Vanguard FTSE Developed Markets ETF (VEA) ETF

Technical Score (1D)

BULLISH

News Sentiment

BULLISH

What's happening to VEA today?

The VEA ETF was reported to have holdings in Roche (RHHBY) and Shell (SHEL) on October 14. On October 13, Roche announced a $100 million upfront payment to China‑based Rona Therapeutics for full ownership of an experimental RNA interference drug targeting ALK7, with the agreement potentially exceeding $1 billion if development, regulatory and commercial milestones are met. The same day Roche entered into an exclusive worldwide licensing agreement with Rona for the investigational ALK7‑targeting RNAi therapy for obesity and metabolic diseases, allowing Roche to develop and commercialise the candidate globally while Rona could earn up to $1.16 billion in milestone payments. On October 13, Shell plc raised its third‑quarter 2026 Integrated Gas production guidance while keeping LNG liquefaction, refinery utilisation and chemicals plant run‑rates on track, signalling stronger operational momentum in core hydrocarbons. The same day Shell shares closed at $102.99, up 1.38%, outperforming the S&P 500 and reflecting confidence in the company’s financial outlook ahead of the October 29 earnings release. Earlier in the week, analysts had projected a 74.73 % earnings‑per‑share jump to $3.25 and a 31.67 % revenue rise to $92.71 billion for the quarter, with year‑to‑date consensus estimates forecasting earnings of $11.51 per share and revenue of $379.46 billion. Shell also attracted attention for its dividend quality, achieving a 3.88 % yield that outperformed many peers while maintaining a conservative payout ratio that supports long‑term dividend sustainability.

News Sentiment Analysis

Sentiment gathered from recent headlines

57/100

Strong NegativeNeutralStrong Positive

MODERATELY BULLISH

Recent News Coverage (Top ETF Holdings)

ETF: VEA

0+ articles

Last updated: February 15, 2026

VEA ETF: Investment Factors

The Vanguard FTSE Developed Markets ETF (VEA) is structured as an index fund, aiming to replicate the FTSE Developed All Cap ex U.S. Index. This approach involves investing primarily in the stocks that constitute the index, maintaining a weighting structure that mirrors the index's composition. The ETF provides broad exposure to developed markets, offering diversification across various countries and sectors outside of the United States.

VEA's portfolio includes a significant allocation to large-, mid-, and small-cap companies in Canada, Europe, and the Pacific region. The top holdings, such as Nestlé SA and ASML Holding NV, represent a concentrated portion of the fund's assets. This structure allows investors to gain exposure to a wide range of international equities while maintaining a focus on developed markets.

Index Replication

VEA's investment strategy centers on replicating the performance of the FTSE Developed All Cap ex U.S. Index. The fund achieves this by investing in the stocks that comprise the index, in proportions that closely match their respective weightings.

This index-tracking approach is designed to provide investors with a cost-effective way to gain exposure to a diversified portfolio of developed market equities. The fund's objective is to mirror the index's performance, offering a transparent and straightforward investment strategy.

The ETF's structure allows for efficient diversification across a broad range of international companies, providing a convenient tool for investors seeking exposure to global markets.

Holdings Overview

VEA's portfolio is composed of approximately 3,957 common stocks, offering broad diversification across developed markets. The top holdings include companies like Nestlé SA, ASML Holding NV, and Novo Nordisk A/S.

The concentration in top holdings provides insight into the fund's largest exposures and potential sector biases.

The fund's holdings are weighted by market capitalization, which means that larger companies have a greater influence on the fund's performance.

Sector Exposure

VEA's holdings span various sectors, providing diversified exposure to the global economy. The fund's groups include pharma and semiconductors, indicating exposure to these specific industries.

The presence of pharma and semiconductor companies among the top holdings suggests a potential sensitivity to industry-specific trends and developments.

Understanding the sector composition is crucial for assessing the fund's risk profile and aligning it with investment objectives.

Trading Dynamics

Therefore, an assessment of these factors is not possible.

Liquidity is a critical factor for investors, especially those who trade frequently. High liquidity typically results in tighter bid-ask spreads and lower trading costs.

Without data on trading volume and bid-ask spreads, it is impossible to evaluate the ease with which investors can buy or sell shares of VEA.

Portfolio Role

VEA can serve as a core holding in a globally diversified portfolio, providing broad exposure to developed markets. Its index-tracking approach offers a cost-effective way to gain international equity exposure.

The ETF's diversification across various countries and sectors can help reduce overall portfolio risk. Investors can use VEA to complement their domestic equity holdings.

Consider VEA as a building block for long-term investment strategies, providing access to a wide range of international companies.

