Vanguard FTSE Europe ETF leads 2025 performance with 11% gain

The Vanguard FTSE Europe ETF has emerged as the best-performing Vanguard ETF in 2025, rising about 11% year to date. This ETF focuses solely on European stocks and does not include any shares from the S&P 500 or major U.S. tech companies. In contrast, the Vanguard S&P 500 Growth ETF was the top performer in 2024, benefiting from significant gains in stocks like Nvidia and Amazon. The FTSE Europe ETF's strong performance is attributed to rising shares of several European companies, including SAP and Roche. Historically, the FTSE Europe ETF has underperformed compared to the S&P 500. It had a decline in 2024, but recent gains have shifted its position this year. Investors are advised to consider geographic diversification when evaluating their portfolios.