VBK vs VMLUX

Quick Verdict

VBK has a lower expense ratio. VBK delivered stronger 1-year returns. VMLUX offers more diversification with 915 holdings.

Lower Fees: VBKHigher Returns: VBKMore Diversified: VMLUX

Side-by-Side Comparison

MetricVBKVMLUXWinner
Expense Ratio0.05%0.09%
AUM$24.8B$34.1B
Dividend Yield0.57%2.89%
Holdings5617,110
YTD Return+17.71%-0.64%
1Y Return+29.45%-0.36%
3Y Return (annualized)+16.91%+0.81%
5Y Return (annualized)+5.29%-0.58%
Volatility (annualized)19.6%2.8%
Max Drawdown-59.4%-8.5%
Fund FamilyVanguard (US)Vanguard (US)
CategoryEquityTax Preferred
InceptionJan 26, 2004Feb 12, 2001

VBK vs VMLUX Performance

Vanguard Small Cap Growth ETF (VBK) is a ETF from Vanguard (US) and Vanguard Limited Term Tax-Exempt Fund admiral class (VMLUX) is a mutual fund from Vanguard (US). Over the past year VBK returned +29.45% while VMLUX returned -0.36%. Year to date, VBK is up 17.71% versus a loss of 0.64% for VMLUX.

Over three years, VBK compounded at +16.91% per year against +0.81% for VMLUX; over five years the annualized figures are +5.29% and -0.58% respectively. Across the full 5-year window we track, VBK has the edge at +9.41% annualized vs -0.58%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VBK has been the more volatile fund, with annualized monthly volatility of 19.6% compared with 2.8% for VMLUX. 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 -59.4% for VBK and -8.5% for VMLUX. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.62. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VBK charges 0.05% per year while VMLUX charges 0.09%. On a $10,000 position that is $5 vs $9 annually, a gap of $4 per year that compounds over a long holding period. On income, VBK currently yields 0.57% against 2.89% for VMLUX.

Holdings Overlap

0.0%overlap

VBK and VMLUX share 0 holdings out of 1457 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, VBK or VMLUX?

VBK has an expense ratio of 0.05% while VMLUX charges 0.09%. VBK is the cheaper option. On a $10,000 investment, that is $4 per year of difference.

Which performed better, VBK or VMLUX?

Over the past year VBK returned +29.45% vs -0.36% for VMLUX, so VBK leads on 1-year performance. Over the longest common window we track (5 years), VBK annualized +9.41% vs -0.58% for VMLUX. Past performance does not guarantee future results.

Which is riskier, VBK or VMLUX?

VBK has been the more volatile fund at 19.6% annualized versus 2.8% for VMLUX. Worst drawdown: VBK -59.4% vs VMLUX -8.5%.

Should I hold both VBK and VMLUX?

VBK and VMLUX have a monthly-return correlation of 0.62, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VBK and VMLUX?

VBK and VMLUX share 0 common holdings with a 0.0% weight overlap. Combined, they hold 1457 unique securities.

Which pays a higher dividend, VBK or VMLUX?

VBK yields 0.57% while VMLUX yields 2.89%, so VMLUX currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.

See inside every ETF you own
$29/moCancel anytime.
Try FundXLS →