A head-to-head comparison of Vanguard Dividend Appreciation Index Fund ETF Shares and Vanguard Growth ETF covering yield, cost, risk, and income potential.
ETFs and AUM reflect what Dividend Vision tracks — 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 VIG and VUG.
Vanguard Dividend Appreciation Index Fund ETF Shares
Vanguard Growth ETF
Issuer
Vanguard
Vanguard
Last Close
$237.30 as of July 15, 2026
$86.96 as of July 15, 2026
Distribution yield
1.68%
0.42%
Distribution Safety Score
100
91
Expense ratio
0.06%
0.04%
AUM
$108B
$222B
Distribution frequency
Quarterly
Quarterly
Underlying index
a basket of Vanguard Dividend Appreciation ETF holdings
CRSP US Large Cap Growth Index
Objective
Seeks to track the performance of the S&P U.S. Dividend Growers Index, which consists of common stocks of companies that have a record of at least 10 years of increasing regular cash dividend payments.
Track the CRSP US Large Cap Growth Index for diversified exposure to U.S. growth equities.
Asset class
Equity
Equity
Inception date
04/21/2006
01/26/2004
Beta
0.75
1.26
Last dividend
$0.9990
$0.0923
Ex-dividend date
06/26/2026
06/26/2026
Bottom lineChoose VIG if you want higher current income (1.68% vs 0.42% for VUG). Choose VUG if you want a growth tilt and can accept bigger swings for higher upside.
Most used
Income calculator
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Projections assume the current yield and share price remain constant. Actual results will vary.
Total returns
VIG has lagged VUG over the trailing twelve months, posting a 16.92% total return against 18.23%. The lead holds up over 10 years too: VUG has compounded at 17.76% a year, against 12.90% for VIG. VIG has been the steadier holding, though — annualized volatility of 12.2% against 19.6% for VUG. Figures are total returns: price change plus every distribution reinvested.
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. “Since Apr 2006” measures every fund from April 27, 2006 — the youngest fund's first trading day — 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) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.
Quick verdict
VIG (Vanguard Dividend Appreciation Index Fund ETF Shares) and VUG (Vanguard Growth ETF) are both quarterly-pay dividend ETFs, but they take different approaches.
VIG offers the higher yield at 1.68% vs 0.42% for VUG. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.
VUG is cheaper with an expense ratio of 0.04% compared to 0.06%.
They track different benchmarks: VIG is linked to a basket of Vanguard Dividend Appreciation ETF holdings while VUG tracks CRSP US Large Cap Growth Index, which means their performance drivers differ.
VUG is the larger fund by assets ($222B), which generally means tighter spreads and better liquidity.
Who should choose each?
Choose VIG
Vanguard Dividend Appreciation Index Fund ETF Shares
Want higher current income — VIG yields 1.68% vs 0.42% for VUG.
Want simple, diversified core exposure as a portfolio building block.
Prefer lower volatility — a beta of 0.8 vs 1.3 for VUG.
Choose VUG
Vanguard Growth ETF
Want a growth tilt and can accept larger swings for more upside.
Want to keep costs low — a 0.04% expense ratio vs 0.06% for VIG.
Not sure? Use the income calculator and snapshot above to weigh these trade-offs against your own goals.
Deep dive
Yield & income
On a $10,000 investment, VIG would generate roughly $14.00/month, while VUG would produce $3.50/month, at current distribution rates. Both pay quarterly distributions.
VIG yield1.68%
VUG yield0.42%
Monthly diff on $10K$10.50
Cost & efficiency
Over 10 years on $10,000, VIG would cost approximately $60 in fees vs $40 for VUG (simplified, not compounded). The $20.00 difference may be offset by yield or performance.
VIG ER0.06%
VUG ER0.04%
Strategy & risk
VIG holds a basket of Vanguard Dividend Appreciation ETF holdings with an index approach, while VUG tracks CRSP US Large Cap Growth Index with a growth approach. Beta is 0.75 for VIG and 1.26 for VUG, indicating VIG is less volatile relative to the market.
VIG beta0.75
VUG beta1.26
Fund details
VIG is managed by Vanguard (launched 04/21/2006) with $108B in assets. VUG is managed by Vanguard (launched 01/26/2004) with $222B in assets.
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Frequently asked questions
Is VIG or VUG better for dividend income?
It depends on your goals. VIG 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 VIG and VUG?
VIG (Vanguard Dividend Appreciation Index Fund ETF Shares) holds a basket of Vanguard Dividend Appreciation ETF holdings with an index approach, while VUG (Vanguard Growth ETF) tracks CRSP US Large Cap Growth Index with a growth approach. They are issued by Vanguard and Vanguard respectively.
Can I hold both VIG and VUG?
Yes — 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, VIG or VUG?
VIG has an expense ratio of 0.06% while VUG charges 0.04%. Lower fees mean more of your investment returns stay in your pocket over time.
How much income does $10,000 in VIG vs VUG generate?
At current rates, $10,000 in VIG would generate roughly $14.00 per month ($168.00 annually). The same in VUG would produce about $3.50 per month ($42.00 annually).
Which has performed better historically, VIG or VUG?
VIG has lagged VUG over the trailing twelve months, posting a 16.92% total return against 18.23%. The lead holds up over 10 years too: VUG has compounded at 17.76% a year, against 12.90% for VIG. VIG has been the steadier holding, though — annualized volatility of 12.2% against 19.6% for VUG. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.
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