Positioning VEA

VEA's broad market exposure makes it a suitable core holding for investors seeking international diversification. Consider allocating a portion of your portfolio to VEA to gain exposure to developed markets. Evaluate your current international equity allocation and determine if VEA aligns with your overall investment strategy. Regularly review your VEA holdings and rebalance as needed to maintain your desired asset allocation.

What Influences VEA?

VEA offers exposure to developed international markets, making it sensitive to global economic trends and currency fluctuations. Its performance hinges on the health of economies in Europe, Japan, and other developed regions, as well as the relative strength of the U.S. dollar.

Holdings Concentration

VEA's top holdings, including Nestle, ASML, and Novo Nordisk, significantly influence its performance. The fund's returns are sensitive to the performance of these key companies and the sectors they represent, such as consumer staples, technology, and healthcare.

Positive earnings surprises or strong growth prospects in these top holdings can drive the ETF higher, while negative news or sector-specific downturns can weigh on its returns.

Index Methodology

VEA tracks the FTSE Developed All Cap ex U.S. Index, a market-cap-weighted index. This methodology means the ETF's performance is closely tied to the largest companies within the index.

Changes in the index composition, such as the addition or removal of companies, or shifts in the relative weights of existing holdings, will directly impact VEA's returns.

Global Economic Growth

Economic growth in developed markets, particularly in Europe and Japan, is a primary driver of VEA's performance. Strong economic data, such as rising GDP, increasing industrial production, and positive consumer sentiment, can boost investor confidence and drive up the value of the ETF.

Conversely, economic slowdowns, recessions, or geopolitical instability in these regions can lead to declines in VEA's value.

Key insight: VEA's performance is closely tied to the economic health of developed markets and the performance of its top holdings. Monitoring global economic trends and company-specific news is crucial for understanding the ETF's potential.

Key Metrics for VEA

These factors influence the ETF's ability to track its benchmark and provide efficient exposure to developed markets.

Tracking Error: This measures how closely VEA mirrors the FTSE Developed All Cap ex U.S. Index. A low tracking error indicates effective index replication. Monitor for any widening, which could signal increased expense drag or trading inefficiencies within the ETF.

Holdings Concentration: Examine the weight of top holdings like Nestlé and ASML. High concentration can amplify the impact of individual stock performance on the ETF. Changes in top holdings or their weights warrant attention, as they can shift the fund's risk profile.

Trading Volume: Assess VEA's average daily trading volume to gauge liquidity and potential trading costs. Higher volume generally indicates tighter bid-ask spreads and lower transaction costs. Reduced volume may lead to wider spreads, increasing the cost of buying or selling shares.

Expense Ratio: The expense ratio is a critical factor influencing VEA's net returns. A lower expense ratio means more of the fund's returns are passed on to investors. Compare VEA's expense ratio to similar ETFs to assess its competitiveness and potential fee drag.

Sector Allocation: Monitor the ETF's sector allocations, particularly its exposure to sectors like Pharma and Semiconductors. Significant shifts in sector weights can alter the fund's risk-reward profile. Changes in sector allocations can reflect shifts in the underlying index or active management decisions.

52-Week Range: Track the ETF's 52-week high and low to understand its volatility and potential risk. A wider range suggests higher price fluctuations. Comparing the current price to the 52-week range can provide context for assessing value and potential entry or exit points.

Risk Factors to Monitor

VEA's performance is subject to risks inherent in international developed markets, including currency fluctuations and geopolitical instability. The fund's diversified holdings across various sectors and countries mitigate some risks, but concentration in certain holdings and sectors remains a factor.

Concentration in Top Holdings
The fund's performance is sensitive to the performance of its top holdings, such as Nestlé, ASML, and Novo Nordisk. If these companies experience significant declines due to company-specific issues or broader market corrections, the fund's overall returns could be negatively impacted. This risk is amplified if the concentration of these top holdings increases over time.
Currency Exchange Rate Risk
VEA's returns are affected by fluctuations in currency exchange rates between the U.S. dollar and the currencies of the developed market countries. A strengthening U.S. dollar relative to these currencies can reduce the value of the fund's foreign holdings when converted back to U.S. dollars. Conversely, a weakening dollar can boost returns. This risk is persistent and can significantly impact returns.
Sector-Specific Downturns
The fund's exposure to specific sectors, such as pharmaceuticals and semiconductors, introduces sector-specific risks. If these sectors experience a downturn due to regulatory changes, technological disruptions, or shifts in consumer demand, the fund's performance could suffer. The impact will be more pronounced if these sectors represent a significant portion of the fund's holdings.
Geopolitical Instability
Investments in developed markets are subject to geopolitical risks, including political instability, trade disputes, and armed conflicts. These events can disrupt economic activity, impact investor confidence, and lead to market volatility. The fund's exposure to countries with heightened geopolitical risks could result in significant losses.
Tracking Error and Index Drift
The fund aims to track the FTSE Developed All Cap ex U.S. Index, but tracking error can arise due to factors like fund expenses, trading costs, and the fund's ability to fully replicate the index. If the fund's expense ratio is high, it can lead to a greater tracking error. This risk is persistent and can lead to underperformance relative to the index.
Interest Rate Sensitivity
If the fund holds a significant amount of debt securities, rising interest rates in developed markets could negatively impact the value of these holdings. This would lead to a decline in the fund's net asset value. The sensitivity to interest rate changes depends on the duration and credit quality of the debt securities held.

