VTI vs VXUS: 15-Year Return Data and the Tax Placement Gap Most Portfolios Ignore
VTI 5Y return: +78.9% vs VXUS +51.1% — but VXUS leads on 1Y at +33.5% vs VTI +27.6%, a reversal worth interrogating.VXUS yields 2.69% vs VTI 1.03% — 2.6x higher income generates greater annual tax drag in taxable accounts.Valuation gap: VTI P/E 28.5 vs VXUS 18.7 — a 52% US premium, historically wide by post-2000 standards.Foreign tax credit from VXUS dividends is recoverable only in taxable brokerage accounts; permanently forfeited inside Roth IRA or 401(k)....