VB vs VUG
Vanguard Morningstar Small-Cap ETF vs Vanguard Morningstar Growth ETF
Which is better, VB or VUG?
Small Cap Blend against Large Cap Growth.
VB led over 1Y, VUG over 3Y, 5Y and the full window. VB is less concentrated, with 4.3% of the fund in its ten largest positions against 63.6%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | VB | VUG |
|---|---|---|
| Expense Ratio | 0.03%Tie | 0.03%Tie |
| AUM | $79.7B | $219.5B |
| Dividend Yield | 1.21% | 0.38% |
| Holdings | 1,319 | 146 |
| YTD Return | +11.98%Best | +9.37% |
| 1Y Return | +15.45%Best | +12.52% |
| 3Y Return (annualized) | +15.91% | +23.86%Best |
| 5Y Return (annualized) | +7.03% | +12.49%Best |
| Volatility (annualized) | 18.9% | 16.5%Best |
| Max Drawdown | -61.0% | -51.4%Best |
| $10,000 over 5 years | $14,045 | $18,012Best |
| Top 10 Weight | 4.3%Best | 63.6% |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Growth |
| Inception | Jan 26, 2004 | Jan 26, 2004 |
Volatility and max drawdown are measured over the window both funds cover: Jan 30, 2004 to Sep 17, 2026 (22.6 years).
VB vs VUG growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 22.6 years both funds cover.
VB vs VUG Performance
Vanguard Morningstar Small-Cap ETF (VB) is an ETF from Vanguard (US) and Vanguard Morningstar Growth ETF (VUG) is an ETF from Vanguard (US). Over the past year VB returned +15.45% while VUG returned +12.52%. Year to date, VB is up 11.98% versus a gain of 9.37% for VUG.
Over three years, VB compounded at +15.91% per year against +23.86% for VUG; over five years the annualized figures are +7.03% and +12.49% respectively. Across the full 23-year window we track, VUG has the edge at +11.19% annualized vs +8.57%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VB has been the more volatile fund, with annualized monthly volatility of 18.9% compared with 16.5% for VUG. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -61.0% for VB and -51.4% for VUG. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.84. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VB charges 0.03% per year while VUG charges 0.03%. On a $10,000 position that is $3 vs $3 annually. On income, VB currently yields 1.21% against 0.38% for VUG.
Holdings Overlap
1.6% of VB's money is in holdings VUG also owns. 0.5% of VUG's money is in holdings VB also owns.
VB and VUG share little of their money.
12 positions in common, counted across the 1,302 positions we hold weights for in VB and 147 in VUG, against full books of 1,319 and 146.
What only one of them owns
Our book lists 134 positions for VUG that do not appear in our book for VB (99.3% of the fund), and 1,233 for VB that do not appear in VUG (92.4%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in VB | Weight in VUG | Difference |
|---|---|---|---|
| ALABAstera Labs Inc - Common | 0.45% | 0.08% | 0.37% |
| EQTEQT Corp. | 0.20% | 0.04% | 0.16% |
| TPLTexas Pacific Land Trust | 0.15% | 0.05% | 0.10% |
| INSMInsmed Inc | 0.14% | 0.05% | 0.09% |
| ASTSAst Spacemobile Inc Class A | 0.15% | 0.04% | 0.11% |
| FSLRFirst Solar, Inc | 0.14% | 0.04% | 0.10% |
| BURLBurlington Stores Inc | 0.12% | 0.05% | 0.07% |
| TKOTko Group Holdings Inc | 0.07% | 0.03% | 0.04% |
| CSGPCostar Group Inc. | 0.07% | 0.03% | 0.04% |
| LULULululemon Athletica, Inc | 0.07% | 0.03% | 0.04% |
You are not choosing between two funds in isolation.
Whichever of VB and VUG you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, VB or VUG?
VB has an expense ratio of 0.03% while VUG charges 0.03%. At the precision these are quoted to, they cost the same.
Which performed better, VB or VUG?
Over the past year VB returned +15.45% vs +12.52% for VUG, so VB leads on 1-year performance. Over the longest common window we track (23 years), VB annualized +8.57% vs +11.19% for VUG. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VB or VUG?
VB has been the more volatile fund at 18.9% annualized versus 16.5% for VUG. Worst drawdown: VB -61.0% vs VUG -51.4%.
Should I hold both VB and VUG?
VB and VUG have a monthly-return correlation of 0.84, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between VB and VUG?
1.6% of VB's money is in holdings VUG also owns. 0.5% of VUG's is in holdings VB also owns. They hold 12 positions in common, counted across the 1,302 positions we hold weights for in VB and 147 in VUG.
Which pays a higher dividend, VB or VUG?
VB yields 1.21% while VUG yields 0.38%, so VB currently pays the higher dividend yield.
Is VUG better than VB?
VB led over 1Y, VUG over 3Y, 5Y and the full window. VB is less concentrated, with 4.3% of the fund in its ten largest positions against 63.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.