Localfund.com - All about Fund and Investment
*Home>>>Vanguard Fund

VGTSX OR VFWIX for international fund?


I have an existing account with Vanguard and am choosing between these two funds. I have the min. $3,000 to start.

The FTSE All-World ex-US Index Fund includes Canada, but this is only ~5% of the distribution, so it is a minor consideration. The 0.25% purchase fee on this fund is a definite minus. However, the FTSE All-World ex-US Index Fund may be more tax efficient, and allow you to deduct a foreign tax credit on your income tax. I don't think the Total International Stock Index Fund allows you to use the foreign tax credit, although I am not clear on this.
Consider asking this question on the diehards forum, they are experts on this sort of subject, not this forum.
http://www.diehards.org/forum/index.php

Not much difference, except that VFWIX includes Canada.

There is a fair argument to me made to hold a little of both as your "international exposure", but if you must choose between the two, it seems like the logical choice would be the Vanguard Total Intl Stock Index (VGTSX).

This is because (under "normal" market conditions) you can reasonably expect the VGTSX fund's performance to closely mirror than of the index-tracking VFWIX, but the last three years expenses (per $10,000 invested) for VGTSX have been $103 vs $153 for VFWIX

Every little counts!

If you're going global...you don't really have to stick with an " index"...let the good managers at V make you some money with something like VHGEX...
Or just keep a phony portfolio on yahoo comparing the index funds to VHGEX for about six months...maybe three...
If you're going to keep an eye on things, there's no sense piddling along toward 6 or 8 percent when you can be going after 15 or 20 or more...( especially if you're "youngish" ..under 45 )

buy VEU the etf instead

Tags
  Venture Investment   Venture Capitalist   Venture Capital   VC Fund   Vanguard Fund   Value Investment   Trust Investment   Stock Investment
Related information
  • How do i open a Vanguard account if im not a US citizen?

    VFINX, the Vanguard S&P 500 Index fund is currently priced around $136 US. Percentage daily changes mimic the movement of the S&P 500 index which is currently about 1480. You can invest any...

  • Own A Fund Of Funds, Or Just Buy The Funds Themselves?

    I am not particularly excited about the allocation of VTIVX, so I would rather pick and choose my own allocation. That fund is way over allocated to U S stocks. Actually, the Vanguard fund that m...

  • Help picking a fund?

    Since you're already at Vanguard (a fine choice, by the way), you might find it convenient to stick with them for a 3rd choice. You have large caps and midcaps so the obvious choices to div...

  • I still have a 401k with Vanguard from the company I used to work for 2 years ago. Can I withdraw the funds?

    Yes you can withdraw money from it. Since you 30 years old, you have to understand the penalties and taxes that will come with the withdrawal. Though, I wouldn't recommend it. I would roll ...

  • Vanguard 'share' prices~ Can someone, with experience, explain the importance of the price of a share?

    Share price is determined by taking the total value of the funds assets and dividing by the number of shares. Share price reflects the number of shares and size of the fund, not the relative value ...

  • Is Scottrade a good choice for starting a Roth IRA & stock trading?

    I've been with Scottrade for ten years and I've been happy. No problems with their site or with their service. If there was a firm I thought was better, I'd be trading with them.

  • Is Scottrade any good compared to others?

    Scottrade is the least expensive as long as they can provide all the services you need. If you only want to buy Vanguard funds, you may be better off going directly through Vanguard. Margin i...

  • Do index funds pay dividends?

    Yes both of the funds will pay dividends from the stocks that pay dividends and are in the underlying indexs. The most recent yield for the vangard 500 index fund can be found here.

    ...
  •  

    Categories--Copyright/IP Policy--Contact Webmaster