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ETF Comparison

IYH vs VHT: Which Is the Better Pick in 2026?

A head-to-head comparison of iShares U.S. Healthcare ETF and Vanguard Health Care ETF covering yield, cost, risk, and income potential.

Data updated July 15, 2026

ETFs481
Total AUM$4450B

ETFs and AUM reflect what Dividend Vision tracks β€” the issuer's full lineup may be larger.

iShares is one of the largest ETF providers globally, known for offering a broad, diversified lineup of exchange-traded funds across multiple asset classes and investment strategies. The company operates 215 funds spanning 15 distinct families, including popular offerings in dividend income, covered call strategies, bonds, equities, ESG-focused investments, and factor-based approaches, with widely-held tickers like AGG (bond), ACWI (global equity), and AOA (allocation). iShares is characterized by its comprehensive fund ecosystem that serves both core portfolio holdings and specialized investment strategies, making it a prominent player for investors seeking both traditional and alternative income-generating ETF solutions.

See our curated list of related YouTube videos on IYH.

ETFs115
Total AUM$4484B

ETFs and AUM reflect what Dividend Vision tracks β€” the issuer's full lineup may be larger.

Vanguard is known for offering low-cost, passively managed ETFs that emphasize broad market exposure and long-term investing. The company operates 175 ETFs across diverse fund families including Index, Bond, Equity, Dividend, Income, International, Factor, and ESG strategies, serving investors with various goals from core portfolio building to specialized income generation. Notable for its scale and popular tickers like VB (total U.S. small-cap), BND (total bond market), and VBIAX (international bonds), Vanguard focuses on providing comprehensive, index-based investment solutions with an emphasis on cost efficiency and accessibility.

See our curated list of related YouTube videos on VHT.

Side-by-side snapshot

IYHVHT
Full nameiShares U.S. Healthcare ETFVanguard Health Care ETF
IssueriSharesVanguard
Last Close$66.74 as of July 15, 2026$298.59 as of July 15, 2026
Distribution yield0.98%1.32%
Distribution Safety Score 67100
Expense ratio0.40%0.10%
AUM$3.06B$16.8B
Distribution frequencyQuarterlyQuarterly
Underlying indexDow Jones U.S. Health Care IndexMSCI US Investable Market Health Care 25/50 Index
ObjectiveTracks the Dow Jones U.S. Health Care Index.Tracks the MSCI US Investable Market Health Care 25/50 Index.
Asset classEquityEquity
Inception date06/12/200001/26/2004
Beta0.520.57
Last dividend$0.1630$0.9870
Ex-dividend date06/15/202606/24/2026

Bottom lineIYH and VHT are nearly interchangeable β€” both track the Dow Jones Industrial Average with very similar cost and risk. The clearest tie-breaker is cost: VHT is cheaper at 0.10% vs 0.40%.

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Visual comparison

Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Total returns

IYH has lagged VHT over the trailing twelve months, posting a 19.20% total return against 21.83%. The lead holds up over 10 years too: VHT has compounded at 9.91% a year, against 9.52% for IYH. Figures are total returns: price change plus every distribution reinvested.

SymbolYTD1Y3Y5Y10YSince Jan 2004Volatility Sharpe Sortino Max drawdown
IYH2.69%19.20%7.62%4.96%9.52%9.46%14.5%0.200.28-17.9%
VHT4.15%21.83%8.67%5.12%9.91%9.82%14.3%0.270.38-16.9%

Total return with all distributions reinvested on the ex-dividend date, split-adjusted, as of July 14, 2026. YTD and 1Y are cumulative; longer windows are annualized. β€œSince Jan 2004” measures every fund from January 30, 2004 β€” the youngest fund's first trading day β€” so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) β€” higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window β€” shallower is better.

Quick verdict

IYH (iShares U.S. Healthcare ETF) and VHT (Vanguard Health Care ETF) are both quarterly-pay dividend ETFs, but they take different approaches.

VHT offers the higher yield at 1.32% vs 0.98% for IYH. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

VHT is cheaper with an expense ratio of 0.10% compared to 0.40%.

They track different benchmarks: IYH is linked to Dow Jones U.S. Health Care Index while VHT tracks MSCI US Investable Market Health Care 25/50 Index, which means their performance drivers differ.

VHT is the larger fund by assets ($16.8B), which generally means tighter spreads and better liquidity.

Deep dive

Yield & income

On a $10,000 investment, IYH would generate roughly $8.17/month, while VHT would produce $11.00/month, at current distribution rates. Both pay quarterly distributions.

IYH yield0.98%
VHT yield1.32%
Monthly diff on $10K$2.83

Cost & efficiency

Over 10 years on $10,000, IYH would cost approximately $400 in fees vs $100 for VHT (simplified, not compounded). The $300.00 difference may be offset by yield or performance.

IYH ER0.40%
VHT ER0.10%

Strategy & risk

IYH tracks Dow Jones U.S. Health Care Index, while VHT tracks MSCI US Investable Market Health Care 25/50 Index. Beta is 0.52 for IYH and 0.57 for VHT, indicating IYH is less volatile relative to the market.

IYH beta0.52
VHT beta0.57

Fund details

IYH is managed by iShares (launched 06/12/2000) with $3.06B in assets. VHT is managed by Vanguard (launched 01/26/2004) with $16.8B in assets.

IYH AUM$3.06B
VHT AUM$16.8B

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Frequently asked questions

Is IYH or VHT better for dividend income?

It depends on your goals. VHT currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

What is the difference between IYH and VHT?

IYH (iShares U.S. Healthcare ETF) tracks Dow Jones U.S. Health Care Index, while VHT (Vanguard Health Care ETF) tracks MSCI US Investable Market Health Care 25/50 Index. They are issued by iShares and Vanguard respectively.

Can I hold both IYH and VHT?

Yes β€” nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

Which has lower fees, IYH or VHT?

IYH has an expense ratio of 0.40% while VHT charges 0.10%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in IYH vs VHT generate?

At current rates, $10,000 in IYH would generate roughly $8.17 per month ($98.00 annually). The same in VHT would produce about $11.00 per month ($132.00 annually).

Which has performed better historically, IYH or VHT?

IYH has lagged VHT over the trailing twelve months, posting a 19.20% total return against 21.83%. The lead holds up over 10 years too: VHT has compounded at 9.91% a year, against 9.52% for IYH. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

More comparisons to explore

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