VGHAX vs VONG
Vanguard Health Care Fund Admiral Shares vs Vanguard Russell 1000 Growth ETF
Which is better, VGHAX or VONG?
Each has led over a different period.
VONG has a lower expense ratio. VGHAX led over 1Y, VONG 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 | VGHAX | VONG |
|---|---|---|
| Expense Ratio | 0.27% | 0.06%Best |
| AUM | $32.8B | $45.9B |
| Dividend Yield | 6.15% | 0.46% |
| Holdings | 109 | 374 |
| YTD Price Return | +1.16% | +7.72%Best |
| 1Y Price Return | +8.84%Best | +8.49% |
| 3Y Price Return (annualized) | +0.32% | +22.74%Best |
| 5Y Price Return (annualized) | -2.18% | +12.83%Best |
| Volatility (annualized) | 15.3%Best | 18.9% |
| Max Drawdown | -32.7%Best | -33.2% |
| $10,000 over 5 years | $8,956 | $18,286Best |
| Fund Family | Vanguard (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Growth |
| Inception | Nov 12, 2001 | Sep 20, 2010 |
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 VONG 0.46% on top.
Volatility and max drawdown are measured over the window both funds cover: Oct 14, 2021 to Oct 12, 2026 (5 years).
VGHAX vs VONG 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 VONG Performance
Vanguard Health Care Fund Admiral Shares (VGHAX) is a mutual fund from Vanguard (US) and Vanguard Russell 1000 Growth ETF (VONG) is an ETF from Vanguard (US). Over the past year VGHAX returned +8.84% while VONG returned +8.49%. Year to date, VGHAX is up 1.16% versus a gain of 7.72% for VONG.
Over three years, VGHAX compounded at +0.32% per year against +22.74% for VONG; over five years the annualized figures are -2.18% and +12.83% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VONG has been the more volatile fund, with annualized monthly volatility of 18.9% compared with 15.3% for VGHAX. 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 -33.2% for VONG. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.42. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VGHAX charges 0.27% per year while VONG 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 0.46% for VONG.
Structure and taxes
VGHAX is a mutual fund and VONG 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
At least 4.0% of VONG's money is in holdings VGHAX also owns.
Stated as a floor: for VGHAX, our book for it covers 92.5% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
VONG and VGHAX share little of their money.
12 positions in common, counted across the 77 positions we hold weights for in VGHAX and 368 in VONG, against full books of 109 and 374.
Top Shared Holdings
| Stock | Weight in VGHAX | Weight in VONG | Difference |
|---|---|---|---|
| LLYEli Lilly & Co. | 8.83% | 2.85% | 5.98% |
| ISRGIntuitive Surgical Inc. | 2.37% | 0.39% | 1.98% |
| CORCencora Inc | 2.07% | 0.18% | 1.89% |
| CAHCardinal Health Inc. | 1.77% | 0.08% | 1.69% |
| ABBVAbbvie Inc. | 1.52% | 0.11% | 1.41% |
| ALNYAlnylam Pharmaceuticals Inc. | 1.36% | 0.09% | 1.27% |
| RVMDRevolution Medicines Inc | 1.01% | 0.11% | 0.90% |
| DXCMDexcom Inc. | 1.01% | 0.10% | 0.91% |
| IONSIonis Pharmaceuticals Inc | 0.92% | 0.02% | 0.90% |
| MDGLMadrigal Pharmaceuticals Inc | 0.72% | 0.03% | 0.69% |
You are not choosing between two funds in isolation.
Whichever of VGHAX and VONG 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 VONG?
VGHAX has an expense ratio of 0.27% while VONG charges 0.06%. VONG is the cheaper option, by $21 a year on a $10,000 investment.
Which performed better, VGHAX or VONG?
Over the past year VGHAX returned +8.84% vs +8.49% for VONG, so VGHAX leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VGHAX or VONG?
VONG has been the more volatile fund at 18.9% annualized versus 15.3% for VGHAX. Worst drawdown: VGHAX -32.7% vs VONG -33.2%.
Should I hold both VGHAX and VONG?
VGHAX and VONG have a monthly-return correlation of 0.42, 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 VGHAX and VONG?
At least 4.0% of VONG's money is in holdings VGHAX also owns. Our book for VGHAX is partial, so the real figure is this or higher. They hold 12 positions in common, counted across the 77 positions we hold weights for in VGHAX and 368 in VONG.
Which pays a higher dividend, VGHAX or VONG?
VGHAX yields 6.15% while VONG yields 0.46%, so VGHAX currently pays the higher dividend yield.
Is it better to hold VGHAX or VONG in a taxable account?
VONG 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 VONG better than VGHAX?
VONG has a lower expense ratio. VGHAX led over 1Y, VONG 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.