VDIGX vs VXF
Vanguard Dividend Growth Fund Investor Class vs Vanguard Extended Market ETF
Which is better, VDIGX or VXF?
Large Cap Blend against Mid Cap Blend.
VXF has a lower expense ratio. VXF led over 1Y, 3Y, 5Y and the full window.
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 | VDIGX | VXF |
|---|---|---|
| Expense Ratio | 0.20% | 0.05%Best |
| AUM | $35.5B | $30.5B |
| Dividend Yield | 23.10% | 1.01% |
| Holdings | 62 | 3,385 |
| YTD Price Return | -3.26% | +12.80%Best |
| 1Y Price Return | -13.57% | +12.25%Best |
| 3Y Price Return (annualized) | -2.88% | +18.61%Best |
| 5Y Price Return (annualized) | -3.40% | +5.05%Best |
| Volatility (annualized) | 15.9%Best | 20.2% |
| Max Drawdown | -32.6%Best | -36.8% |
| $10,000 over 5 years | $8,412 | $12,793Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Mid Cap Blend |
| Inception | May 15, 1992 | Dec 27, 2001 |
Not shown on this pair: Top 10 Weight.
Returns are price returns and exclude distributions, because our data feed carries no adjusted close for VDIGX. Both funds are measured the same way, so the comparison holds. VDIGX yields 23.10% and VXF 1.01% on top.
Volatility and max drawdown are measured over the window both funds cover: Sep 23, 2021 to Sep 21, 2026 (5 years).
VDIGX vs VXF 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 5 years both funds cover. Prices exclude distributions, on both funds alike.
VDIGX vs VXF Performance
Vanguard Dividend Growth Fund Investor Class (VDIGX) is a mutual fund from Vanguard (US) and Vanguard Extended Market ETF (VXF) is an ETF from Vanguard (US). Over the past year VDIGX returned -13.57% while VXF returned +12.25%. Year to date, VDIGX is down 3.26% versus a gain of 12.80% for VXF.
Over three years, VDIGX compounded at -2.88% per year against +18.61% for VXF; over five years the annualized figures are -3.40% and +5.05% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VXF has been the more volatile fund, with annualized monthly volatility of 20.2% compared with 15.9% for VDIGX. 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 -32.6% for VDIGX and -36.8% for VXF. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.68. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VDIGX charges 0.20% per year while VXF charges 0.05%. On a $10,000 position that is $20 vs $5 annually, a gap of $15 per year that compounds over a long holding period. On income, VDIGX currently yields 23.10% against 1.01% for VXF.
Structure and taxes
VDIGX is a mutual fund and VXF is an ETF. A mutual fund prices once a day at net asset value and may carry a purchase minimum. An ETF trades through the day at whatever the market pays for it.
In a taxable account the difference that usually matters is distributions. An ETF can meet redemptions in kind, so it rarely has to sell holdings and rarely passes a capital gain to the people who held it; a mutual fund that sells holdings to meet redemptions can distribute a realised gain at year end to everyone still in the fund, whether or not they sold anything themselves. In a tax-deferred account that difference largely disappears. Both are descriptions of how the two wrappers work, not a recommendation.
Tax-loss harvesting works on either wrapper.
Holdings Overlap
We hold position weights for 51 holdings in VDIGX and 3,296 in VXF, totalling 99.3% and 94.3% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 51 positions we hold weights for in VDIGX and 3,296 in VXF, against full books of 62 and 3,385.
You are not choosing between two funds in isolation.
Whichever of VDIGX and VXF 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, VDIGX or VXF?
VDIGX has an expense ratio of 0.20% while VXF charges 0.05%. VXF is the cheaper option, by $15 a year on a $10,000 investment.
Which performed better, VDIGX or VXF?
Over the past year VDIGX returned -13.57% vs +12.25% for VXF, so VXF leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VDIGX or VXF?
VXF has been the more volatile fund at 20.2% annualized versus 15.9% for VDIGX. Worst drawdown: VDIGX -32.6% vs VXF -36.8%.
Should I hold both VDIGX and VXF?
VDIGX and VXF have a monthly-return correlation of 0.68, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, VDIGX or VXF?
VDIGX yields 23.10% while VXF yields 1.01%, so VDIGX currently pays the higher dividend yield.
Is it better to hold VDIGX or VXF in a taxable account?
VXF is an ETF and VDIGX is a mutual fund. An ETF can meet redemptions in kind, so it rarely distributes a capital gain to the people holding it. A mutual fund that sells holdings to meet redemptions can pass a realised gain to every holder at year end. In a tax-deferred account that difference largely disappears. This is information, not a recommendation.
Is VXF better than VDIGX?
VXF has a lower expense ratio. VXF led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.