VGHAX vs VT
Vanguard Health Care Fund Admiral Shares vs Vanguard Total World Stock ETF
Which is better, VGHAX or VT?
Large Cap Growth against Large Cap Blend.
VT has a lower expense ratio. VT 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 | VGHAX | VT |
|---|---|---|
| Expense Ratio | 0.27% | 0.06%Best |
| AUM | $32.8B | $97.9B |
| Dividend Yield | 6.15% | 1.55% |
| Holdings | 109 | 10,133 |
| YTD Price Return | +2.42% | +13.47%Best |
| 1Y Price Return | +16.38% | +16.82%Best |
| 3Y Price Return (annualized) | +0.77% | +19.71%Best |
| 5Y Price Return (annualized) | -2.51% | +9.14%Best |
| Volatility (annualized) | 15.3% | 15.0%Best |
| Max Drawdown | -32.7% | -28.0%Best |
| $10,000 over 5 years | $8,806 | $15,485Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Blend |
| Inception | Nov 12, 2001 | Jun 24, 2008 |
Not shown on this pair: Top 10 Weight.
Returns are price returns and exclude distributions, because our data feed carries no adjusted close for VGHAX. Both funds are measured the same way, so the comparison holds. VGHAX yields 6.15% and VT 1.55% on top.
Volatility and max drawdown are measured over the window both funds cover: Sep 23, 2021 to Sep 21, 2026 (5 years).
VGHAX vs VT 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.
VGHAX vs VT Performance
Vanguard Health Care Fund Admiral Shares (VGHAX) is a mutual fund from Vanguard (US) and Vanguard Total World Stock ETF (VT) is an ETF from Vanguard (US). Over the past year VGHAX returned +16.38% while VT returned +16.82%. Year to date, VGHAX is up 2.42% versus a gain of 13.47% for VT.
Over three years, VGHAX compounded at +0.77% per year against +19.71% for VT; over five years the annualized figures are -2.51% and +9.14% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VGHAX has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 15.0% for VT. 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 -32.7% for VGHAX and -28.0% for VT. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.60. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VGHAX charges 0.27% per year while VT charges 0.06%. On a $10,000 position that is $27 vs $6 annually, a gap of $21 per year that compounds over a long holding period. On income, VGHAX currently yields 6.15% against 1.55% for VT.
Structure and taxes
VGHAX is a mutual fund and VT 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 77 holdings in VGHAX and 9,272 in VT, totalling 92.5% and 90.1% of the two funds. Neither is a share of a fund we can divide by, so no overlap percentage is shown here. Within what we can see, 61 positions appear in both.
61 positions in common, counted across the 77 positions we hold weights for in VGHAX and 9,272 in VT, against full books of 109 and 10,133.
Top Shared Holdings
| Stock | Weight in VGHAX | Weight in VT | Difference |
|---|---|---|---|
| LLYEli Lilly & Co. | 8.83% | 0.79% | 8.04% |
| MRKMerck & Company Inc | 6.05% | 0.28% | 5.77% |
| AZN:LNAstraZeneca PLC | 4.85% | 0.22% | 4.63% |
| JNJJohnson & Johnson - Common | 4.50% | 0.53% | 3.97% |
| UNHUnitedhealth Group Incorporated | 4.41% | 0.32% | 4.09% |
| GSK:LNGSK plc | 2.97% | 0.09% | 2.88% |
| CVSCvs Corp | 2.59% | 0.11% | 2.48% |
| EWEdwards Lifesciences Corp | 2.49% | 0.04% | 2.45% |
| VRTXNvaesrtex Pharmaceuticals Inc | 2.41% | 0.10% | 2.31% |
| DHRDanaher Corporation | 2.37% | 0.11% | 2.26% |
You are not choosing between two funds in isolation.
Whichever of VGHAX and VT 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, VGHAX or VT?
VGHAX has an expense ratio of 0.27% while VT charges 0.06%. VT is the cheaper option, by $21 a year on a $10,000 investment.
Which performed better, VGHAX or VT?
Over the past year VGHAX returned +16.38% vs +16.82% for VT, so VT leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VGHAX or VT?
VGHAX has been the more volatile fund at 15.3% annualized versus 15.0% for VT. Worst drawdown: VGHAX -32.7% vs VT -28.0%.
Should I hold both VGHAX and VT?
VGHAX and VT have a monthly-return correlation of 0.60, 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, VGHAX or VT?
VGHAX yields 6.15% while VT yields 1.55%, so VGHAX currently pays the higher dividend yield.
Is it better to hold VGHAX or VT in a taxable account?
VT is an ETF and VGHAX 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 VT better than VGHAX?
VT has a lower expense ratio. VT 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.