VDC vs XLP
Vanguard Consumer Staples Index Fund ETF Shares vs State Street Consumer Staples Select Sector SPDR ETF
Last updated: 2026-04-10
Vanguard Consumer Staples Index Fund ETF Shares (VDC) is an exchange-traded fund issued by Vanguard that provides exposure to us sector - consumer staples securities. It charges a low expense ratio of 0.09%. The fund offers a moderate dividend yield of 2.12%. Launched in 2004, the fund has a 22-year track record.
State Street Consumer Staples Select Sector SPDR ETF (XLP) is an exchange-traded fund issued by SPDR that provides exposure to us sector - consumer staples securities. It charges a low expense ratio of 0.08%. The fund offers an attractive dividend yield of 2.63%. Launched in 1998, the fund has a 28-year track record.
Quick Verdict
Both funds have nearly identical expense ratios (0.08% vs 0.09%), so fees are not a differentiator here. VDC has edged ahead over the past year (6.1% vs 4.3%). Income investors may prefer XLP for its higher yield (2.6% vs 2.1%).
Key Metrics
Performance Chart
Indexed to 100 at start (5-year comparison)
Performance Comparison
Fee Impact Over Time
Estimated fee cost difference assuming 8% annual returns
Risk Metrics
Based on 5 years of daily returns
Dividend Comparison
Top Holdings
9 of top 10 holdings overlap (90% overlap in top holdings)
VDC Top Holdings
| Name | Weight |
|---|---|
| Walmart Inc.WMT | 14.89% |
| Costco Wholesale CorporationCOST | 11.61% |
| The Procter & Gamble CompanyPG | 9.85% |
| The Coca-Cola CompanyKO | 8.22% |
| PepsiCo, Inc.PEP | 4.62% |
| Philip Morris International Inc.PM | 4.48% |
| Altria Group, Inc.MO | 3.55% |
| Mondelez International, Inc.MDLZ | 2.47% |
| Colgate-Palmolive CompanyCL | 2.38% |
| Monster Beverage CorporationMNST | 1.98% |
XLP Top Holdings
| Name | Weight |
|---|---|
| Walmart Inc.WMT | 12.01% |
| Costco Wholesale CorporationCOST | 9.72% |
| The Procter & Gamble CompanyPG | 7.23% |
| The Coca-Cola CompanyKO | 6.42% |
| Philip Morris International Inc.PM | 5.32% |
| Mondelez International, Inc.MDLZ | 4.79% |
| Altria Group, Inc.MO | 4.57% |
| PepsiCo, Inc.PEP | 4.57% |
| Colgate-Palmolive CompanyCL | 4.31% |
| Target CorporationTGT | 3.70% |
Which One Should You Choose?
Choose XLP if...
you prioritize dividend income and want higher regular distributions from your portfolio.
Either works if...
you just need broad us sector - consumer staples exposure. Both are solid options — pick whichever your brokerage offers commission-free.