Author Topic: VTI vs. VUN (Canadian Investor)  (Read 479 times)

max9505672

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VTI vs. VUN (Canadian Investor)
« on: December 26, 2018, 02:22:23 PM »
Guys,

I am a canadian investor owning both VTI (USD) and VUN (CAD). Both are pretty much 100% US equity and I am wondering why there are not always following each other. For example, today :

VTI is +4.81%
VUN is -2.60%

Which is always 7.5% difference. I know this is very very very short term analysis, and that the longer period I check, the closer they get (for example 3 months both are +/- at -16.3%), but I can't understand why they can be so far away on the same day? Is is the currency?

Thanks

Greenway52

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Re: VTI vs. VUN (Canadian Investor)
« Reply #1 on: December 26, 2018, 02:43:08 PM »
VUN is not treading today, only VTI is. NYSE is open today, but the TSX is closed for boxing day. The -2.60% reduction you see for VUN is for December 24th. VTI went up by 4.81% today since the NYSE was open.

max9505672

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Re: VTI vs. VUN (Canadian Investor)
« Reply #2 on: December 26, 2018, 03:33:11 PM »
VUN is not treading today, only VTI is. NYSE is open today, but the TSX is closed for boxing day. The -2.60% reduction you see for VUN is for December 24th. VTI went up by 4.81% today since the NYSE was open.
Thanks! Sorry, I didn't notice..

GreatLaker

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Re: VTI vs. VUN (Canadian Investor)
« Reply #3 on: December 27, 2018, 06:15:13 PM »
Currency fluctuations also play a part in the difference. VTI is priced in US$ and VUN is priced in C$ so you will have to convert to one currency to accurately compare them.

When compared in common currency VUN will trail VTI slightly over the long term because of its higher MER and the impact of foreign withholding taxes.