ETF Versus

IAU vs VUG

iShares Gold Trust vs Vanguard Growth Index Fund ETF Shares

Last updated: 2026-04-10

IAU

iShares Gold Trust (IAU) is an exchange-traded fund that provides exposure to gold securities. It charges a moderate expense ratio of 0.25%. Launched in 2005, the fund has a 21-year track record.

AUM: $73.9B ER: 0.25% Yield: N/A Since: Jan 21, 2005
VUG

Vanguard Growth Index Fund ETF Shares (VUG) is an exchange-traded fund that provides exposure to large-cap U.S. growth stocks with above-average earnings potential. It charges a very low expense ratio of 0.03%. The fund offers a modest dividend yield of 0.43%. Launched in 2004, the fund has a 22-year track record.

AUM: $193.7B ER: 0.03% Yield: 0.43% Since: Jan 26, 2004

Quick Verdict

VUG is significantly cheaper at 0.03% vs 0.25% expense ratio, saving you approximately $435 per $10,000 invested over 10 years. Over the past year, IAU has significantly outperformed with a 50.0% return vs 30.1%.

Key Metrics

Metric IAU VUG
Expense Ratio 0.25% 0.03%
Dividend Yield N/A 0.4%
Fund Family N/A N/A
Category Gold US Large Cap Growth

Performance Chart

Indexed to 100 at start (5-year comparison)

75 122 169 216 263 310 2021-04 2022-07 2023-10 2024-12 2026-04
IAU +171.9%
VUG +68.9%

Performance Comparison

Period IAU VUG Difference
1 Month -8.03% -0.86% -7.17%
3 Months +3.73% -6.70% +10.43%
6 Months +15.87% -4.19% +20.06%
YTD +10.00% -5.49% +15.49%
1 Year +50.01% +30.07% +19.94%
3 Years +136.17% +86.72% +49.45%
5 Years +171.88% +68.85% +103.03%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period IAU Fees VUG Fees You Save
$10,000 10 years $495 $60 $435
$10,000 20 years $2,111 $258 $1,853
$10,000 30 years $6,758 $835 $5,923
$50,000 10 years $2,473 $299 $2,173
$50,000 30 years $33,792 $4,176 $29,616
$100,000 30 years $67,584 $8,352 $59,232

Risk Metrics

Based on 5 years of daily returns

Metric IAU VUG
Annualized Volatility 17.7% 22.2%
Max Drawdown -20.9% -36.0%
Sharpe Ratio 0.97 0.38

Dividend Comparison

Metric IAU VUG
Annual Dividend (per share) $0.00 $1.99
Dividend Yield 0.00% 0.43%
Distribution Frequency None Quarterly

Top Holdings

VUG Top Holdings

NameWeight
NVIDIA CorporationNVDA12.82%
Apple Inc.AAPL12.23%
Microsoft CorporationMSFT9.15%
Alphabet Inc.GOOG4.49%
Meta Platforms, Inc.META4.44%
Amazon.com, Inc.AMZN4.41%
Broadcom Inc.AVGO3.95%
Tesla, Inc.TSLA3.58%
Eli Lilly and CompanyLLY2.82%

Which One Should You Choose?

Choose VUG if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose IAU if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

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