VCSH vs VUG

Quick Verdict

VUG delivered stronger 1-year returns. VCSH offers more diversification with 2440 holdings.

Lower Fees: TiedHigher Returns: VUGMore Diversified: VCSH

Side-by-Side Comparison

MetricVCSHVUGWinner
Expense Ratio0.03%0.03%
AUM$44.9B$223.2B
Dividend Yield4.44%0.47%
Holdings2,719155
YTD Return+0.63%+9.57%
1Y Return+2.92%+16.51%
3Y Return (annualized)+5.50%+24.05%
5Y Return (annualized)+2.29%+13.00%
Volatility (annualized)2.6%16.5%
Max Drawdown-12.9%-51.4%
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionNov 19, 2009Jan 26, 2004

VCSH vs VUG Performance

Vanguard Short Term Corporate Bond ETF (VCSH) is a ETF from Vanguard (US) and Vanguard Growth ETF (VUG) is a ETF from Vanguard (US). Over the past year VCSH returned +2.92% while VUG returned +16.51%. Year to date, VCSH is up 0.63% versus a gain of 9.57% for VUG.

Over three years, VCSH compounded at +5.50% per year against +24.05% for VUG; over five years the annualized figures are +2.29% and +13.00% respectively. Across the full 17-year window we track, VUG has the edge at +11.25% annualized vs +1.28%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VUG has been the more volatile fund, with annualized monthly volatility of 16.5% compared with 2.6% for VCSH. 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 -12.9% for VCSH and -51.4% for VUG. 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 0.49. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VCSH charges 0.03% per year while VUG charges 0.03%. On a $10,000 position that is $3 vs $3 annually. On income, VCSH currently yields 4.44% against 0.47% for VUG.

Holdings Overlap

0.0%overlap

VCSH and VUG share 0 holdings out of 2586 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, VCSH or VUG?

VCSH has an expense ratio of 0.03% while VUG charges 0.03%. They cost the same. On a $10,000 investment, that is $0 per year of difference.

Which performed better, VCSH or VUG?

Over the past year VCSH returned +2.92% vs +16.51% for VUG, so VUG leads on 1-year performance. Over the longest common window we track (17 years), VCSH annualized +1.28% vs +11.25% for VUG. Past performance does not guarantee future results.

Which is riskier, VCSH or VUG?

VUG has been the more volatile fund at 16.5% annualized versus 2.6% for VCSH. Worst drawdown: VCSH -12.9% vs VUG -51.4%.

Should I hold both VCSH and VUG?

VCSH and VUG have a monthly-return correlation of 0.49, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VCSH and VUG?

VCSH and VUG share 0 common holdings with a 0.0% weight overlap. Combined, they hold 2586 unique securities.

Which pays a higher dividend, VCSH or VUG?

VCSH yields 4.44% while VUG yields 0.47%, so VCSH currently pays the higher dividend yield.

Get Full ETF Analytics

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