VT tracks the FTSE Global All Cap Index and holds thousands of stocks across developed and emerging markets, weighted by market capitalization. The United States makes up roughly 60 percent of the fund, with the rest split between international developed markets and emerging markets. These weights change automatically as relative market values shift. VT covers large, mid and small-cap companies in one fund, so it can serve as a complete equity allocation without choosing separate US and international funds. Currency risk is not hedged, so returns are affected by moves in foreign currencies against the US dollar. Compared with US-only funds such as VTI, VT has more exposure to Europe, Japan and emerging markets.
