VWIUX vs XLV
Vanguard Intermediate Term Tax-Exempt Fund admiral class vs State Street Health Care Select Sector SPDR ETF
Which is better, VWIUX or XLV?
Municipal Bond against Large Cap Blend.
XLV has a lower expense ratio.
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 | VWIUX | XLV |
|---|---|---|
| Expense Ratio | 0.09% | 0.08%Best |
| AUM | $86.4B | $44.5B |
| Dividend Yield | 3.15% | 1.49% |
| Holdings | 16,181 | 63 |
| YTD Price Return | -3.70% | +6.33% |
| 1Y Price Return | -2.99% | +18.35% |
| 3Y Price Return (annualized) | +0.05% | +7.59% |
| 5Y Price Return (annualized) | -2.16% | +4.56% |
| Volatility (annualized) | 5.4%Best | 14.9% |
| Max Drawdown | -15.9%Best | -18.1% |
| Fund Family | Vanguard (US) | SPDR State Street Global Advisors |
| Category | Tax Preferred | Equity |
| Style | Municipal Bond | Large Cap Blend |
| Inception | Feb 12, 2001 | Dec 16, 1998 |
Not shown on this pair: $10,000 over 5 years, Top 10 Weight.
A price return is not the return of a fund that pays its income out. The coupon or distribution never appears in the price, so the return rows carry no winner here. VWIUX currently yields 3.15% and XLV 1.49%.
Volatility and max drawdown are measured over the window both funds cover: Sep 13, 2021 to Sep 11, 2026 (5 years).
VWIUX vs XLV Performance
Vanguard Intermediate Term Tax-Exempt Fund admiral class (VWIUX) is a mutual fund from Vanguard (US) and State Street Health Care Select Sector SPDR ETF (XLV) is an ETF from SPDR State Street Global Advisors. Over the past year VWIUX's price moved -2.99% and XLV's +18.35%, before the income each one paid out.
Over three years, VWIUX compounded at +0.05% per year against +7.59% for XLV; over five years the annualized figures are -2.16% and +4.56% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XLV has been the more volatile fund, with annualized monthly volatility of 14.9% compared with 5.4% for VWIUX. 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 -15.9% for VWIUX and -18.1% for XLV. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.49. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VWIUX charges 0.09% per year while XLV charges 0.08%. On a $10,000 position that is $9 vs $8 annually, a gap of $1 per year that compounds over a long holding period. On income, VWIUX currently yields 3.15% against 1.49% for XLV.
Structure and taxes
VWIUX is a mutual fund and XLV 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 1,763 holdings in VWIUX and 61 in XLV, totalling 20.1% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
The two holdings books were reported 191 days apart, VWIUX as of Jan 31, 2026 and XLV as of Aug 10, 2026, so some of the difference between them is the time between the two reports rather than the funds.
0 positions in common, counted across the 1,763 positions we hold weights for in VWIUX and 61 in XLV, against full books of 16,181 and 63.
You are not choosing between two funds in isolation.
Whichever of VWIUX and XLV 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, VWIUX or XLV?
VWIUX has an expense ratio of 0.09% while XLV charges 0.08%. XLV is the cheaper option, by $1 a year on a $10,000 investment.
Which is riskier, VWIUX or XLV?
XLV has been the more volatile fund at 14.9% annualized versus 5.4% for VWIUX. Worst drawdown: VWIUX -15.9% vs XLV -18.1%.
Should I hold both VWIUX and XLV?
VWIUX and XLV have a monthly-return correlation of 0.49, 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, VWIUX or XLV?
VWIUX yields 3.15% while XLV yields 1.49%, so VWIUX currently pays the higher dividend yield.
Is it better to hold VWIUX or XLV in a taxable account?
XLV is an ETF and VWIUX 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 XLV better than VWIUX?
XLV has a lower expense ratio. Which one suits a particular account depends on what it is for. This is information, not a recommendation.