VUG vs XLK
Vanguard Growth Index Fund ETF Shares vs State Street Technology Select Sector SPDR ETF
Last updated: 2026-04-10
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.
State Street Technology Select Sector SPDR ETF (XLK) is an exchange-traded fund that provides exposure to us sector - technology securities. It charges a low expense ratio of 0.08%. The fund offers a modest dividend yield of 0.54%. Launched in 1998, the fund has a 28-year track record.
Quick Verdict
VUG has a slightly lower expense ratio (0.03% vs 0.08%), saving about $99 per $10,000 over 10 years. Over the past year, XLK has significantly outperformed with a 46.2% return vs 30.1%.
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
4 of top 9 holdings overlap (44% overlap in top holdings)
VUG Top Holdings
| Name | Weight |
|---|---|
| NVIDIA CorporationNVDA | 12.82% |
| Apple Inc.AAPL | 12.23% |
| Microsoft CorporationMSFT | 9.15% |
| Alphabet Inc.GOOG | 4.49% |
| Meta Platforms, Inc.META | 4.44% |
| Amazon.com, Inc.AMZN | 4.41% |
| Broadcom Inc.AVGO | 3.95% |
| Tesla, Inc.TSLA | 3.58% |
| Eli Lilly and CompanyLLY | 2.82% |
XLK Top Holdings
| Name | Weight |
|---|---|
| NVIDIA CorporationNVDA | 15.18% |
| Apple Inc.AAPL | 13.04% |
| Microsoft CorporationMSFT | 9.54% |
| Broadcom Inc.AVGO | 5.71% |
| Micron Technology, Inc.MU | 3.83% |
| Advanced Micro Devices, Inc.AMD | 3.16% |
| Cisco Systems, Inc.CSCO | 2.76% |
| Palantir Technologies Inc.PLTR | 2.69% |
| Lam Research CorporationLRCX | 2.57% |
| Applied Materials, Inc.AMAT | 2.56% |
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 XLK if...
recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.