Frequently Asked Questions

What does the VEA ETF track?

VEA aims to mirror the performance of the FTSE Developed All Cap ex U.S. Index. This index includes stocks from developed markets outside of the United States. The ETF's holdings are weighted by market capitalization, reflecting the relative size of each company.

What is the structure of the VEA ETF?

VEA is structured as an exchange-traded fund, designed to provide investors with exposure to a diversified portfolio of international stocks. The fund attempts to replicate the index by holding a substantial portion of the index's components. This structure allows for intraday trading and transparency in holdings.

What are the top holdings in VEA?

VEA's top holdings include companies like Nestlé SA, ASML Holding NV, and Novo Nordisk A/S. These represent a significant portion of the fund's overall portfolio.

What is the expense ratio for VEA?

The expense ratio for VEA represents the annual fees charged to manage the fund. This ratio is a key factor in evaluating the ETF's cost-effectiveness.

How does VEA compare to other international ETFs?

VEA provides broad exposure to developed markets, which differentiates it from ETFs focused on specific countries or regions. Its performance can be compared to other international ETFs, considering factors like expense ratios, tracking error, and investment strategy. Reviewing the underlying indexes is crucial for comparison.

What are the potential risks of investing in VEA?

Investing in VEA carries risks associated with international markets, including currency fluctuations and geopolitical instability. The fund's performance is subject to the economic conditions of the countries represented in its index. Diversification across many developed markets may help mitigate some risks.

How liquid is the VEA ETF?

VEA's liquidity is reflected in its trading volume and the bid-ask spread. High trading volume generally indicates greater liquidity, making it easier to buy or sell shares.

How has VEA performed historically?

Historical performance of VEA can be evaluated by examining its returns over various time periods. Past performance does not guarantee future results.

What sectors does VEA focus on?

VEA's sector exposure is determined by the composition of the FTSE Developed All Cap ex U.S. Index. The fund provides exposure to various sectors, including financials, healthcare, and consumer staples. The sector allocation can influence the fund's performance based on market trends.

How volatile is VEA?

The volatility of VEA can be assessed by examining its price fluctuations over time. Factors such as market conditions and the underlying holdings can influence volatility.

News Sentiment Analysis

Sentiment gathered from recent headlines

57/100

Strong NegativeNeutralStrong Positive

MODERATELY BULLISH

Recent News Coverage (Top ETF Holdings)

ETF: VEA

0+ articles

Last updated: February 15, 2026

VEA ETF: Investment Factors

Index Replication

The ETF's structure allows for efficient diversification across a broad range of international companies, providing a convenient tool for investors seeking exposure to global markets.

Holdings Overview

The concentration in top holdings provides insight into the fund's largest exposures and potential sector biases.

The fund's holdings are weighted by market capitalization, which means that larger companies have a greater influence on the fund's performance.

Sector Exposure

VEA's holdings span various sectors, providing diversified exposure to the global economy. The fund's groups include pharma and semiconductors, indicating exposure to these specific industries.

The presence of pharma and semiconductor companies among the top holdings suggests a potential sensitivity to industry-specific trends and developments.

Understanding the sector composition is crucial for assessing the fund's risk profile and aligning it with investment objectives.

Trading Dynamics

Therefore, an assessment of these factors is not possible.

Liquidity is a critical factor for investors, especially those who trade frequently. High liquidity typically results in tighter bid-ask spreads and lower trading costs.

Without data on trading volume and bid-ask spreads, it is impossible to evaluate the ease with which investors can buy or sell shares of VEA.

Portfolio Role

The ETF's diversification across various countries and sectors can help reduce overall portfolio risk. Investors can use VEA to complement their domestic equity holdings.

Consider VEA as a building block for long-term investment strategies, providing access to a wide range of international companies.

