ETF Versus

EWJ vs VEA

iShares MSCI Japan ETF vs Vanguard FTSE Developed Markets Index Fund ETF Shares

Last updated: 2026-04-10

EWJ iShares

iShares MSCI Japan ETF (EWJ) is an exchange-traded fund issued by iShares that provides exposure to japan equity securities. It charges an above-average expense ratio of 0.49%. The fund offers a high dividend yield of 4.14%. Launched in 1996, the fund has a 30-year track record.

AUM: $19.7B ER: 0.49% Yield: 4.14% Since: Mar 12, 1996
VEA Vanguard

Vanguard FTSE Developed Markets Index Fund ETF Shares (VEA) is an exchange-traded fund issued by Vanguard that provides exposure to equities in developed international markets outside the U.S.. It charges a very low expense ratio of 0.03%. The fund offers an attractive dividend yield of 2.78%. Launched in 2007, the fund has a 19-year track record.

AUM: $217.2B ER: 0.03% Yield: 2.78% Since: Jul 20, 2007

Quick Verdict

VEA is significantly cheaper at 0.03% vs 0.49% expense ratio, saving you approximately $900 per $10,000 invested over 10 years. VEA has edged ahead over the past year (40.6% vs 37.0%). Income investors may prefer EWJ for its higher yield (4.1% vs 2.8%).

Key Metrics

Metric EWJ VEA
Expense Ratio 0.49% 0.03%
Dividend Yield 4.1% 2.8%
Fund Family iShares Vanguard
Category Japan Equity International Developed

Performance Chart

Indexed to 100 at start (5-year comparison)

70 84 98 112 126 140 2021-04 2022-07 2023-10 2025-01 2026-04
EWJ +27.1%
VEA +34.5%

Performance Comparison

Period EWJ VEA Difference
1 Month +2.66% +2.70% -0.04%
3 Months +3.19% +4.18% -0.99%
6 Months +11.00% +13.10% -2.10%
YTD +8.21% +7.02% +1.19%
1 Year +37.04% +40.64% -3.60%
3 Years +52.06% +48.42% +3.64%
5 Years +27.11% +34.49% -7.38%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period EWJ Fees VEA Fees You Save
$10,000 10 years $960 $60 $900
$10,000 20 years $4,052 $258 $3,794
$10,000 30 years $12,832 $835 $11,997
$50,000 10 years $4,799 $299 $4,499
$50,000 30 years $64,162 $4,176 $59,986
$100,000 30 years $128,324 $8,352 $119,972

Risk Metrics

Based on 5 years of daily returns

Metric EWJ VEA
Annualized Volatility 18.4% 16.5%
Max Drawdown -34.6% -32.3%
Sharpe Ratio 0.11 0.17

Dividend Comparison

Metric EWJ VEA
Annual Dividend (per share) $3.65 $1.88
Dividend Yield 4.15% 2.78%
Distribution Frequency Semi-Annual or Annual Quarterly

Top Holdings

1 of top 9 holdings overlap (11% overlap in top holdings)

EWJ Top Holdings

NameWeight
Mitsubishi UFJ Financial Group, Inc.!tyo/83064.13%
Toyota Motor Corporation!tyo/72034.07%
Hitachi, Ltd.!tyo/65012.86%
Sony Group Corporation!tyo/67582.65%
Sumitomo Mitsui Financial Group, Inc.!tyo/83162.62%
Advantest Corporation!tyo/68572.45%
Tokyo Electron Limited!tyo/80352.41%
Mitsubishi Corporation!tyo/80582.23%
Mizuho Financial Group, Inc.!tyo/84112.20%
Mitsui & Co., Ltd.!tyo/80312.00%

VEA Top Holdings

NameWeight
Samsung Electronics Co., Ltd.!krx/0059302.18%
ASML Holding N.V.!ams/ASML1.77%
SK hynix Inc.!krx/0006601.24%
Roche Holding AGROC1.L1.03%
Novartis AG!swx/NOVN1.00%
HSBC Holdings plc!lon/HSBA0.99%
AstraZeneca PLC!lon/AZN0.98%
Nestlé S.A.!swx/NESN0.86%
Toyota Motor Corporation!tyo/72030.80%

Which One Should You Choose?

Choose VEA if...

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

Choose VEA if...

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

Choose EWJ if...

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

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