Something to take note is IWDA is now heavier in US market. Their exposure has increase quite a fair bit over the years which now i think is 64%. VWRA is 55% which indirectly investors are paying a higher tax (15%)
No, not necessarily.
The U.S. is certainly not the only jurisdiction that has a dividend tax, and a 15% rate (Ireland’s and Luxembourg’s treaty rate, as examples) certainly isn’t the highest rate.(*) Moreover, dividend taxes are only one form of taxes. Other taxes also impact the performance of the corporations, therefore their shares, therefore the funds that hold those shares, therefore the investors who hold the funds.
And, on top of all that, taxes represent only one factor, and not the most important one, determining corporate performance.
(*) Apparently Switzerland and Chile have the highest dividend withholding tax rates: 35%.