Positioning VEA

What Influences VEA?

Holdings Concentration

Positive earnings surprises or strong growth prospects in these top holdings can drive the ETF higher, while negative news or sector-specific downturns can weigh on its returns.

Index Methodology

VEA tracks the FTSE Developed All Cap ex U.S. Index, a market-cap-weighted index. This methodology means the ETF's performance is closely tied to the largest companies within the index.

Changes in the index composition, such as the addition or removal of companies, or shifts in the relative weights of existing holdings, will directly impact VEA's returns.

Global Economic Growth

Conversely, economic slowdowns, recessions, or geopolitical instability in these regions can lead to declines in VEA's value.

Key Metrics for VEA

These factors influence the ETF's ability to track its benchmark and provide efficient exposure to developed markets.

Risk Factors to Monitor

Concentration in Top Holdings
The fund's performance is sensitive to the performance of its top holdings, such as Nestlé, ASML, and Novo Nordisk. If these companies experience significant declines due to company-specific issues or broader market corrections, the fund's overall returns could be negatively impacted. This risk is amplified if the concentration of these top holdings increases over time.
Currency Exchange Rate Risk
VEA's returns are affected by fluctuations in currency exchange rates between the U.S. dollar and the currencies of the developed market countries. A strengthening U.S. dollar relative to these currencies can reduce the value of the fund's foreign holdings when converted back to U.S. dollars. Conversely, a weakening dollar can boost returns. This risk is persistent and can significantly impact returns.
Sector-Specific Downturns
The fund's exposure to specific sectors, such as pharmaceuticals and semiconductors, introduces sector-specific risks. If these sectors experience a downturn due to regulatory changes, technological disruptions, or shifts in consumer demand, the fund's performance could suffer. The impact will be more pronounced if these sectors represent a significant portion of the fund's holdings.
Geopolitical Instability
Investments in developed markets are subject to geopolitical risks, including political instability, trade disputes, and armed conflicts. These events can disrupt economic activity, impact investor confidence, and lead to market volatility. The fund's exposure to countries with heightened geopolitical risks could result in significant losses.
Tracking Error and Index Drift
The fund aims to track the FTSE Developed All Cap ex U.S. Index, but tracking error can arise due to factors like fund expenses, trading costs, and the fund's ability to fully replicate the index. If the fund's expense ratio is high, it can lead to a greater tracking error. This risk is persistent and can lead to underperformance relative to the index.
Interest Rate Sensitivity
If the fund holds a significant amount of debt securities, rising interest rates in developed markets could negatively impact the value of these holdings. This would lead to a decline in the fund's net asset value. The sensitivity to interest rate changes depends on the duration and credit quality of the debt securities held.

Frequently Asked Questions

What does the VEA ETF track?

What is the structure of the VEA ETF?

What are the top holdings in VEA?

VEA's top holdings include companies like Nestlé SA, ASML Holding NV, and Novo Nordisk A/S. These represent a significant portion of the fund's overall portfolio.

What is the expense ratio for VEA?

The expense ratio for VEA represents the annual fees charged to manage the fund. This ratio is a key factor in evaluating the ETF's cost-effectiveness.

How does VEA compare to other international ETFs?

What are the potential risks of investing in VEA?

How liquid is the VEA ETF?

VEA's liquidity is reflected in its trading volume and the bid-ask spread. High trading volume generally indicates greater liquidity, making it easier to buy or sell shares.

How has VEA performed historically?

Historical performance of VEA can be evaluated by examining its returns over various time periods. Past performance does not guarantee future results.

What sectors does VEA focus on?

How volatile is VEA?

The volatility of VEA can be assessed by examining its price fluctuations over time. Factors such as market conditions and the underlying holdings can influence volatility.

VEA·Vanguard FTSE Developed Markets ETF

What's happening to VEA today?

News Sentiment Analysis

Recent News Coverage (Top ETF Holdings)

Discover More

VEA ETF: Investment Factors

Index Replication

Holdings Overview

Sector Exposure

Trading Dynamics

Portfolio Role

Positioning VEA

What Influences VEA?

Holdings Concentration

Index Methodology

Global Economic Growth

Key Metrics for VEA

Risk Factors to Monitor

Frequently Asked Questions

News Sentiment Analysis

Recent News Coverage (Top ETF Holdings)

Discover More

VEA ETF: Investment Factors

Index Replication

Holdings Overview

Sector Exposure

Trading Dynamics

Portfolio Role

Positioning VEA

What Influences VEA?

Holdings Concentration

Index Methodology

Global Economic Growth

Key Metrics for VEA

Risk Factors to Monitor

Frequently Asked Questions