services, technology, and industrials, and its top holdings are much smaller by weight, such as Dongfang Electronics Co Ltd (000682.SZ). This approach results in broader diversification and less concentration in any single name or sector.For more guidance on ETF investing, check out the full guide at this link.What this means for investorsMany investors turn to international funds because they want less of their portfolio tied to the same U.S. stocks that already dominate the market. That question ultimately drives the choice between the Vanguard Total International Stock ETF and the SPDR Portfolio MSCI Global Stock Market ETF. One is built to diversify away from the United States, while the other still keeps the U.S. at the center of the portfolio.VXUS leaves out U.S. companies and invests in thousands of stocks from both developed and emerging markets. SPGM includes the United States along with other countries, so it still has a lot of money in big U.S. tech companies. If you choose VXUS, you lose direct exposure to those top U.S. firms but get a more focused investment in international markets and currencies.For investors, the key consideration remains to be the source of diversification you are looking for. VXUS shifts returns entirely outside the U.S. market, while SPGM provides a one-fund solution but remains heavily influenced by U.S. companies. The best choice depends on whether you seek broader opportunities or prefer a global portfolio that includes the U.S.Read NextMar 3, 2026 •By Dave KovaleskiShould You Go Global or Look to Emerging Markets?Feb 23, 2026 •By Katie BrockmanBetter Global ETF Buy: Can Investors Earn More with IEFA or SPGM?Feb 14, 2026 •By Jake LerchGlobal ETFs: IXUS Offers Lower Fees and Higher Yield, While SPGM Has Scored Bigger ReturnsFeb 12, 2026 •By Sarah SidlowSPGM vs. NZAC: Is ESG Investing Worth It?Feb 8, 2026 •By Adé HennisHow Does IEMG's Emerging Markets Potential Compare to SPGM's Global Exposure?Feb 8, 2026 •By Adé HennisIEFA vs. SPGM: Does This Developed Markets ETF Have the Edge Over A Global ETF?About the AuthorEric Trie is a Motley Fool contributing stock analyst covering technology and semiconductors, healthcare, financial services, and consumer sectors. Previously, he worked in investment analysis and financial writing. He holds a B.A. in Philosophy from Rutgers University. Eric lives in New York City and is an avid sports fan.CMFIdeaMachineStocks MentionedSPDR Portfolio MSCI Global Stock Market ETFNYSEMKT: SPGM$78.28(-0.90%)-$0.71Vanguard Total International Stock ETFNASDAQ: VXUS$78.72(-2.02%)-$1.62*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.