VEA vs VUG
Vanguard FTSE Developed Markets ETF vs Vanguard Morningstar Growth ETF
Which is better, VEA or VUG?
Large Cap Blend against Large Cap Growth.
VEA led over 1Y, VUG over 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 | VEA | VUG |
|---|---|---|
| Expense Ratio | 0.03%Tie | 0.03%Tie |
| AUM | $230.3B | $219.5B |
| Dividend Yield | 2.49% | 0.38% |
| Holdings | 3,886 | 146 |
| YTD Return | +13.73%Best | +9.77% |
| 1Y Return | +21.98%Best | +12.34% |
| 3Y Return (annualized) | +19.84% | +24.08%Best |
| 5Y Return (annualized) | +10.22% | +13.00%Best |
| Volatility (annualized) | 17.7% | 17.5%Best |
| Max Drawdown | -62.9% | -51.4%Best |
| $10,000 over 5 years | $16,267 | $18,424Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Jul 20, 2007 | Jan 26, 2004 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jul 26, 2007 to Sep 18, 2026 (19.1 years).
VEA 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 19.1 years both funds cover.
VEA vs VUG Performance
Vanguard FTSE Developed Markets ETF (VEA) is an ETF from Vanguard (US) and Vanguard Morningstar Growth ETF (VUG) is an ETF from Vanguard (US). Over the past year VEA returned +21.98% while VUG returned +12.34%. Year to date, VEA is up 13.73% versus a gain of 9.77% for VUG.
Over three years, VEA compounded at +19.84% per year against +24.08% for VUG; over five years the annualized figures are +10.22% and +13.00% respectively. Across the full 19-year window we track, VUG has the edge at +12.04% annualized vs +3.00%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VEA has been the more volatile fund, with annualized monthly volatility of 17.7% compared with 17.5% 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 -62.9% for VEA 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 0.80. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VEA charges 0.03% per year while VUG charges 0.03%. On a $10,000 position that is $3 vs $3 annually. On income, VEA currently yields 2.49% against 0.38% for VUG.
Holdings Overlap
At least 0.2% of VUG's money is in holdings VEA also owns.
Stated as a floor: for VEA, our book for it covers 94.2% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
2 positions in common, counted across the 3,754 positions we hold weights for in VEA and 147 in VUG, against full books of 3,886 and 146.
You are not choosing between two funds in isolation.
Whichever of VEA 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, VEA or VUG?
VEA 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, VEA or VUG?
Over the past year VEA returned +21.98% vs +12.34% for VUG, so VEA leads on 1-year performance. Over the longest common window we track (19 years), VEA annualized +3.00% vs +12.04% for VUG. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VEA or VUG?
VEA has been the more volatile fund at 17.7% annualized versus 17.5% for VUG. Worst drawdown: VEA -62.9% vs VUG -51.4%.
Should I hold both VEA and VUG?
VEA and VUG have a monthly-return correlation of 0.80, 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, VEA or VUG?
VEA yields 2.49% while VUG yields 0.38%, so VEA currently pays the higher dividend yield.
Is VUG better than VEA?
VEA led over 1Y, VUG over 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.