VBK vs VUG
Vanguard Morningstar Small-Cap Growth ETF vs Vanguard Morningstar Growth ETF
Which is better, VBK or VUG?
Small Cap Growth against Large Cap Growth.
VUG has a lower expense ratio. VUG led over 1Y, 3Y, 5Y and the full window. VBK is less concentrated, with 9.5% of the fund in its ten largest positions against 63.5%.
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 | VBK | VUG |
|---|---|---|
| Expense Ratio | 0.05% | 0.03%Best |
| AUM | $22.8B | $232.9B |
| Dividend Yield | 0.41% | 0.38% |
| Holdings | 545 | 150 |
| YTD Return | +8.06% | +11.26%Best |
| 1Y Return | +9.60% | +13.79%Best |
| 3Y Return (annualized) | +16.63% | +24.86%Best |
| 5Y Return (annualized) | +3.34% | +13.11%Best |
| Volatility (annualized) | 19.5% | 16.5%Best |
| Max Drawdown | -59.4% | -51.4%Best |
| $10,000 over 5 years | $11,785 | $18,514Best |
| Top 10 Weight | 9.5%Best | 63.5% |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Small Cap Growth | Large Cap Growth |
| Inception | Jan 26, 2004 | Jan 26, 2004 |
Volatility and max drawdown are measured over the window both funds cover: Jan 30, 2004 to Oct 14, 2026 (22.7 years).
VBK 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 22.7 years both funds cover.
VBK vs VUG Performance
Vanguard Morningstar Small-Cap Growth ETF (VBK) is an ETF from Vanguard (US) and Vanguard Morningstar Growth ETF (VUG) is an ETF from Vanguard (US). Over the past year VBK returned +9.60% while VUG returned +13.79%. Year to date, VBK is up 8.06% versus a gain of 11.26% for VUG.
Over three years, VBK compounded at +16.63% per year against +24.86% for VUG; over five years the annualized figures are +3.34% and +13.11% respectively. Across the full 23-year window we track, VUG has the edge at +11.24% annualized vs +8.92%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VBK has been the more volatile fund, with annualized monthly volatility of 19.5% compared with 16.5% 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 -59.4% for VBK 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 0.88. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VBK charges 0.05% per year while VUG charges 0.03%. On a $10,000 position that is $5 vs $3 annually, a gap of $2 per year that compounds over a long holding period. On income, VBK currently yields 0.41% against 0.38% for VUG.
Holdings Overlap
2.9% of VBK's money is in holdings VUG also owns. 0.5% of VUG's money is in holdings VBK also owns.
VBK and VUG share little of their money.
11 positions in common, counted across the 542 positions we hold weights for in VBK and 146 in VUG, against full books of 545 and 150.
What only one of them owns
Our book lists 134 positions for VUG that do not appear in our book for VBK (99.3% of the fund), and 513 for VBK that do not appear in VUG (91.0%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in VBK | Weight in VUG | Difference |
|---|---|---|---|
| ALABAstera Labs Inc - Common | 0.66% | 0.08% | 0.58% |
| INSMInsmed Inc | 0.38% | 0.06% | 0.32% |
| TPLTexas Pacific Land Trust | 0.32% | 0.05% | 0.27% |
| FSLRFirst Solar, Inc | 0.30% | 0.04% | 0.26% |
| BURLBurlington Stores Inc | 0.24% | 0.04% | 0.20% |
| EQTEQT Corp. | 0.24% | 0.04% | 0.20% |
| ASTSAst Spacemobile Inc Class A | 0.24% | 0.03% | 0.21% |
| CSGPCostar Group Inc. | 0.19% | 0.04% | 0.15% |
| MKLMarkel Group Inc | 0.14% | 0.06% | 0.08% |
| TKOTko Group Holdings Inc | 0.16% | 0.03% | 0.13% |
You are not choosing between two funds in isolation.
Whichever of VBK 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, VBK or VUG?
VBK has an expense ratio of 0.05% while VUG charges 0.03%. VUG is the cheaper option, by $2 a year on a $10,000 investment.
Which performed better, VBK or VUG?
Over the past year VBK returned +9.60% vs +13.79% for VUG, so VUG leads on 1-year performance. Over the longest common window we track (23 years), VBK annualized +8.92% vs +11.24% for VUG. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VBK or VUG?
VBK has been the more volatile fund at 19.5% annualized versus 16.5% for VUG. Worst drawdown: VBK -59.4% vs VUG -51.4%.
Should I hold both VBK and VUG?
VBK and VUG have a monthly-return correlation of 0.88, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between VBK and VUG?
2.9% of VBK's money is in holdings VUG also owns. 0.5% of VUG's is in holdings VBK also owns. They hold 11 positions in common, counted across the 542 positions we hold weights for in VBK and 146 in VUG.
Which pays a higher dividend, VBK or VUG?
VBK yields 0.41% while VUG yields 0.38%, so VBK currently pays the higher dividend yield.
Is VUG better than VBK?
VUG has a lower expense ratio. VUG led over 1Y, 3Y, 5Y and the full window. VBK is less concentrated, with 9.5% of the fund in its ten largest positions against 63.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.