VGIT vs VUG

Quick Verdict

VUG delivered stronger 1-year returns. VUG offers more diversification with 146 holdings.

Lower Fees: TiedHigher Returns: VUGMore Diversified: VUG

Side-by-Side Comparison

MetricVGITVUGWinner
Expense Ratio0.03%0.03%
AUM$42.1B$223.2B
Dividend Yield3.84%0.47%
Holdings106155
YTD Return-0.62%+10.57%
1Y Return+1.32%+18.21%
3Y Return (annualized)+3.60%+24.26%
5Y Return (annualized)-0.12%+13.05%
Volatility (annualized)4.3%16.5%
Max Drawdown-17.2%-51.4%
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionNov 19, 2009Jan 26, 2004

VGIT vs VUG Performance

Vanguard Intermediate Term Treasury ETF (VGIT) is a ETF from Vanguard (US) and Vanguard Growth ETF (VUG) is a ETF from Vanguard (US). Over the past year VGIT returned +1.32% while VUG returned +18.21%. Year to date, VGIT is down 0.62% versus a gain of 10.57% for VUG.

Over three years, VGIT compounded at +3.60% per year against +24.26% for VUG; over five years the annualized figures are -0.12% and +13.05% respectively. Across the full 17-year window we track, VUG has the edge at +11.30% annualized vs +0.75%. 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 4.3% for VGIT. 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 -17.2% for VGIT 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 0.04. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VGIT charges 0.03% per year while VUG charges 0.03%. On a $10,000 position that is $3 vs $3 annually. On income, VGIT currently yields 3.84% against 0.47% for VUG.

Holdings Overlap

0.0%overlap

VGIT and VUG share 0 holdings out of 230 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, VGIT or VUG?

VGIT 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, VGIT or VUG?

Over the past year VGIT returned +1.32% vs +18.21% for VUG, so VUG leads on 1-year performance. Over the longest common window we track (17 years), VGIT annualized +0.75% vs +11.30% for VUG. Past performance does not guarantee future results.

Which is riskier, VGIT or VUG?

VUG has been the more volatile fund at 16.5% annualized versus 4.3% for VGIT. Worst drawdown: VGIT -17.2% vs VUG -51.4%.

Should I hold both VGIT and VUG?

VGIT and VUG have a monthly-return correlation of 0.04, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VGIT and VUG?

VGIT and VUG share 0 common holdings with a 0.0% weight overlap. Combined, they hold 230 unique securities.

Which pays a higher dividend, VGIT or VUG?

VGIT yields 3.84% while VUG yields 0.47%, so VGIT currently pays the higher dividend yield.

Get Full ETF Analytics

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

X-ray your whole portfolio
$99/yr7-day refund. ETFs, mutual funds, 401(k)s.
Get Pro →